# India OSAT plant development

> Live situation record from CLSTR: https://clstr.news/situations/india-osat-plant-development
> Updated: 2026-07-31T17:30:04.000Z. Sources: 5. Developments: 2.

In early July 2026, CG Semi began commercial chip‑packaging operations at its Sanand OSAT facility in Gujarat, marking the first domestic commercial rollout of semiconductor assembly and test services. By the end of the month, the Indian government virtually inaugurated a second OSAT plant in Visakhapatnam, built by ASIP Technologies with South Korea’s APACT Co. under the India Semiconductor Mission. The Visakhapatnam facility, with an initial investment of over ₹460 crore and a planned total outlay of about ₹2.5 billion, will start with wire‑bond and flip‑chip BGA packaging and expand to advanced 2.5D and 3D packaging within a few years, targeting a capacity of roughly 96 million chips annually and creating over 1,000 skilled jobs. Together, these developments illustrate the rapid expansion of India’s semiconductor packaging ecosystem and the government’s broader push to strengthen domestic chip manufacturing across multiple states.

## Claims

- Andhra Pradesh's first semiconductor manufacturing facility was inaugurated by Prime Minister Narendra Modi in Visakhapatnam under the India Semiconductor Mission. (corroborated by 3 sources)
- The facility will have an annual production capacity of approximately 96 million semiconductor chips. (corroborated by 3 sources)
- ASIP Technologies partnered with South Korea's APACT Co. as the technology partner for the facility. (corroborated by 3 sources)
- The OSAT project involves an initial investment of over ₹460 crore and a total planned outlay of about ₹2.5 billion (≈₹2,388 crore) across two phases. (corroborated by 2 sources)
- The plant is expected to create more than 1,000 direct high‑skilled jobs and about 1,600 indirect jobs. (corroborated by 2 sources)
- The plant will serve AI, high‑performance computing, data centres and high‑speed communications for both domestic demand and export markets. (corroborated by 2 sources)
- The facility will initially use wire‑bond and flip‑chip BGA packaging technologies, later adding advanced 2.5D and 3D packaging within two to three years. (single source)
- The Union Cabinet approved two additional semiconductor projects on May 5 2026, bringing the total number of ISM‑approved facilities to 12 across six states with cumulative investments of about ₹1.64 (single source)

## Timeline

### 2026-07-31: Visakhapatnam OSAT Facility Inaugurated, Boosting India's Chip Production

India's first semiconductor OSAT plant in Visakhapatnam, backed by a ₹2.5 billion investment, will produce 96 million chips annually and create over 2,600 jobs, advancing the country's chip ecosystem.

5 sources. https://clstr.news/cluster/visakhapatnam-osat-facility-inaugurated-boosting-indias-chip-production

### 2026-07-04: CG Semi launches commercial chip packaging at Sanand OSAT plant in Gujarat

CG Semi began commercial chip packaging at its Sanand OSAT plant in Gujarat, boosting India's semiconductor push with a 300 million‑chip annual capacity and thousands of jobs.

6 sources. https://clstr.news/cluster/cg-semi-launches-commercial-chip-packaging-at-sanand-osat-plant-in-gujarat

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Cite as: India OSAT plant development. CLSTR, https://clstr.news/situations/india-osat-plant-development