Tata’s ₹27,000 crore Semiconductor Unit in Assam Commences Construction

In a bid to establishing an end-to-end semiconductor manufacturing ecosystem in India, the construction of Tata’s semiconductor unit in Assam was officially commenced. The ceremony was attended by the Hon’ble Chief Minister of Assam, Himanta Biswa Sarma, and the Chairman of Tata Sons Limited, N Chandrasekaran. This milestone event underscores the Indian government’s commitment to the Act East policy, as emphasized by the Union Minister for Railways, Electronics & Information Technology, and Information and Broadcasting, Ashwini Vaishnav, during his media interaction later in the day.

Minister Vaishnav highlighted that this project, which received approval from the Union Cabinet on February 29, 2024, is a testament to Prime Minister Narendra Modi’s vision of accelerating industrial growth in the North-East. The initiative is part of the broader Programme for Development of Semiconductors and Display Manufacturing Ecosystem in India, notified on December 21, 2021, with a total outlay of ₹76,000 crore.

Taking to X, Assam’s CM, Hemant Biswa posted, ‘The Tata Semiconductor ATMP will not only usher an industrial revolution in Assam but also be a beacon of Atmanirbharta in chip production. Three major chip technologies will be deployed in the unit – Wire Bond, flip chip and I-SIP (integrated system in package) and all these three major technologies, which will be deployed in this plant, are being developed in India.’

Investment and Employment Generation

The Tata semiconductor unit in Assam is set to be established with an investment of ₹27,000 crore. The project is expected to generate approximately 15,000 direct jobs and 11,000 to 13,000 indirect jobs, providing a substantial boost to the local economy. Minister Vaishnav emphasized the foundational importance of the semiconductor industry, noting that the new unit will create employment opportunities across various upstream and downstream industries.

Production Capacity and Technological Advancements

The new facility will have a proposed capacity of producing 4.83 crore semiconductor chips per day. It will also serve as a development site for indigenous advanced semiconductor packaging technologies, including Wire Bond, Flip Chip, and I-SIP (Integrated System in Package) technologies. These technologies, crucial for applications in automotive (especially electric vehicles), communications, and network infrastructure, are being developed domestically, underscoring India’s growing prowess in high-tech manufacturing.

Talent Development

Addressing the critical need for skilled professionals in the semiconductor industry, Minister Vaishnav announced the training of 85,000 industry-ready workforce members at B.Tech, M.Tech, and PhD levels across 113 academic institutions in India. Notably, nine institutions in the North-East are part of this initiative, contributing to the region’s educational and technological advancement. The institutions include:

  1. National Institute of Technology Silchar, Assam
  2. National Institute of Technology Mizoram
  3. National Institute of Technology Manipur
  4. National Institute of Technology Nagaland
  5. National Institute of Technology Agartala, Tripura
  6. National Institute of Technology Sikkim
  7. National Institute of Technology Arunachal Pradesh
  8. North Eastern Hill University, Shillong, Meghalaya
  9. National Institute of Technology Meghalaya

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