Semiconductor stocks in India saw significant gains on Wednesday as Prime Minister Narendra Modi is set to inaugurate the Semicon India 2026 event.
Kaynes Technology India is investing Rs 3,307 crore in a semiconductor manufacturing facility in Gujarat, focusing on wire-bond interconnect and substrate-based packages. This facility is expected to produce over 6.33 million chips per day, significantly boosting the country's semiconductor production capacity.
Syrma SGS is poised to benefit from India's push for greater domestic component manufacturing and localisation. The company recently received approval for a Rs 60 crore coil manufacturing project under the Electronics Components Manufacturing Scheme and is expanding its EMS footprint through partnerships and new facilities.
MosChip Technologies, a semiconductor and product engineering company, continues to design custom computer chips and smart electronic systems, contributing to the growing semiconductor ecosystem in India.
India's semiconductor sector has attracted $1.4 billion in equity funding across 281 companies, with $701 million raised since 2025. The government launched the India Semiconductor Mission (ISM) in 2021 with a Rs 76,000 crore outlay to cover the semiconductor value chain.
Background
The growing investor interest in India's semiconductor sector is driven by the government's efforts to build a comprehensive ecosystem beyond chip design and electronics assembly. The recent approval of Semicon 2.0 with a proposed outlay of Rs 1.27 lakh crore aims to focus on chip design, semiconductor equipment and materials, fabrication facilities, advanced packaging, research and development, and talent development.
As India continues to expand its semiconductor capabilities, investors and industry stakeholders will be watching closely for further developments and opportunities in this rapidly growing sector.
