TATA Group looking for land to set up a semiconductor assembly plant

India is looking to recover the lost crown in the semiconductor manufacturing space and also become self-reliant because COVID taught us how important semiconductors have become. So, one of India’s biggest conglomerates, TATA Group, is looking to get into semiconductor manufacturing thanks to India’s PLI scheme to make India self-reliant. As per Mint, TATA Group is scouting for land to set up the facility soon:

TATA Group looking for land to set up a semiconductor assembly plant – Everything You Need to Know

As part of its initial efforts to set up a local manufacturing ecosystem, Tata Group is exploring the land on which to set up a semiconductor chip assembly, testing, monitoring, and packing (ATMP) facility. Several key officials are exploring the possibility of selecting suitable locations in Telangana, Tamil Nadu, and Karnataka.

Soon, the group will focus on developing its ATMP unit rather than setting up a full-fledged fabrication facility for the time being. As part of the project, the company has formed an in-house team that consists of 200–250 employees. In addition, Tata is also planning to establish a packaging unit in Karnataka, has already visited several sites in three states, and is in the process of making a final decision about the site.

Furthermore, it has already begun a series of discussions with suppliers of semiconductor ATMP equipment as part of its ATMP planning process. There is a semiconductor assembly and packaging company under the Tata Group called TATA Outsourced Semiconductor Assembly and Test (OSAT), which is part of the Tata Group. In addition, the state would provide support for the establishment of the proposed unit, including the type of land, water, electricity, and other resources that would be required.

In an effort to attract semiconductor manufacturers and packagers to set up facilities in the country, the government has decided to provide financial assistance in the amount of Rs 76,000 crore. As a matter of fact, it is likely that Tata Group will be eligible for subsidy payments when the company submits its application to the government.