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HomeNewsBusinessRaymond plans Rs 1,200 crore investment in Andhra; garments, auto parts & aerospace in focus
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MC EXCLUSIVE Raymond plans Rs 1,200 crore investment in Andhra; garments, auto parts & aerospace in focus

As part of the initiative, the state government has offered a slew of incentives that include up to 30% capital subsidy, 100% exemption of electricity duty for 10 years

June 23, 2025 / 14:13 IST
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Raymond Group

Amid the buzz around India’s fifth-generation combat jet project, Andhra Pradesh has chalked a new chapter in aerospace. Raymond Group, the textile giant, has announced a Rs 1,202 crore investment in the state with focus on aerospace among other segments.

The aerospace project is the first such investment in the segment since the success of Operation Sindoor. Chandrababu Naidu wants to develop the region bordering Bengaluru on the Andhra side as an aerospace corridor, officials told Moneycontrol.

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The announcement by Raymond Group comes a month after a major tiff broke out between Andhra Pradesh and Karnataka over Naidu's proposal to shift the HAL production facility to Andhra Pradesh. So far, Hindustan Aeronautics has been manufacturing the fighter jets at its Bengaluru unit. However, with growing demand and repeated concerns around lapsed timelines, HAL has been looking for new locations. As of now, two HAL units are operating in Bengaluru and one is being set up in Maharashtra's Nashik.

Uttar Pradesh is also working towards developing a dedicated defence corridor. The state will see the production of BrahMos missiles to boost India's firepower.