Home India Ministry of Electronics and Information Technology Rajasthan gets its first Semiconductor Plant...
Date: 2026-05-15 Category: Press Release State: Union Government Country: India

Rajasthan gets its first Semiconductor Plant

Issued by Ministry of Electronics and Information Technology · Not Applicable

Research with AI Agent Chat with Document Generate Summary Translate Helpful Share Add to Project Create Task

Executive Summary & Key Takeaways

**Executive Summary** On 15 May 2026, Union Minister Shri Ashwini Vaishnaw virtually inaugurated Rajasthan's first semiconductor facility and the ELCINA Electronics Manufacturing Cluster (EMC) in Bhiwadi. The event marked the launch of India's first SME-led semiconductor commercial production by Sahasra Semiconductors, supported by the Rajasthan Semiconductor Policy introduced in March 2026. This initiative aims to scale production to 600 million units annually within three years, positioning the region as a strategic global hub for electronics manufacturing. **Key Points / Main Content** **ELCINA Electronics Manufacturing Cluster (EMC)** * Developed on 50.3 acres at Salarpur, Khushkhera, with a project cost of ₹46.09 crore. * The Government of India provided ₹20.24 crore in direct financial support under the EMC scheme. * Infrastructure includes uninterrupted power and water, centralized administrative facilities, and a dedicated Skill Development Centre with laboratories. * The cluster has attracted planned investments of over ₹1,200 crore from 20 companies, with 11 companies already operational. * Current operations have generated employment for over 2,700 persons with a cumulative investment of ₹900 crore. **Sahasra Semiconductors ATMP/OSAT Facility** * Represents India’s first Small and Medium Enterprise (SME) to commence commercial production of semiconductor chips. * Set up with an investment exceeding ₹150 crore under the MeitY Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS). * The 57,000 sq. ft. facility features Class 10K and 100K cleanrooms for packaging memory chips, LED driver ICs, eSIMs, and RFID products. * The unit currently maintains an annual packaging capacity of 60 million units, with plans to scale to 400–600 million units in the next 2–3 years. * The facility is already export-oriented, sending over 60% of its production to markets including the US, Germany, France, and China. **Strategic and Policy Context** * The project aligns with the Rajasthan Semiconductor Policy (March 2026) to transform the region near Delhi NCR into a manufacturing hub. * Integration of national schemes including the India Semiconductor Mission (ISM) and Production Linked Incentives (PLI). * The initiative reflects a strategic shift for the Bhiwadi region from an automobile-centric base to an electronics and semiconductor hub. **Impact Analysis** **Sahasra Semiconductors Pvt. Ltd.** **Impact** The company is established as a pioneer SME in the semiconductor sector, benefiting from federal schemes and securing a foothold in both domestic and global export markets. **Action Required** The company must execute its scaling plan to reach the projected capacity of 400–600 million units and continue its transition into independent product R&D. **MSME Industry Players / EMC Investors** **Impact** Companies within the cluster gain access to world-class infrastructure and a collaborative ecosystem specifically designed for electronics component manufacturing. **Action Required** Participating companies must finalize planned investments of ₹1,200 crore and begin operationalizing facilities to meet the growing demand for EV parts and electronic components. **Local Workforce and Youth** **Impact** Increased employment opportunities in high-tech manufacturing and access to specialized technical training through the Skill Development Centre. **Action Required** Prospective employees and students must engage with training programs offered in collaboration with the Electronics Sector Skill Council of India (ESSCI) to meet the technical requirements of the semiconductor industry.

Key Entities Referenced

Sahasra Semiconductors Pvt. Ltd.: India’s first SME-led semiconductor ATMP/OSAT facility inaugurated in Bhiwadi to start commercial production of semiconductor chips. ELCINA Electronics Manufacturing Cluster (EMC): An industrial cluster developed at Salarpur, Bhiwadi, to support electronics component manufacturing with world-class infrastructure and skill development centers. Rajasthan Semiconductor Policy: A state-level policy introduced in March 2026 to establish Rajasthan as a manufacturing hub for the semiconductor industry. Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS): A MeitY scheme that provided the framework and financial support for the development of the Sahasra semiconductor facility. India Semiconductor Mission (ISM): A national initiative driving India's efforts to become a global hub for electronics manufacturing and semiconductor production.
Official Source Record View Original Source →
See Full Document Text
Ministry of Electronics & IT Rajasthan gets its first Semiconductor Plant India’s first SME-led Semiconductor facility by Sahasra Semiconductors inaugurated at Bhiwadi Union Minister Shri. Ashwini Vaishnaw hails Rajasthan’s entry into the strategically important semiconductor industry Electronics Manufacturing Cluster (EMC) developed by ELCINA at Salarpur also inaugurated Posted On: 15 MAY 2026 6:13PM by PIB Delhi The Electronics Manufacturing Cluster (EMC) developed by ELCINA at Salarpur, Khushkhera, Bhiwadi, Rajasthan, along with the Semiconductor ATMP/OSAT facility of Sahasra Semiconductors Pvt. Ltd., was virtually inaugurated today by Union Minister for Electronics & Information Technology Shri Ashwini Vaishnaw.The inauguration took place in the presence of Shri Bhajan Lal Sharma, Chief Minister of Rajasthan, and Shri Bhupender Yadav, Union Minister for Environment, Forest and Climate Change. The event marks a significant milestone in India’s journey towards becoming a global hub for electronics manufacturing and semiconductors. This progress is being driven by the visionary initiatives of Make in India, Digital India and Atmanirbhar Bharat, launched under the leadership of Prime Minister Shri Narendra Modi. Addressing the gathering, Shri Ashwini Vaishnaw called this a historic day for the state of Rajasthan as it enters the semiconductor industry - a strategically critical industry globally from a geopolitical perspective.He highlighted India’s rapid progress in electronics manufacturing over the last 12 years, with production growing 6 times to nearly ₹ 13 lakh crores; and exports rising to around ₹ 4.24 lakh crores. He underscored that mobile phones have now become India’s top export commodity. The Union Minister credited this to Prime Minister Narendra Modi’s treatment of electronics and semiconductors as focus sectors. He added that schemes like Electronics Component Manufacturing Scheme (ECMS), Electronics Manufacturing Clusters (EMC), India Semiconductor Mission (ISM) and Production Linked Incentives (PLI) are implemented methodically by working together with the state governments and industries. Shri Bhajan Lal Sharma, Chief Minister, Rajasthan underlined that the state government has in March 2026 come out with a Rajasthan Semiconductor Policy and outlined his priority to develop the region close to Delhi NCR into a manufacturing hub. Union Minister Shri Bhupender Yadav also noted that earlier, Bhiwadi region was known mainly for the automobile sector, but now semiconductor and electronics industries are also being promoted. ELCINA Electronics Manufacturing Cluster (EMC) This cluster at Bhiwadi has been developed over 50.3 acres with a project cost of ₹46.09 crore. Government of India has provided a direct support of ₹20.24 crore under the EMC scheme. The cluster has been established by M/s. ELCINA Electronics Manufacturing Cluster Pvt. Ltd. (SPV), a joint collaborative initiative of MSME industry players under the banner of ELCINA. It is equipped with world-class infrastructure including uninterrupted power and water supply, internal roads, centralized administrative facilities, testing and training centres, and a dedicated Skill Development Centre with smart classrooms and laboratories. The cluster is strategically located near the National Capital Region with strong road, rail and air connectivity. With this the cluster is expected to emerge as a major destination for electronics component manufacturing. The EMC has already attracted planned investments of over ₹1,200 crore by 20 companies. These companies are engaged in sectors ranging from semiconductor packaging and electronic components to air conditioners, RFID technologies, EV parts and industrial electronics. Eleven companies are currently operational with cumulative investments of over ₹ 900 crore, generating employment for over 2,700 persons. Among the major companies operational in the cluster are Aisan Fiem Industries, E-Pack Durable, Sahasra Semiconductor, Sahasra Electronics, Varada Green Energy, Duggar Power Products and the Electronics Sector Skill Council of India etc. Semiconductor ATMP/OSAT facility This facility of M/s. Sahasra Semiconductors Pvt. Ltd. is India’s 1st Small and Medium Enterprise (SME) to start commercial production of semiconductor chips. Developed under MeitY’s Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS), the facility has been set up with an investment of over ₹150 crore. It is spread over 57,000 sq. ft. and equipped with Class 10K and 100K cleanrooms. The facility will package memory chips for products such as Micro SD and flash storage, along with LED driver ICs, eSIMs and RFID products.The unit currently has an annual packaging capacity of 60 million semiconductor units with SPECS- supported projected capacity of about 43 million units. It has plans to scale up to nearly 400-600 million units annually over the next 2–3 years. The facility is already exporting more than 60% of its production to global markets including the United States, Germany, France and Eastern Europe, China and Nepal. The facility is now moving towards its own product R&D, including LED driver chips and other semiconductor products. It will also support training of youth in semiconductor packaging and high-tech manufacturing in collaboration with ESSCI and technical institutes. The event was held virtually in view of Prime Minister Shri Narendra Modi’s appeal to reduce fuel usage, wherever possible, in light of the current global situation. *** MSZ (Release ID: 2261509) Visitor Counter : 1665 Read this release in: Urdu , ही , Gujarati , Tamil , Telugu , Kannada

Continue your research