India plans on defying top international chip manufacturers
(MENAFN) India's Tata Electronics has embarked on a transformative venture in the Semiconductor industry with the groundbreaking of a new USD3.2 billion chip manufacturing facility in Assam. This initiative, expected to create around 27,000 jobs, marks a significant milestone in India's efforts to establish itself as a major player in the global semiconductor market.
The new plant, set to be situated in Assam, the largest state in northeast India, is poised to revolutionize the region's economic landscape. Tata Electronics aims to produce over 48 million semiconductor chips daily using cutting-edge, locally-developed technologies, according to India's Minister of Electronics and Information Technology.
During the ceremonial launch of the construction, Tata Chairperson N. Chandrasekaran announced that the facility has already employed approximately 1,000 local workers. When operational, the plant is anticipated to generate 15,000 direct jobs and between 11,000 and 13,000 indirect jobs, significantly impacting the local economy.
The chips manufactured at this facility will serve a variety of sectors, including automotive, mobile devices, artificial intelligence (AI), and other critical applications, catering to a global customer base. This development is expected to provide a substantial economic boost to the northeastern region of India, which has historically faced challenges in job creation and economic growth.
The region, comprising eight states, has struggled with ethnic conflicts, political instability, and challenging geography, which have hindered economic activity and investment. The establishment of the semiconductor plant is seen as a strategic effort to overcome these barriers and stimulate economic development in an area that has been relatively underserved.
The Assam state government has been instrumental in facilitating the project by securing a 60-year lease agreement with Tata Group for over 170 acres of land in Morigaon district, where the plant will be constructed on the site of a defunct paper mill. This partnership underscores the commitment to revitalizing the region and positioning it as a key player in the global semiconductor industry.
As India moves forward with this ambitious project, it not only aims to bolster its position in the semiconductor sector but also to address regional disparities and drive economic growth in one of its most underdeveloped areas.
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