AB News Desk, New Delhi, 17 November 2024: India is making significant strides in the global semiconductor industry, establishing a cutting-edge semiconductor manufacturing unit in Morigaon, Assam. Spearheaded by Tata Semiconductor Assembly and Test Pvt Ltd (TSAT), this ambitious project represents a crucial milestone in India’s journey toward technological self-reliance. Expected to be completed by mid-2025, the Morigaon facility is poised to become a critical player in the nation’s semiconductor supply chain.
The Morigaon Semiconductor Facility
The facility represents a ₹27,000 crore investment and is designed to integrate advanced packaging technologies such as flip-chip packaging and Integrated System in Package (ISIP). With a production capacity of 48 million semiconductor chips per day, the plant will cater to high-demand industries like automotive, electric vehicles, telecommunications, and consumer electronics.
Beyond technological innovation, the Morigaon unit is set to transform the regional economy. The facility will create 15,000 direct jobs and an additional 11,000–13,000 indirect opportunities, contributing significantly to socio-economic development in Assam and neighbouring areas. This infusion of employment and investment positions Morigaon as a hub for semiconductor manufacturing in India and beyond.
The plant’s focus on high-capacity production aims to meet domestic demands while making India a formidable player in the international semiconductor market.
India Semiconductor Mission: Building Self-Reliance
India’s semiconductor market, valued at $38 billion in 2023, is projected to grow to $109 billion by 2030. To capitalize on this growth and reduce reliance on imports, the government launched the India Semiconductor Mission (ISM) in 2021 with a ₹76,000 crore outlay.
The ISM aims to establish a robust ecosystem encompassing chip design, fabrication, testing, and packaging. Through the Semicon India program, the government has introduced four key schemes to promote semiconductor fabs, display fabs, compound semiconductor facilities, and design-linked innovation. These efforts are creating an environment that supports every aspect of semiconductor manufacturing, from raw material sourcing to product assembly.
A Nationwide Push for Semiconductor Leadership
The Morigaon plant is part of a broader strategy to decentralize semiconductor production across India. Other major projects include Tata Electronics’ facility in Dholera, Gujarat, and Kaynes Semicon Pvt Ltd’s unit in Sanand, Gujarat. The government has also modernized the Semi-Conductor Laboratory in Mohali and introduced the Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS) and the Production Linked Incentive (PLI) Scheme to drive growth in the sector.
A Global Impact
The Morigaon semiconductor facility reflects India’s commitment to becoming a global leader in technology. As demand for semiconductors continues to surge worldwide, this facility, along with others, strengthens India’s economic resilience and technological prowess.
By addressing domestic needs and contributing to the global supply chain, the Morigaon project symbolizes India’s transition from an import-dependent nation to a manufacturing powerhouse. It is not just a technological venture—it is a cornerstone in India’s vision for innovation, economic growth, and self-reliance in the digital era.
