CDIL, Kaynes in advanced talks with Odisha government for semiconductor ventures amid India’s chip push

India’s semiconductor ambitions received a fresh boost as Continental Device India Ltd (CDIL) and Kaynes Technology have entered advanced discussions with the Odisha government to set up semiconductor and electronics manufacturing units in the state. The talks, confirmed by senior officials in Bhubaneswar on September 26, 2025, mark a strategic shift in India’s chip localization efforts, with eastern India emerging as a new hub for high-tech investments.

CDIL, one of India’s oldest semiconductor component manufacturers, is reportedly exploring a facility focused on discrete semiconductors and power electronics, while Kaynes Technology, a listed player in electronics system design and manufacturing (ESDM), is eyeing a greenfield project for advanced packaging and assembly.

Odisha’s Industries Secretary Hemant Sharma stated, “We are in active dialogue with CDIL and Kaynes. The state is offering customized incentives, land parcels, and infrastructure support to attract semiconductor investments. We expect formal MoUs to be signed soon.”

The move aligns with India’s broader semiconductor mission, which aims to reduce dependence on imports and build a resilient supply chain for critical technologies. Odisha, with its strategic location, skilled workforce, and policy stability, is positioning itself as a competitive alternative to traditional tech corridors like Bengaluru, Hyderabad, and Noida.

Odisha Semiconductor Push – Key Highlights

CDIL’s chairman Raj Kumar Malhotra confirmed the company’s interest in Odisha, citing proximity to ports, availability of skilled engineers, and proactive governance. “We are impressed with Odisha’s readiness. Our proposed unit will cater to automotive, industrial, and consumer electronics segments,” he said.

Kaynes Technology, which recently expanded its Mysuru facility, is now looking eastward to diversify its footprint. CEO Ramesh Kannan said, “Odisha offers a clean slate and a strong talent pool. We are evaluating a high-volume OSAT (Outsourced Semiconductor Assembly and Test) facility with export potential.”

The talks come at a time when global chipmakers are reconfiguring supply chains amid geopolitical tensions and rising demand for AI, 5G, and electric mobility. India’s Production Linked Incentive (PLI) scheme for semiconductors has already attracted interest from Micron, Vedanta-Foxconn, and Tata Electronics, and Odisha is keen to ride the momentum.

India Semiconductor Mission – Recent Developments

Odisha’s Chief Minister Naveen Patnaik has personally reviewed the proposals and is expected to announce a semiconductor policy tailored for mid-sized players and legacy node manufacturers. The policy may include capital subsidy, R&D grants, and fast-track approvals.

Industry experts believe Odisha’s entry into the semiconductor race could democratize India’s tech geography. “This is a smart move. Odisha has the potential to become India’s next electronics cluster if it executes well,” said Dr. Arvind Mahapatra, a semiconductor analyst based in Bengaluru.

Social media and startup forums have responded positively to the news, with hashtags like #OdishaSemiconductor, #CDILKaynesDeal, and #IndiaChipMission trending across platforms. Local engineering colleges and ITIs have also expressed interest in partnering with incoming firms for skilling and internships.

Public Sentiment – Social Media Buzz on Odisha’s Semiconductor Talks

The Odisha government has also initiated talks with IIT Bhubaneswar and NIT Rourkela to set up a semiconductor research and incubation center. The goal is to create a pipeline of design engineers, process specialists, and fab technicians to support future demand.

If finalized, the CDIL and Kaynes projects could generate over 5,000 direct and indirect jobs and catalyze ancillary industries such as PCB manufacturing, logistics, and cleanroom services.

Odisha Semiconductor Ecosystem – Proposed Development Plan

As India aims to become a global semiconductor hub, Odisha’s proactive engagement with CDIL and Kaynes Technology signals a new chapter in regional industrialization. With policy support, infrastructure readiness, and strategic vision, the state could soon emerge as a key player in India’s chip revolution.

Disclaimer: This article is based on publicly available government statements, industry reports, and verified media coverage. It does not constitute investment advice or corporate endorsement. All quotes are attributed to public figures and institutions as per coverage. The content is intended for editorial and informational purposes only.