The Gujarat government will on Wednesday sign an MoU with American computer storage chipmaker Micron Technology for a semiconductor assembly and test facility at Sanand in Ahmedabad district, said the state government on Tuesday.
The MoU (memorandum of understanding) will be signed in the evening in Gandhinagar in the presence of Gujarat Chief Minister Bhupendra Patel and other dignitaries, said a government release.
On June 22, Micron had announced it will set up a semiconductor assembly and test plant in Gujarat entailing a total investment of $2.75 billion (around ₹22,540 crore).
Micron's plant has been approved under the central government's "Modified Assembly, Testing, Marking and Packaging (ATMP) Scheme".
Under the scheme, the U.S.-based firm will receive 50% fiscal support for the total project cost from the Centre and incentives representing 20% of the total cost from the Gujarat government.
"Phased construction of the new assembly and test facility in Gujarat is expected to begin in 2023. Phase 1, which will include 500,000 square feet of planned cleanroom space, will start to become operational in late 2024," Micron had said in a statement earlier.
The company had said the plant will create up to 5,000 new direct jobs and 15,000 community jobs over the next several years.
"Micron's new facility will enable assembly and test manufacturing for both DRAM and NAND products and address demand from domestic and international markets," the statement said.