In this work, the design, fabrication and optimization of a novel ion exchange unit are presented. A simple low cost system with a modified dipping mechanism and temperature controller for ion exchange in the glass substrate with molten salt is described. The design and technical details of the system together with those of the temperature controller are discussed. The ion exchange unit is optimized with Ag + /Na + ion exchange in commercially available soda lime glass. The energy dispersive spectrum and absorption spectrum of the ion exchanged glass are discussed. The system is found particularly suitable for exchange of ions in the glass for the planar waveguide fabrication and also suitable for thin film fabrication by dip coating method.