Hyderabad Emerging as India’s Aerospace and Defence Capital, Says Minister Uttam Kumar Reddy
Minister Uttam Kumar Reddy said Hyderabad is emerging as India’s aerospace and defence capital with over 30% annual growth and a booming defence ecosystem.
N Uttam Kumar Reddy said Hyderabad is emerging as India’s aerospace and defence capital as Telangana’s defence sector records over 30 percent annual growth. Addressing MSME SPARK 3.0, the minister stated that aerospace and defence exports from Telangana registered a massive 103 percent CAGR between 2024 and 2026, with more than 1,500 MSMEs already participating in the state’s aerospace and defence supply chain.
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The minister said Hyderabad has become the undisputed nerve centre of India’s aerospace and defence ecosystem.
Uttam Kumar Reddy Highlights India’s Defence Sector Transformation
Delivering the keynote address at MSME SPARK 3.0, Uttam Kumar Reddy praised India’s transformation from one of the world’s largest arms importers into a country exporting defence equipment to more than 100 nations.
He said the growth of India’s defence ecosystem was possible because of focused efforts made since the early years of Congress rule in the country.
According to the minister, continuous efforts by successive governments enabled India to meet more than 60 percent of its defence requirements through indigenous production.
Defence Exports Increased 34 Times, Says Minister
The minister stated that India’s defence exports increased 34 times over the years.
According to him:
- Defence exports increased from Rs 686 crore to Rs 23,622 crore
- India aims to achieve a production target of Rs 3 lakh crore by 2029
- The country is targeting defence exports worth Rs 50,000 crore by 2029
He said around 16,000 MSMEs are already connected to the national defence supply chain.
The minister also highlighted a domestic market potential of Rs 10 lakh crore over the next 20 years.
“Hyderabad Is Co-Authoring India’s Defence Story”
Speaking about Telangana’s contribution, Uttam Kumar Reddy said Hyderabad is not just participating in India’s defence journey but actively shaping it.
The minister, who has also served in the Indian defence services, said Telangana has been recognized as the Best State for Aerospace for five consecutive years.
He added that Hyderabad was ranked the world’s most cost-effective aerospace city in the Financial Times FDI rankings.
Hyderabad Hosts Major DRDO Labs and Global Aerospace Companies
The minister highlighted Hyderabad’s strong aerospace ecosystem, which includes major DRDO laboratories such as:
- DRDL
- RCI
- DLRL
- DMRL
- CABS
He also referred to major public sector undertakings operating in the city, including:
- BDL
- BEL
- HAL
- MDL
According to Uttam Kumar Reddy, several global aerospace and defence companies also have a presence in Hyderabad, including:
Aerospace Parks and Skill University Planned in Telangana
The minister said aerospace parks at:
- Adibatla
- GMR Aerospace Park
are already supporting the industry.
He added that upcoming clusters at:
- Eliminedu
- Medak NIMZ
will help global defence start-ups enter the market more easily.
The minister also announced that the upcoming Young India Skill University is being designed to bridge the talent gap in advanced manufacturing sectors.
Telangana Government Taking Proactive Steps for Aerospace Sector
Uttam Kumar Reddy said the Telangana government has declared Aerospace and Defence as priority sectors under the Telangana Industrial Policy.
He said Telangana is actively pursuing partnerships with the United States in:
- Artificial Intelligence (AI) for defence
- Satellite technology
- Counter-drone systems
- Cybersecurity
The minister also revealed that the state government signed an MoU with Cranfield University in the United Kingdom to establish an aviation centre of excellence in Hyderabad.
Additionally, the government is setting up:
- Composite manufacturing parks
- Drone parks
- A DRDO-proposed Centre of Excellence for smart manufacturing in Hyderabad
Telangana Minister Uttam Kumar Reddy said Hyderabad is rapidly emerging as India’s aerospace and defence capital, with the sector witnessing over 30 percent annual growth and exports recording a 103 percent CAGR between 2024 and 2026. Speaking at MSME SPARK 3.0, the minister highlighted Hyderabad’s strong ecosystem of DRDO labs, aerospace parks, global defence companies, and over 1,500 MSMEs. The Telangana government is also focusing on AI, drone technology, advanced manufacturing, and global partnerships to further strengthen the sector.
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