In a significant boost to the employment landscape, Tata Group chairman N Chandrasekaran announced plans to create 5 lakh jobs in the manufacturing sector in five years. The jobs will be created across sectors such as semiconductors, electric vehicles, batteries, and related industries.
Speaking at a two-day symposium of the Indian Foundation for Quality Management, the Tata Sons Chairman emphasised that manufacturing job creation is mandatory for India to become a developed nation.
Tata Group entered in the global semiconductor industry after announcing its mega semiconductor fabrication facility (“Fab”) in Dholera, Gujarat in partnership with PSMC. This facility will generate over 20,000 direct and indirect skilled jobs in the region. The fab construction will begin this year with a total investment of up to INR 91,000 crores (~US$11bn).
Besides Gujarat, Tata Electronics is also building a state-of-the-art, greenfield semiconductor assembly and test facility in Jagiroad, Assam. The facility will be built with an investment outlay of Rs 27,000 crore and is expected to generate over 27,000 direct and indirect jobs in the region.
Assam’s facility will focus on three key platform technologies – Wire Bond, Flip Chip, and a differentiated offering called Integrated Systems Packaging (ISP), with plans to expand the roadmap to advanced packaging technologies in the future. These technologies are extremely critical for key applications in India – like automotive (especially electric vehicles), communications, network infrastructure, and others.
The construction of the facility in Assam is scheduled to start this year with the first phase of the facility becoming operational by mid-2025 which will provide an immense boost to industrialisation in North-East India.
With AI-led digitisation of every aspect of human existence, semiconductors will be the most critical building block. By 2030, Global semiconductor industry is expected to grow to US$ 1 trillion, and Indian semiconductor demand is expected to cross US$110bn. India’s entry into semiconductor manufacturing will significantly de-risk global supply chains and will make India a very important player in the global semiconductor industry.