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Paras Defence to establish semiconductor facility in MP for ₹6,200cr
The proposed facility will be located in Indore-Ujjain

Paras Defence to establish semiconductor facility in MP for ₹6,200cr

Jul 22, 2026
12:33 pm

What's the story

Paras Defence and Space Technologies has announced that its semiconductor unit will invest ₹6,200 crore to set up a chip packaging and testing facility in Madhya Pradesh. The company's subsidiary, Paras Semiconductors, signed a memorandum of understanding with the state government's Department of Science and Technology for this project. The proposed facility will be located in the Indore-Ujjain region.

Project details

Facility will focus on advanced chip packaging operations

The new facility will focus on advanced chip packaging operations and testing the reliability of packaged chips.

It will handle outsourced semiconductor assembly and testing (OSAT), which involves packaging, assembling, and testing foundry-made silicon wafers into finished semiconductor chips.

This project is part of India's efforts to boost its domestic electronics manufacturing and chip ecosystem.

Employment opportunities

Investment comes amid other semiconductor commitments for MP

The proposed facility will also contribute to the development of India's semiconductor packaging capabilities. The investment comes amid a string of other semiconductor and digital infrastructure commitments announced for Madhya Pradesh in recent months.

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