Last year, the Prime Minister had led the event on International Yoga Day in Delhi.
The International Yoga Day - Prime Minister Narendra's Modi's big initiative last year - will now be held in different states. This year, it will be Chandigarh's turn, Ayush minister Mr Sripad Naik told NDTV.
"The experience of first International Yoga Day made it clear that Delhi lacks the space to hold a scaled up event," said Mr Naik, who inaugurated a three-day International Yoga Festival in Delhi to start preparations for the Yoga Day.
But with bigger celebrations being planned this year, his ministry had approached three states -- Gujarat, Madhya Pradesh and Rajasthan. "Chandigarh was the first one to respond," he added.
PM Modi, he said, will lead the event and will be present in Chandigarh.
Last year, the Prime Minister had led the event, during where nearly 40,000 people - including students and government officials - had spread their yoga mats on Delhi's Rajpath.
Dressed in white and a Tricolour scarf, the 64-year-old Prime Minister had led the group through a variety of poses, including the Vajrasan and Padmasan.
Similar yoga events had taken place across the country -- in parks, churches, homes, Navy ships, an army base in the desert and even mid-air on some flights.
The United Nations had announced the International Yoga Day last year, when 191 nations had voted in favour of the initiative taken by India.
Yoga events were held in most of the member countries - notably along the Thames in UK and the Times Square in the US.
This year the government is trying to get on board more participating countries.
"The effort will be to give a new dimension," an official said. "We are trying to get more yoga professionals and participants across the country to celebrate the Day in a more meaningful way."