Business Industry

Tata’s Assam Semiconductor Plant to Roll Out India’s First Indigenous Chip by 2025

India is on the brink of a major technological breakthrough with the announcement that its first-ever indigenous semiconductor chip will roll out by the end of 2025. This landmark development will take place at Tata Electronics’ upcoming semiconductor assembly and test facility in Jagiroad, Assam. With an estimated investment of ₹27,000 crore, the project is one of the largest of its kind in the country and represents a key milestone in India’s efforts to become self-reliant in advanced electronics manufacturing.

Once operational, the plant is expected to manufacture up to 48 million chips per day. These chips will serve a wide range of sectors, including automobiles, electric vehicles, consumer electronics, telecommunications, and industrial automation. The facility’s high production capacity is also expected to significantly reduce India’s dependency on foreign chip imports, enhancing the nation’s position in the global semiconductor landscape.

Infrastructure and Skill Development in Assam

The site for the semiconductor facility spans over 170 acres in Jagiroad, Morigaon district, previously occupied by the defunct Hindustan Paper Corporation. The transformation of this location into a high-tech hub marks a significant leap in industrial development for Assam.

To support the plant’s operations, the government has sanctioned a ₹111 crore dedicated water supply project, ensuring an uninterrupted supply of essential resources required for semiconductor production. Additionally, a Skill Development Centre is being built on-site to train local youth in advanced technologies such as semiconductor fabrication, artificial intelligence, and electronics.

Currently, 1,500 youths from Assam, mostly women, are being trained at Tata’s facility in Bangalore. These individuals will form part of the skilled workforce when the plant begins operations, reflecting a strong emphasis on employment generation and gender inclusion.

Economic Boost and Strategic Impact

The semiconductor plant is expected to create over 15,000 direct jobs and an estimated 11,000–13,000 indirect employment opportunities. Beyond boosting local employment, the project is anticipated to accelerate Assam’s emergence as a technology and manufacturing hub in eastern India.

India’s semiconductor demand is projected to exceed $80 billion by 2026 and reach $110 billion by 2030. The Jagiroad facility will be crucial in meeting this demand and positioning India as a key contributor in the global chip supply chain.

The plant stands as a testament to India’s strategic shift toward technological sovereignty. It marks not just an industrial achievement but a collaborative victory involving the central and state governments and private enterprise. With its upcoming chip launch, Assam is set to become the beating heart of India’s semiconductor revolution.

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