A massive ₹250 billion push by the Assam government offers extra incentives for electronics manufacturers, aiming to transform the state into a key industrial hub in Northeast India.
In a move to position Assam as an emerging hub for electronics manufacturing, Chief Minister Himanta Biswa Sarma announced that the state has set aside ₹250 billion in incentives for manufacturers setting up electronic components units.
Speaking at the ‘Assam Electronics Round Table 2025’ in New Delhi on Monday, CM Sarma revealed that the state government will offer up to 60 per cent additional incentives on top of what is provided under the Central Government’s electronics policies.
This decision follows the Centre’s approval in March of the ₹229.19 billion Electronics Component Manufacturing Scheme aimed at boosting India’s self-reliance in electronics production. Assam quickly followed with its own complementary policy.
The Chief Minister stated that investors in Assam’s electronics sector can benefit from three key schemes: the Centre’s components policy, Assam’s own incentives, and the UNNATI scheme, which promotes industrial development in Northeast India.
The incentive package also includes rebates on GST, assistance in building power infrastructure, and social infrastructure support. The state is additionally focusing on semiconductors, with a separate scheme offering a 50 per cent top-up on central incentives for chip manufacturers.
A major highlight of the round table was the Tata OSAT (outsourced semiconductor assembly and test) project under construction in Jagiroad. With an investment of ₹270 billion, it is expected to begin production by late 2025 or early 2026, producing up to 48 million chips daily.
A manufacturing hub named Ratan Tata Electronics Manufacturing City is being developed around it.
CM Sarma also highlighted Assam’s strategic location, bordering Bhutan and Bangladesh, making it central to India’s Act East Policy. Improved road, rail, and digital connectivity are aimed at neutralising past geographical disadvantages.
As one of the seven sisters of the Northeast is actively courting national and international investors, Sarma encouraged companies to take advantage of Assam’s first-mover benefits, promising streamlined processes and full government support.
