Why PM Modi Mentioned Kaynes Tech And CG Power In His Semicon India 2025 Address

India will play a crucial role in the global semiconductor push, Prime Minister Narendra Modi said during his address at the flagship Semicon India 2025 event, while making key references to two listed companies - CG Power and Kaynes Tech.

"Kaynes’ plant is set to begin pilot operations soon. Test chip production has already started at Tata Electronics and Micron, while CG SEMI has also commenced its pilot phase. Commercial chip production is expected to start later this year," he said in his address.

The Prime Minister was alluding to India's semicon push, where companies like CG Power, Kaynes Tech and Tata Projects have become key players.

CG Power, for its part, has made a bold venture into the semiconductor space under CG Semi Private Venture Ltd, partnering with Japanese company Renesas Electronics Corporation.

The company is set to make the 'Made-In-India' semiconductor chip. The outsourced semiconductor assembly and testing (OSAT) pilot facility in Sanand, Gujarat, will be manufacturing this in-house chip.

CG Semi is investing Rs 7,600 crore over five years to build two facilities (G1 & G2) in Sanand, which can produce 0.5 million units a day.

G1 is piloting now, with commercial volumes promised before the end of 2025. Through this launch, CG Semi will become the nation's first full-service OSAT provider.

As for Kaynes Tech, a flagship OSAT facility in Sanand, Gujarat, with a Rs 3,300 crore investment, was approved by the Indian government in September 2024.

PM Modi reiterated that Commercial chip production in the Kaynes plant is expected to start later this year.

Kaynes Tech had also announced a Bhopal manufacturing plant in July 2025, an investment of Rs 352 crore under the MP Semiconductor Policy.

PM Modi's references to Kaynes and CG Power were part of his long address at the Semicon India 2025 event, which aims to catalyse India's semiconductor ecosystem and is expected to draw over 20,750 attendees, including 2,500 delegates from more than 48 countries, over 150 speakers (with more than 50 global leaders), and 350 exhibitors.