Oct 12, 2015 10:27 PM IST | Source: CNBC-TV18

Is Hyderabad India's latest aerospace hub?

Hyderabad is slowly giving Bengaluru a run for its money when it comes to aerospace design and that's not really a surprise.

Hyderabad is slowly but steadily eating away at Bengaluru’s dominance over the aerospace and aero-defence sectors. 

Aero design: Hyderabad comes of age

The cabin of this Sikorsky S-92 chopper which ferries US President Barack Obama and critical components that power ISRO's Mangalyaan have one things in common-- they're both made in Hyderabad.

Hyderabad is slowly giving Bengaluru a run for its money when it comes to aerospace design and that's not really a surprise.

Since the time Bangalore became an aeronautics hub thanks to HAL, Hyderabad has always had a stronger missile base, housing facilities belonging to DRDO, The Defence Research and Development Laboratory, and Research Center Imarat.

Hyderabad: Major Draw For Aerospace Giants

But over the last few months, Hyderabad has become a major draw for global aerospace giants, given its 1,000-plus small and medium Enterprises that are engaged in making components for defence institutions, and an influx of IT firms that cater to the aerospace segment.

Vanita Datla, Chairperson, CII – Telangana says: “Hyderabad has definitely has thrust and our ministers are keen to get big ticket investment; the new policy also helps towards it. "

Aerospace design: Investments Worth Rs 4,000 crore in Hyderabad

Hyderabad began establishing itself as a hub for aerospace and defence manufacturing in 2008, when Tata Advanced Systems set up a facility in India's first aerospace SEZ at Adibatla near Hyderabad.

In the last 4 months, since the unveiling of the Telangana industry policy, investments to the tune of over Rs 4,000 crore have come into the city. Investors say Hyderabad's advantages over Bengaluru go beyond better infrastructure and an emerging industrial base.

US-based Pratt & Whitney, which launched its third global centre to train aircraft engineers and technicians near the Hyderabad airport, says access to skilled manpower is a big benefit.

“We have good educational institutions and have seen many global companies investing at Adibatla; we have to see when it develops into full fledged ecosystem to compete with Singapore combined with investment support government provides, " says Palash Roy Chowdhury, MD, Pratt & Whitney India.

Telangana: New Aerospace Policy Coming Soon

The city is getting fresh impetus from the Telangana government's decision to set up a second aerospace park. Spread over 1,000 acres.
This will be situated at Elimenidu, on the outskirts of Hyderabad. The government is also giving the finishing touches to an aerospace policy to be announced in November.

Jupally Krishna Rao, Industries Minister, Telangana says: "Hyderabad will be a hub for aerospace and defence; now atmosphere in Bangalore is different as it takes three to four hours to reach anywhere in Bangalore."

Hyderabad the next aero design hub

So if the state government has its way, and if it make it easier to do business, Hyderabad may soon become India's new aerospace and defence manufacturing capital.
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