Tata Group Chairman N. Chandrasekaran recently announced plans for the Tata Electronics facility at Jagiroad in Assam, giving a much-needed fillip to the semiconductor industry in India.

“The Tata Electronics facility will have an investment of ₹27,000 crore and will produce 48 million chips per day,” Chandrasekaran said as he addressed a session at the recently concluded Advantage Assam 2.0 Summit.

The Indian semiconductor industry is touted to grow at a CAGR of 18.8 per cent to reach $115,600 million by 2023 according to industry insights, as the demand for chips rises in sectors such as automobile and decentralised banking systems.

Back in 2021, the union cabinet approved the SemiconIndia programme under the India Semiconductor Mission (ISM). With a financial outlay of ₹76,000 crore, the government initiative was set up to provide a “sustainable semiconductor and display ecosystem” in the country.

This week, at the Global Investor Summit 2025 in Bhopal, Madhya Pradesh, Union Minister of IT and Electronics Ashwini Vaishnaw assured that the country’s first-ever Made-in-India semiconductor chip would be ready for production in 2025.

Last year, in September, Tata Electronics announced its collaboration with Taiwan-based Powerchip Semiconductor Manufacturing Corporation (PSMC) to set up India’s first semiconductor fabrication unit.

The Tata Group Chairman also stressed how the Jagiroad facility is expected to add 30,000 jobs. “This facility will be a cornerstone of modern high-tech industrialisation of Northeast India, and we are committed to establishing one of the country’s first semiconductor manufacturing clusters here in Assam,” said Chandrasekaran.

With Indian design and product companies looking forward to the production facility for ‘Make in India’ chips, this development is expected to attract global customers in automotive technology, communication technology, logistics, consumer and industrial electronics, and other sectors, according to the top executive.

“It is my very humble belief that one day the cars that you drive, the mobile phones that you use, the televisions you watch, the medical equipment that scans your body, and the home appliances that you will use in your daily life would be powered by the chips packaged here in Jagiroad,” said Chandrasekaran.