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The Economic Times
The Economic Times

Tata's chip plant to have 450 suppliers, building 363-acre vendor park to house them: Official

Tata Electronics chip plant in Dholera will have around 450 suppliers and is working to develop a 363-acre vendor park near the facility to house those vendors, a senior company official said on Thursday.

During a panel discussion at Semicon 2026, Tata Electronics senior vice president for strategy and business development, Utpal Shah, said all the suppliers need to be located close to the chip manufacturing plant as the unit is highly capital-intensive and it cannot be down even for a few hours.

"If I just talk about our Dholera fab, we are going to have roughly 450 suppliers supporting us in the Dholera fab. These are a mix of domestic suppliers, many of them are international suppliers. All of these suppliers have to be having at least some presence in the close proximity of our fab," he said.

Tata Electronics chip manufacturing unit is coming up with an investment of around Rs 91,000 crore.

He said that the repair, maintenance support, the availability of spare parts, chemicals, gases -- all have to be set up in the infrastructure in such a way that mean time to repair is very short.

"We are going to be announcing today that we are developing with a reputed developer from Singapore. We are developing a large vendor park of 363 acres in Dholera. This will be a plug and play vendor park where all these international vendors can acquire land in this vendor park," he said.

Shah said as plug and play infrastructure will be available in terms of power, water, utilities, roads, even in some cases the shell of the buildings will be also provided to interested parties.

Tata Electronics CEO Randhir Thakur at the event said that the company will be signing 16 agreements at the SEMICON India conference with players across Europe, Japan, Singapore, and India adding that the company's 'fab' in Dholera, Gujarat and the packaging facility in Assam are "on track" to meet scheduled commitments made to the government.

The company at the event signed seven pacts. These agreements include partnership with Nexperia spanning across wafer fabrication, semiconductor assembly and testing, technology collaboration, and ecosystem development to strengthen semiconductor supply chain resilience and manufacturing capabilities in India.

The company has signed a pact with Fujifilm to accelerate the semiconductor materials ecosystem in India through localization of critical raw materials and development of a resilient supply chain around Tata Electronics' Dholera Fab.

Tata Electronics signed a pact with Besi to strengthen advanced semiconductor packaging capabilities at Tata Electronics' packaging facility in Jagiroad, Assam, and support the growth of India's OSAT ecosystem.

It has also signed pact with state-run Semiconductor Laboratory to focused on semiconductor indigenisation through joint efforts in chip design, process technologies, supply chain localization, and talent development and Gati Shakti Vishwavidyalaya to develop future-ready talent and specialized skills for semiconductor manufacturing, infrastructure, project management, and supply chain operations.

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