Tata Semiconductor Assembly and Test Pvt. Ltd.(TSAT)[1][2] is a India's first indigenous and greenfield[3] semiconductor assembly and test facility factory in Jagiroad.[4] It is further poised to become a landmark industrial project for the North Eastern Region of India.
The project is part of India's Semiconductor policy, supported by the India Semiconductor Mission and Assam's Electronics policy.[5] Construction is set to begin this year, with the first phase ready by mid-2025.[6] This will greatly boost industrialization in North-East India.
Background and Inception
The project was approved by the Union Cabinet chaired by Prime Minister Narendra Modi on 29 February 2024.[7] A meeting was held on 29 July 2024, at Janata Bhawan with officials from the Tata Group and the state government, preceding the scheduled 3 August 2024, Bhumi Pujan ceremony for the upcoming Tata Group semiconductor unit.[citation needed]
The foundation of the Tata Semiconductor facility was officially laid with a groundbreaking ceremony held on 3 August 2024.[8][9] The event was attended by key figures, including Assam's Chief Minister Himanta Biswa Sarma and Tata Sons Chairman N Chandrasekaran.[8] The ceremony was a significant milestone, signaling the commencement of what is considered a game-changing project for the region and the entire country.[citation needed]
According to the proposal, the semiconductor unit is expected to be established at erstwhile Hindustan Paper Corporation's Nagaon Paper Mill premise, which has been non-operational for several years.[10][11]
Investment and Impact
The Tata Semiconductor facility in Jagiroad, Assam, represents a significant investment of approximately INR 27,000 crore (around US$3.6 billion).[12][7] This substantial financial commitment is part of Tata Electronics' strategy to develop a cutting-edge semiconductor assembly and test facility, which is expected to generate over 25,000 direct and indirect jobs in the region.[a] This project aims to boost the local economy and advance India's position in the global semiconductor industry.[12]
Collaborations
On 16 April 2024, Tata Electronics and Tesla has been said to sign a strategic deal to procure semiconductor chips for its worldwide operations. Apart from Taiwan, China and South Korea, India is expected to join the chip supplies group soon.[15]
Footnotes
^Various news outlets in India report different numbers for the estimated future direct and indirect jobs that it will provide. Hindustan Times,[7] The Economic Times,[4] Business Today,[13] and others report it as 27,000 jobs, while Times Now reports it as 30,000 jobs.[14]
