In a significant move for India’s aerospace ambitions, Andhra Pradesh’s Minister for IT, Electronics, and HRD, Nara Lokesh, recently concluded a pivotal meeting with the entire Board of Airbus in New Delhi. This high-profile engagement with the $180 billion global aerospace giant signals a strong push for ‘Make in India’ initiatives.
The meeting, spearheaded by Airbus Chairman René Obermann and the President and Managing Director of Airbus India and South Asia, was particularly notable as it marked the Airbus Board’s inaugural visit to India specifically to explore the nation’s robust ‘Make in India’ program and identify new opportunities for indigenous production.
During the discussions, Mr. Lokesh delivered a comprehensive presentation, highlighting Andhra Pradesh’s strategic advantages and positioning it as an ideal location for a world-class aerospace manufacturing hub. The state proposed establishing a major Airbus facility, designed to integrate seamlessly with co-located Tier-1 and Tier-2 suppliers. This integrated approach aims to ensure an efficient, end-to-end supply chain and cultivate a thriving, high-tech aerospace ecosystem.
To sweeten the deal, Andhra Pradesh presented readily available industrial land parcels and showcased its progressive aerospace policy. This policy is meticulously crafted to facilitate rapid project execution, ensure global-quality manufacturing standards, and promote significant technology transfer. The ultimate goal is to establish Andhra Pradesh as a dynamic, export-oriented aerospace hub, capable of attracting substantial global anchor investments.
The Minister extended an invitation to Airbus to develop a fully integrated cluster where a wide network of suppliers, MSMEs (Micro, Small, and Medium Enterprises), and other partners could operate directly alongside the main manufacturing facility. This unique model promises to de-risk project timelines, boost local content, and achieve significant cost efficiencies through economies of scale. Furthermore, Andhra Pradesh is actively developing multiple aerospace corridors, offering diverse siting options that align perfectly with Airbus’s program requirements, strategically located near airports, ports, and robust logistics networks, with ample scope for future expansion.
Reassuring Airbus of a conducive business environment, Mr. Lokesh emphasized the state administration’s ‘investor-first’ philosophy. This commitment translates into fast-track clearances, streamlined single-window facilitation for all approvals, and a dedication to time-bound project execution. He notably referenced Chief Minister N. Chandrabrabu Naidu’s proven success in attracting world-class investments to Andhra Pradesh, underscoring the state’s unwavering focus on the speed and ease of doing business.
“Airbus sets the global benchmark in aerospace, and Andhra Pradesh is fully prepared to offer a highly competitive environment for advanced manufacturing, backed by comprehensive ecosystem support,” stated Mr. Lokesh. He further added, “With available land, a forward-thinking policy, and adaptable corridor options, we are confident in our ability to localize production, foster innovation, and scale global aerospace programs right here in Andhra Pradesh.”
Specifically, Andhra Pradesh’s compelling proposal includes:
- Ready Industrial Land: Equipped with “plug-and-play” facilities for both anchor and vendor units.
- Progressive Aerospace Policy: Featuring targeted incentives and robust support for MSME integration.
- Multi-Corridor Flexibility: Offering strategic locations aligned with existing airports, ports, and critical logistics routes.
- Single-Window Investor Facilitation: Ensuring swift, time-bound approvals for all necessary processes.
- Industry-Aligned Talent Development: Through strategic partnerships with leading educational and training institutions.