Industries Minister Murugesh Nirani on Sunday said that the Karnataka Aerospace and Defence Policy (2022-207), which aims to establish the State as the preferred investment destination for aerospace and defence manufacturing, will be ready by the three-day global investors meet starting on November 2.
Under the policy, the State will develop five aerospace and defence hubs in Bengaluru, Belagavi, Mysuru, Tumakuru, and Chamarajanagar.
“The policy aims to attract investments to a tune of ₹60,000 crore in the aerospace and defence sector during the five-year policy period, and to create additional employment opportunities of more than 70,000. It will also develop Karnataka as a manufacturing hub, including MRO and space applications for both Indian market and exports,” the Minister said in a note released here on Sunday.
The department is already developing phase 2 of the park at Haralur in over 1,200 acres near Kempegowda International Airport in Bengaluru, and financial incentives have been earmarked to park developers as per the Karnataka Industrial Policy 2020-2025.
The policy is coming at a time when the Defence Ministry has set a target of 70% self -reliance in weapons by 2027, creating huge prospects for industry players.
“The aerospace and defence parks will have a comprehensive infrastructure facilities, including roads, captive power generation, water supply, facilities for R&D, common training, and warehouse facilities, among others The government it is will provide courses pertaining to the aerospace and defence sector to create a strong pool of talent for the companies setting up units in the park,” he added.
Mr. Nirani, who has piloted the policy, said that India’s current market size of approximately $7 billion is expected to grow at a CAGR of 7.5% to reach $15 billion by 2032 that presents significant opportunity.
“Karnataka contributes a major share of 40% of defence electronics systems/products. To give a further boost, the policy offers huge land and financial incentives packages for space, defence and aerospace manufacturers, and other sub-sectors.”
