I suggest you not to score below 6.5 as CGPA 7 is a must to get admission in a good foreign university. However with a CGPA of 6.5 you can go for Government jobs. I know a friend who did not focus on CGPA and played football and today is struggling to get a good job.
It is all the more difficult to get a good CGPA after low marks in the first semester because the professors evaluate you on the basis of previous grades sometimes. However, you will get placement into a decent private company so you don’t have to worry much.
Basically, even after getting admission at a good institute like IIT KGP, you have to keep struggling to score high marks.