Tata Begins Construction of India’s First Semiconductor Plant in Assam with Rs 27,000 Crore Investment

Guwahati: Tata has commenced the construction of India’s first semiconductor manufacturing unit in Jagiroad, Assam, with an investment of Rs 27,000 crore. This initiative marks a key step in the Indian government’s strategy to establish a comprehensive semiconductor manufacturing ecosystem in the country, according to a press release from the Ministry of Information Technology.

The ceremony was attended by Assam Chief Minister Himanta Biswa Sarma and Tata Sons Chairman N. Chandrasekaran.

The new Tata semiconductor assembly and test facility in Jagiroad is set to be India’s pioneering indigenous semiconductor assembly and test center. The Ministry of Information Technology described the event as a significant milestone in advancing the development of Northeast India and fulfilling Prime Minister Narendra Modi’s vision of a “Viksit Bharat, Viksit Northeast.”

Union Minister for Electronics and Information Technology Ashwini Vaishnaw emphasized the importance of the project, noting that the Union Cabinet approved it on 29 February.

 He highlighted that the facility, which will involve an investment of Rs27,000 crore, is expected to create 15,000 direct jobs and between 11,000 and 13,000 indirect jobs, with a total employment impact of around 27,000 people.

N Chandrasekaran announced that the plant, slated for completion in 2025, will produce 4.83 crore semiconductor chips daily. The unit will focus on developing advanced semiconductor packaging technologies, including Wire Bond, flip chip, and Integrated System in Package (I-SIP) technologies—all being innovated in India.

Vaishnaw underscored that this project aligns with Prime Minister Modi’s Act East policy and is part of the broader Semiconductors and Display Manufacturing Ecosystem development program, which was launched with a total outlay of Rs 76,000 crore in December 2021.

In addition, the Union Cabinet recently approved Micron’s proposal to establish a semiconductor unit in Sanand, Gujarat, which is also progressing swiftly.

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