The foundation stone for India's first Gallium Nitride (GaN)-based semiconductor manufacturing plant of chip-making firm Polymatech Electronics in Nava Raipur was laid by Chattisgarh Chief Minister Vishnu Deo Sai on Friday. Polymatech Electronics MD and CEO Eshwara Rao Nandam also announced an additional investment of Rs 10,000 crore in Chhattisgarh.

He informed that the production from the plant, which has set an ambitious production target of 10 billion chips annually by 2030 will commence soon.

The plant will produce advanced 5-nanometer and 3-nanometer chips. The telecom device packaging facility will drive self-reliance in producing critical semiconductor modules for telecom infrastructure, IoT, and satellite communications, he said.

With an investment of Rs 1,143 crore, the project will place Chhattisgarh and India at the forefront of the global semiconductor industry.

The chips produced at the factory will not only power everyday devices but enable next-gen 5G and 6G networks, high-performance laptops, defence technologies, data analytics, and power electronics.

The plant's establishment marks a crucial step in India's drive to reduce its dependency on semiconductor imports and bolster its position as a global tech powerhouse.

Nandam said Chattisgarh's progressive industrial policies, robust infrastructure, proactive support from the government, and Nava Raipur's emergence as an industrial hub made it a natural location choice for expansion.

"As we lay the foundation stone today, we are not just building a factory, we are laying the groundwork for a technologically advanced future -- one where India leads the global electronics value chain," he asserted.

Globally, Gallium Nitride (GaN) is seen as a game-changer in the semiconductor world. GaN chips are faster, more energy-efficient, and highly durable, making them the ideal choice for next-gen technologies.

Until now, India has had to import such chips from abroad, however, the start of their domestic production will not only create self-reliance but also boost foreign direct investment (FDI).

This project is expected to create direct employment for thousands and indirect employment for millions in Chhattisgarh. Its biggest social impact will be seen in Bastar and other Naxal-affected areas, where youth will be connected to this industry through technical training.

The Chhattisgarh government signed an investment proposal with Polymatech Electronics during the 'Chhattisgarh Investor Connect' held in New Delhi in December 2024.

According to industry department officials, land was allotted to the company in Sector 5 of Nava Raipur through a tender process in less than 45 days, and the lease deed registration was completed in less than 25 days.