Hyderabad, May 8 (TNT): Telangana will emerge as India’s undisputed aerospace and defence capital by 2030, Telangana Minister N. Uttam Kumar Reddy said on Friday while addressing the MSME Spark 3.0 Aerospace & Defence Manufacturing conclave in Hyderabad.
The conference was organised by the Federation of Telangana Chambers of Commerce and Industry (FTCCI) in association with the Telangana Department of Industries & Commerce here, bringing together over 400 policymakers, defence experts, industry leaders, startups, investors and MSMEs.
Addressing the gathering during the post-lunch session, Uttam Kumar , a former Indian Air Force fighter pilot, said aerospace and defence had been identified as priority sectors under Telangana’s industrial policy framework.
Describing Hyderabad as one of the world’s most cost-effective aerospace destinations, he highlighted the city’s ecosystem comprising defence laboratories, research institutions, advanced manufacturing facilities and a strong MSME base.
Nearly 1,500 MSMEs in Telangana are currently part of the aerospace and defence supply chain ecosystem, he said.
The Minister also spoke about Telangana’s focus on skill development and future-ready education initiatives, including the proposed TG Young University, which he said would help create a skilled workforce for emerging defence technologies.
Speaking at the conclave, former DRDO Chairman and National Security Advisory Board member G. Satheesh Reddy said the event coincided with the first anniversary of Operation Sindoor, which showcased the strength of India’s indigenous defence systems and technologies.
He said evolving geopolitical conflicts and changing warfare patterns had made technology-driven warfare, drones and unmanned systems decisive factors in national security.
He also highlighted the increasing contribution of MSMEs to India’s defence manufacturing ecosystem, noting that nearly 80 per cent of the value contribution in the Akash missile programme came from MSMEs.
Dr Satheesh Reddy further said the Defence Acquisition Council had recently approved defence acquisition proposals worth around ₹3.5 lakh crore under the Acceptance of Necessity framework, while India had already placed defence orders worth nearly ₹2 lakh crore, including around 220 Tejas fighter aircraft.
Addressing the gathering, DRDO Distinguished Scientist and Director General (Production Coordination & Services Interaction) Dr. Chandrika Kaushik said Operation Sindoor demonstrated the growing strength of India’s indigenous defence manufacturing ecosystem and the important role played by MSMEs.
She stated that India’s defence budget currently stands at ₹7.85 lakh crore, with over 75 per cent of the capital outlay earmarked for domestic industry participation, creating major opportunities for startups, MSMEs and private enterprises.
Dr Chandrika said more than 2,000 industries are currently working as development partners in DRDO projects, while over 2,200 technology licensing agreements have been signed, with more than 90 per cent involving private industry.
She added that over 750 DRDO patents are now being offered royalty-free to Indian industries to promote indigenous innovation.
On MSME support, she said DRDO’s Technology Development Fund provides grant-in-aid support of up to 90 per cent of project cost or ₹50 crore for startups and MSMEs, while more than 18,000 tests have been conducted at DRDO facilities over the past three years.
FTCCI President R. Ravi Kumar said MSME Spark 3.0 reflected FTCCI’s commitment to connecting MSMEs with emerging opportunities in aerospace and defence manufacturing.
FTCCI Industrial Development Committee Chairman P. Krishna said the conclave aimed to create awareness among MSMEs and startups about procurement opportunities, funding support and technology partnerships in the aerospace and defence sectors.
The event featured technical sessions on defence procurement, investment opportunities, funding support and entrepreneurial success stories, with participation from organisations including BEL, MIDHANI, Bharat Dynamics Limited, SIDBI and several aerospace and defence companies.
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