India Semiconductor

Rajasthan Inaugurates First Semiconductor Facility: India's Initial SME-Led ATMP/OSAT Plant Opens at Bhiwadi

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The Electronics Manufacturing Cluster (EMC) developed by ELCINA at Salarpur, Khushkhera, Bhiwadi, Rajasthan, and the Semiconductor ATMP/OSAT facility of Sahasra Semiconductors Pvt. Ltd. were virtually inaugurated on 15 May 2026 by Union Minister for Electronics & Information Technology Ashwini Vaishnaw. The event occurred in the presence of Rajasthan Chief Minister Bhajan Lal Sharma and Union Minister for Environment, Forest and Climate Change Bhupender Yadav.

Ashwini Vaishnaw described the occasion as a historic day for Rajasthan entering the semiconductor industry, noting its strategic importance globally from a geopolitical perspective. He referenced India's electronics manufacturing growth over the last 12 years, with production reaching nearly ₹13 lakh crores and exports around ₹4.24 lakh crores, with mobile phones as the top export commodity. He attributed progress to schemes including the Electronics Component Manufacturing Scheme (ECMS), Electronics Manufacturing Clusters (EMC), India Semiconductor Mission (ISM), and Production Linked Incentives (PLI), implemented with state governments and industries.

Bhajan Lal Sharma stated that the Rajasthan government released a Semiconductor Policy in March 2026 and aims to develop the region near Delhi NCR as a manufacturing hub. Bhupender Yadav observed that the Bhiwadi region, previously known mainly for automobiles, is now also promoting semiconductor and electronics industries.

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ELCINA Electronics Manufacturing Cluster (EMC) spans 50.3 acres with a project cost of ₹46.09 crore, including ₹20.24 crore in direct support from the Government of India under the EMC scheme. It was developed by M/s. ELCINA Electronics Manufacturing Cluster Pvt. Ltd. (SPV), a joint initiative of MSME industry players under ELCINA.

Infrastructure includes 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 site is located near the National Capital Region with road, rail, and air connectivity.

The EMC has attracted planned investments exceeding ₹1,200 crore from 20 companies in sectors such as semiconductor packaging, electronic components, air conditioners, RFID technologies, EV parts, and industrial electronics. Eleven companies are operational with cumulative investments over ₹900 crore, employing more than 2,700 persons. Operational entities include Aisan Fiem Industries, E-Pack Durable, Sahasra Semiconductor, Sahasra Electronics, Varada Green Energy, Duggar Power Products, and the Electronics Sector Skill Council of India.

Sahasra Semiconductors ATMP/OSAT Facility is India's first Small and Medium Enterprise (SME) facility to begin commercial production of semiconductor chips. Set up under MeitY’s Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS) with an investment exceeding ₹150 crore, the unit covers 57,000 sq. ft. and features Class 10K and 100K cleanrooms.

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It packages memory chips for Micro SD and flash storage products, along with LED driver ICs, eSIMs, and RFID products. Current annual packaging capacity stands at 60 million units, with SPECS-supported capacity of about 43 million units. Plans call for scaling to 400–600 million units annually over the next 2–3 years.

The facility exports more than 60% of its production to markets including the United States, Germany, France, Eastern Europe, China, and Nepal. It is advancing its own product R&D in areas such as LED driver chips and other semiconductor products, and will support youth training in semiconductor packaging and high-tech manufacturing with the Electronics Sector Skill Council of India (ESSCI) and technical institutes.

The virtual format of the event followed Prime Minister Narendra Modi’s appeal to reduce fuel usage where possible amid the current global situation. 


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