Surat's Suchi Industries Ventures into Semiconductor Business with $100M Investment

Ashok Mehta, Surat's textile exporter and founder of Suchi Industries, is investing $100 million to establish Gujarat's first semiconductor assembly and testing unit. The project, approved for a subsidy under the SPECS scheme, aims to tackle the chip shortage highlighted during COVID-19. The plant is set to be operational by November 2024.

Surat's textile exporter Ashok Mehta, founder of Suchi Industries, has made a strategic move into the semiconductor sector, committing $100 million to establish the company's inaugural chip assembly and testing unit in Gujarat.

According to Mehta, the venture has secured central approval for a subsidy under the SPECS scheme for its pilot project. The decision to enter the semiconductor space was motivated by the global chip shortage observed during the COVID-19 pandemic.

Mehta further explained that the new plant, operated under the subsidiary Suchi Semicon in Surat, will start production in November 2024. The initiative has also received backing from Punjab National Bank and collaboration with engineering institutions to develop a skilled workforce.

(With inputs from agencies.)