Semiconductor manufacturing in Assam will put state on global map: Ratan Tata

Manufacturing of semiconductors in Assam will put the state on the global map, said industrialist and philanthropist Ratan Tata, whose conglomerate has put in Rs 27,000 crore in investments for a semiconductor plant in Jagiroad.

“The investments being made in Assam transform the state in complex treatment for cancer care. Today, the state government of Assam in partnership with the Tata group will make Assam a major player in sophisticated semiconductors,” Ratan Tata posted on his X timeline, attaching pictures of him, Himanta Biswa Sarma, and Tata Sons Chairman N Chandrasekaran.

Tatas, in collaboration with the Assam government, has already set up several cancer care hospitals across the state.

“This new development will put Assam on the global map. We wish to thank the Chief Minister of Assam Mr. Himanta Biswa Sarma for his support and vision that has made all this possible,” Ratan Tata’s X post added.

Earlier on Tuesday, Union Minister Ashwini Vaishnaw assured that the first semi-conductor chip would be rolled out

“We will have the first made in India chip by December 2024. We the first attempt at this was made as far back as 1962 but unless you have the correct policy and right conviction it can’t happen. PM Modi has the conviction that for Viksit Bharat we need electronics manufacturing. From TVs to power electronics, in everything we need semiconductors” the Minister had said.

On March 13, Prime Minister Narendra Modi laid the foundation stones for the three semiconductor facilities with financial implications of about Rs 1.25 lakh crore – 2 in Gujarat and 1 in Assam. Tata Group is setting up two of these three plants – one in each of the states.

The semiconductor industry in India is still in a nascent stage, with various local and multinational companies intending to tap its vast potential.

Tata Semiconductor Assembly and Test Pvt Ltd (“TSAT”) will set up a semiconductor unit in Morigaon, Assam. With a capacity of producing 48 million chips per day, this facility is being built for Rs 27,000 crore. Segments that will be covered are automotive, electric vehicles, consumer electronics, telecom, and mobile phones.

Assam Chief Minister Himanta Biswa Sarma, who was present during the foundation stone ceremony, said that industries in India had never considered the northeast region for businesses during previous industrial revolutions.

The region which was neglected in the past was included in the technological revolution by Prime Minister Modi, Sarma had asserted.

Tata Group hopes that the commercial production of semiconductors chips at the two plants – in Gujarat and Assam – whose foundation stones were laid on Wednesday, would start in 2026. Chip shortages during Covid realised the importance of indigenous manufacturing to fill deficiency, for national security and galvanise indigenous innovation.

Meanwhile, American chip maker Micron’s high-end semiconductor fabrication plant at Gujarat’s Sanand, which is India’s first, is coming into reality at a rapid pace. It is expected to be operational in late 2024.