Micron to invest $2.5 billion in Gujarat's Sanand

New Delhi: Following Prime Minister Narendra Modi's meeting with Micron CEO Sanjay Mehrotra, Micron Technology will invest $2.5 billion (INR22,500 crore) to establish an ATMP (assembly, test, marking, and packaging) facility in Gujarat's Sanand GIDC-II, the Gujarat government announced on Wednesday.

Sanand GIDC is a highly industrialised zone in Gujarat, home to many national and multinational manufacturing industries. Vice Chairman and Managing Director, GIDC handed over the Offer Cum Allotment (OCA) letter to Micron for the allotment of 93 acres of area within the Sanand GIDC Estate.

Micron Technology will establish Assembly and Test facility, wherein it will focus on transforming wafers into ball grid array (BGA) integrated circuit packages, memory modules and solid-state drives, the release stated.

Micron is committed to designing and building the facility to meet or exceed leadership in Energy and Environmental Design (LEED) Gold standards. Additionally, the facility will use advanced water-saving technologies to enable Zero Liquid Discharge (ZLD).

An MoU was signed in this regard between the Government of Gujarat and Micron Technology, America's largest semiconductor memory IDM (Integrated Device Manufacturer. The MoU was signed in the presence of Gujarat Chief Minister Bhupendra Patel and Union Minister for Railways, Communications, Electronics and Information Technology, Ashwini Vaishnaw.

The MoU was signed between the Secretary of the Department of Science and Technology Vijay Nehra and the Senior Vice President of Micron Technology Gursharan Singh.

Chief Minister Bhupendra Patel thanked Micron Technology for choosing Gujarat to set up its flagship facility in the semiconductor manufacturing sector. The Chief Minister assured the firm of the full cooperation and support of the State Government and wished them success.

Chief Principal Secretary to CM K.Kailashnathan and Chief Secretary Raj Kumar as well as office bearers from Micron Technology were present during the MoU signing.

Micron has chosen Gujarat to set up its manufacturing facility considering Gujarat's robust manufacturing infrastructure, business-friendly environment and availability of a well-planned talent pool along with excellent support from the state government, the press release stated.

This MoU is a watershed moment for India because the domestic semiconductor ecosystem will get a boost as other associated industries for raw materials and finished products related to this sector will be drawn to Gujarat, it added.

Gujarat was the first state in India to announce a dedicated policy for the semiconductor sector.

The Gujarat Semiconductor Policy (2022-27) was launched in September 2022 for the development of a domestic semiconductor manufacturing ecosystem.