Semiconductor stocks experienced significant gains on Friday as SEMICON India 2026's Day 2 continued at Yashobhoomi in New Delhi on September 18, 2026. Avalon Technologies emerged as the standout performer, gaining 8.34% in early trade, while Syrma SGS Technology rose 6.48%, Kaynes Technology India advanced 2.44%, and Dixon Technologies rose 0.70%. The rally reflects sustained investor interest in India's semiconductor sector development as the country positions itself as a global manufacturing hub. Syrma SGS Technology share price opened at ₹1,513.50 apiece on NSE today, as compared to previous close of ₹1,511.20 on Wednesday and hit an intraday high of ₹1,658 on 17 September, demonstrating the strong momentum in semiconductor stocks during the event.
As SEMICON India 2026 opened on Thursday, industry leaders are expressing optimism about India's semiconductor ecosystem evolution. Alok Jain, Corporate Vice President & India Managing Director at Cadence, stated that the event will showcase momentum and exciting possibilities ahead for India's semiconductor ecosystem, with ISM 2.0 and enabling policy initiatives driving the ecosystem beyond traditional design services towards greater innovation, IP creation and product development. Avi Avula, President of Applied Materials India, emphasized that AI is driving extraordinary chip-led compute demand, pushing materials engineering and manufacturing technology closer in the semiconductor ecosystem, which will be important for India as it looks to expand its physical manufacturing value chain. Rajiv C Mody, CMD & CEO of Sasken Technologies, believes India's semiconductor ecosystem is moving from ambition to execution, with the next three years determining whether India becomes a meaningful player in the $600 billion global semiconductor market.
India is making a significant push to establish itself as a global semiconductor manufacturing hub, with major companies committing substantial investments. Tata Electronics is setting up India's first commercial chip fabrication plant at Dholera in Gujarat, in partnership with Taiwan's PSMC, with a total investment of over ₹91,000 crore and capacity of 50,000 wafers starting per month (WSPM). The government has committed 50 per cent fiscal support on a pari-passu basis for eligible project costs. Additionally, Micron Technology Inc. is establishing a semiconductor manufacturing facility in Gujarat with an investment of ₹22,516 crore. These facilities are expected to meet rising demand across essential industries including automotive, telecom, aerospace, industrial automation, power electronics, and consumer devices.
The government launched the India Semiconductor Mission (ISM) in 2021 with a ₹76,000 crore outlay, covering the semiconductor value chain from chip design and fabrication to packaging, testing, equipment, materials and talent. According to data from Tracxn reported by The Economic Times, India's semiconductor sector has attracted $1.4 billion in all-time equity funding across 281 funded companies, with nearly half of this amount - $701 million - raised since 2025 alone. Earlier this year, the government approved Semicon 2.0 with a proposed outlay of ₹1.27 lakh crore, focusing on six key areas including chip design, semiconductor equipment and materials, fabrication facilities, advanced packaging, research and development, and talent development. The government is also supporting semiconductor research by providing design tools to more than 332 academic institutes and 105 startups, with 24 startups approved under the Design-Linked Incentive (DLI) scheme to work on critical applications.
SEMICON India 2026 is being held from September 17-19 under the theme "Silicon to Systems: Building the Ecosystem" and brings together companies, policymakers, investors, researchers, startups and academic institutions from across the semiconductor and electronics value chain. As reported by Business Standard, more than 600 companies and representatives from 52 countries are participating in the three-day event. The latest edition has attracted more than 500 companies from over 20 countries expected to showcase next-generation technologies, innovations and solutions. Prime Minister Narendra Modi inaugurated the three-day event yesterday, which runs from September 17 to 19. The policy push has increased investor focus on companies involved in electronics manufacturing, semiconductor packaging, testing and related components. India's semiconductor demand is projected to reach $110 billion by FY2030 and exceed $200 billion by FY2035, with the government stating that 12 semiconductor manufacturing units have been approved under Semicon 1.0, involving cumulative investment of more than ₹1.64 lakh crore, with five of these units having commenced commercial production.
