DEPARTMENT OF INDUSTRIES AND COMMERCE,
GOVERNMENT OF TELANGANA
Mars Orbital Satellite Mission
Aerospace & Defense
Industry outlook, Opportunity in Telangana
AVIATION: India is now the 3rd largest- and fastest growing- aviation market in terms of domestic tickets sold. India has 91 international carriers comprising of 5 Indian carriers and 86 foreign carriers, which ensure that India is well connected with most major countries. Revenue passenger kilometre (RPK) in domestic airline demand growth of 18.6% in 2018 was three times the global RPK growth of 6.5%.
DEFENCE: India plans to spend $130 bn on military modernization in the next 5 years, as achieving self- reliance in defence production is a key target for the Government of India. The Government has opened up the Defence industry for private sector participation to provide impetus to indigenous manufacturing. The opening up of the industry also paves the way for foreign original equipment manufacturers to enter into strategic partnerships with Indian companies. Annual Turnover by Private sector in Defence and Aerospace sector in 2018-19 is $2.4 bn.
Key Value Propositions of Telangana:
- Multiple Aerospace parks within/near urban living centres
- Unmatched value proposition- Superior Infrastructure at low Cost
- Abundant availability of Skilled Manpower
- Strong Defence cluster with established A&D Supply chain
- Strong innovation quotient(see Telangana innovation ecosystem) and research-industry nexus( Hyderabad has historically been a home to a large number of defence aero-space and defence research laboratories like DRDO, DRDL, RCI, BDL, MDN, Ordnance Factory, DMRL etc. as well as having a mature Defence manufacturing ecosystem with over a dozen major DRDO labs and Defence PSU establishments.)
- Attractive State Industrial Policy and package of incentives
- A rich cache of institutions that train personnel required for this sector.
- Home to one of the best IT/ITeS talent pools in the country leading to potential synergies.
We also have a strong private sector industry with over 25 large companies and over 1,000 MSMEs in aerospace and defence sector. Aerospace and defense ecosystem in Telangana has witnessed unprecedented growth in the past five years. In a short span of time since the formation of the state, Telangana has been able to attract large investments from US OEMs such as Lockheed Martin, Boeing, GE Aviation, Pratt and Whitney, Honeywell, Collins Aerospace etc.
Precision Engineering: There are over 1000 MSME units in precision engineering sector in Telangana
- The single window system under TSiPASS ensures all industrial approvals online within 15 days based on self certification.
- Land allocation process in our various Aerospace parks is online, transparent and swift.
- Any project with more than 200 Cr investment, or create an employment of 1000 or that is strategic for the State falls under mega project criteria.
- Mega projects are eligible for customised tailor made policies which has encouraged most Aerospace and Defence OEMS to establish themselves in Telangana.
- We also support skilling the initial manpower required for new strategic investments and have skilling partnerships with major US, UK and French Universities.
GMR Aerospace & Industrial Park, Hyderabad
The progressive policies of the Government of Telangana has enabled Boeing to take forward its commitment of creating a robust aerospace and defence ecosystem in India. The state-of-the-art Tata Boeing Aerospace Limited (TBAL) facility in Hyderabad is an example of Boeing’s strategic focus on ‘Make in India.’ TBAL produces aero-structures for Boeing’s Apache helicopter, including fuselages, secondary structures and vertical spar boxes for the world. Skilled talent, robust infrastructure, ease of doing business and a highly responsive government administration makes Telangana an ideal destination for the high-end manufacturing work that the aerospace and defence industry demands.
“The Government of Telangana has put in place very dynamic policies allowing Safran to continuously progress in the development of its footprint in India. This outstanding environment has been a great support to Safran when creating its harnesses facility in Hyderabad which is now fully operational. This has also been fully supported by the availability of highly skilled resources which are key for the longstanding success of such a project. This support from Telangana Government will greatly contribute in getting foreign OEMs’ participation to meet the Indian objective of setting up a complete aeronautic ecosystem and of creating numerous skilled jobs.”
“Telangana provides an ideal ecosystem with representation from private industry, public sector units and research labs along with a significant layer of MSMEs in the State. The support, infrastructure and policies put in place by the Government of Telangana are progressive and commendable. At Lockheed Martin we are extremely pleased and proud of our established footprint in the State that spans over a decade. We have two state-of-the-art joint ventures with Tata Advanced Systems Ltd. in Hyderabad producing C-130J empennages and aerospace components for commercial helicopters and aircraft for the past decade. This has been a catalyst for the growth of the defense and aerospace ecosystem with Tier 1/2/3 suppliers directly supporting the focus on self-reliance to meet India’s defense requirements and support economic growth with exports. The industrial environment prevailing in Telangana provides opportunities to advance indigenous manufacturing, contributing to the country’s society and economy.”
- Aerocampus Aquitaine, France
- Embry Riddle University, USA
- Cranfield University, UK
- Global Aerospace curriculum offered in Hyderabad at significantly lower price point.
- NSDC: Partnership for Aerospace skilling.
- FICCI, CII, SIDM, ASSOCHAM, USIBC, IFCCI, UKIBC, TACCMA, ICC, PHD CHAMBERS
- Telangana State Academy of Aviation
- Rajiv Gandhi Aviation Academy
- GMR Aviation Academy
- Flytech Aviation Academy Asia Pacific Flight Training Academy
- Asia Pacific Flight Training Academy
- UTC/Pratt and Whitney Engine Training Centre
- Only such facility in India, 3 rd in the world
- CFM (GE+ SAFRAN) Engine Training Centre
- Only such facility in India
- FSTC Flight simulator-training center
- TASL Centre of Excellence and Advanced Craftsmanship Centre (ACC)
- Hyderabad has > 1000 MSMEs in precision engineering industry.
- Groomed by defence PSUs: Familiar in military/aerospace grade manufacturing.
- Several SME have now become part of the global aerospace/defence supply chains servicing Global OMEs.
- Vibrant start-up ecosystem: Ready to provide innovative solutions.
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