Tata Group plans semiconductor plant, battery storage unit in India’s Gujarat
In a move that will add further momentum to India’s nascent but rapidly evolving semiconductor landscape, Tata Group has announced setting up of a cutting-edge semiconductor fabrication plant in Dholera, Gujarat. The announcement, made by Tata Sons Chairman Natarajan Chandrasekaran at the ongoing Vibrant Gujarat Summit, is sure to act as a major boost for India’s semiconductor industry. Tata Group is currently in the final stages of negotiations for the semiconductor fab, with plans to commence the project in 2024.
This move follows the Indian government’s efforts to attract semiconductor chip manufacturers, exemplified by Prime Minister Narendra Modi’s offer of 50% financial assistance to such firms for setting up facilities in India. Gujarat, with its semiconductor policy for 2022-27, offering incentives over what the central government has offered, along with specific schemes, has portrayed itself as a favourable destination for such investments.
The semiconductor initiative is not the only significant venture by Tata Group in Gujarat. Mr. Chandrasekaran also highlighted the diverse projects in the state, including the construction of a 20-gigawatt battery storage factory, set to commence within the next couple of months. The expansion into electric vehicle (EV) technology, particularly in Sanand, positions the region as a central hub for Tata Group’s EV initiatives.
In addition to these advancements, Tata Power Co. Ltd. has reached an exploratory agreement with the government of Tamil Nadu to invest an estimated 708 billion rupees ($8.5 billion) in clean energy projects. This includes building 10 gigawatts of renewable energy projects and expanding solar panel manufacturing to 4.3 gigawatts of capacity.
The Vibrant Gujarat Global Summit serves as a biennial event showcasing Gujarat’s economic prowess and attracting investments from across the globe. This year, Adani Group has also announced a massive Rs. 2 trillion investment plan for the next five years, including the construction of the world’s largest green energy park in Gujarat’s Rann of Kutch.
