Telangana Sets Sights on Becoming India's Premier Defence and Aerospace Hub by 2030

Telangana is charting an ambitious course to establish itself as the nation's foremost centre for aerospace and defence manufacturing within the next four years. State Irrigation and Civil Supplies Minister N. Uttam Kumar Reddy outlined this vision at a major industry gathering on Friday, emphasizing the region's expanding capabilities in this critical sector.

The "MSME Spark 3.0 – Aerospace & Defence Manufacturing" conclave, convened by the Federation of Telangana Chambers of Commerce and Industry alongside the State Industries department, drew together over 400 participants including policymakers, defence specialists, micro and small-to-medium enterprises, technology startups, financial backers and corporate executives. The gathering at Taj Deccan in Hyderabad served as a platform to examine emerging possibilities within the rapidly developing aerospace and defence manufacturing landscape.

Reddy highlighted Hyderabad's emergence as a cost-competitive hub for aerospace production, crediting this growth to the presence of defence research facilities, sophisticated manufacturing infrastructure and an extensive network of MSMEs. The minister noted that approximately 1,500 small and medium enterprises across Telangana form part of the aerospace and defence supply ecosystem.

G. Satheesh Reddy, former chairman of the Defence Research and Development Organisation, noted that the timing of the conclave coincided with the first anniversary of Operation Sindoor, an operation he characterized as demonstrating India's self-reliant defence manufacturing prowess. He reported that the Defence Acquisition Council had approved initiatives valued at Rs.3.5 lakh crore under the Acceptance of Necessity framework, and underscored India's objective to reach defence export revenues of Rs.50,000 crore by 2028.

The Union government's commitment to the sector became evident through the allocation of Rs.7.85 lakh crore for defence expenditure, according to DRDO Director General Chandrika Kaushik. She emphasized that more than three-quarters of capital procurement spending has been earmarked for domestic producers, a policy that has unlocked substantial possibilities for MSMEs and emerging technology companies. Kaushik also highlighted that DRDO has executed over 2,200 technology transfer agreements and made more than 750 patents available without royalty charges to foster domestic innovation.

R. Ravi Kumar, president of the Federation of Telangana Chambers of Commerce and Industry, described the conclave as an effort to link MSMEs and startups with fresh commercial prospects in defence manufacturing as part of the Atmanirbhar Bharat framework.

The conclave featured dedicated workshops addressing procurement system improvements, financial assistance mechanisms, investment prospects and homegrown technological advancement. Participation encompassed representatives from DRDO, Bharat Electronics Limited, MIDHANI, Bharat Dynamics Limited, SIDBI and various private defence sector firms. Key corporate sponsors included Hyderabad Precision Manufacturing Co. (P) Ltd., Sudhakar Pipes & Fittings, Empilot, State Bank of India, SIDBI, Dynamic Aero, Ecobliss and Dun & Bradstreet.