Government Approves Special Economic Zone for Tata Semiconductor Manufacturing Facility at Dholera

Tata Semiconductor Manufacturing Pvt Ltd to Set Up Chip Fabrication Unit in Gujarat

The Indian government has notified a special economic zone (SEZ) to be established by Tata Semiconductor Manufacturing Pvt Ltd for the production of electronic hardware and software, including IT/ITeS, at Dholera in Gujarat. The company plans to invest Rs 91,000 crore in setting up India's first chip fabrication unit.

According to the Department of Commerce, the proposal was approved by the Board of Approval, the highest body for SEZ-related issues. This decision was made on April 9, 2024, with the Department of Commerce issuing a notification for the establishment of the SEZ.

The SEZ will be set up on an area of 66.16 hectares and is expected to generate 21,000 jobs. The government has taken steps to promote the sector, including reducing the minimum contiguous land requirement from 50 hectares to 10 hectares for the semiconductor and electronics component sectors.

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This move is part of the government's efforts to boost the semiconductor industry in the country. So far, five new SEZs for the sectors have been notified, including:

These developments aim to create a favorable business environment for the industry and attract significant investments in the sector.