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Tata’s semiconductor plant in Assam is expected to be operational by mid-2025.

SUMMARY

Tata Electronics said the project will create over 27,000 direct and indirect jobs in the region

IT Minister Ashwini Vaishnaw said 85,000 people are undergoing training in semiconductor integrated circuit design in 113 academic institutions across the country.

The proposed INR 27,000 Cr facility at Assam is expected to have a proposed production capacity of 4.83 Cr semiconductor chips per day

Tata Sons Chairman N. Chandrasekaran on Saturday (August 3) said the conglomerate’s semiconductor plant in Assam would be operational by mid-2025.

Chandrasekaran made these comments during the ‘Bhoomi Pujan’ (foundation stone laying) ceremony for Tata Electronics’ semiconductor assembly and testing facility at Jagiroad in Assam.

“Given that we want to move fast, we are trying to accelerate the construction of this plant and we hope that by 2025 we will be able to complete some of the facilities and start operations soon,” Chandrasekaran added.

In a statement, the company also said that the INR 27,000 Cr unit will be engaged in the assembly and testing of semiconductor integrated circuits for applications in automotive, mobile, artificial intelligence (AI) and other key segments.

The company also said the project will generate over 27,000 direct and indirect jobs in the region. Tata Electronics added that the Assam facility is “strategically located with access to abundant water and green energy resources and proximity to existing semiconductor packaging and testing hubs in countries like Taiwan, Malaysia, Vietnam and Singapore.”

“…Innovation-driven industry will propel Assam into the global ecosystem of the global electronics supply chain. Tata Group has strong ties with Assam and 60,000 group employees work here across industries,” Chandrasekaran added.

Addressing the event virtually, IT Minister Ashwini Vaishnaw said the semiconductor industry will pave the way for job creation across industries.

Vaishnaw added that the unit will be “a home for the development of domestically developed advanced semiconductor packaging technologies, including wire bond, flip chip and I-SIP (integrated system in package) technologies”, which will be developed indigenously.

The minister also highlighted that 85,000 people are undergoing training in semiconductor integrated circuit design in 113 academic institutions across the country.

According to Tata Electronics, the semiconductor plant is expected to have a production capacity of 4.83 Cr per day.

The development comes a day after the Centre reportedly initiated the process of disbursing funds to US chipmaker Micron under the Production Linked Incentive (PLI) scheme. The report added that disbursement of funds under the initiative to other applicants, including Tata, is expected to begin soon.

The development comes as the government has stepped up its push to boost semiconductor manufacturing in the country. The driving force behind this push is the PLI scheme, which has an outlay of INR 76,000 Cr to support the semiconductor and display manufacturing ecosystem in the country.

India has also signed agreements with various global semiconductor giants to set up their manufacturing plants in the country, including CG Power, Renesas, Advanced Micro Devices (AMD), Micron and Qualcomm.

Moreover, last year the government allocated INR 1,000 Cr to support semiconductor design startups.