BENGALURU: The State Cabinet on Friday approved the Karnataka Aerospace and Defense Policy 2022-27 with an objective of transforming the state into a defence manufacturing hub. The new policy comes at a time when aerospace industrial corridors are coming up in neighbouring Tamil Nadu and Uttar Pradesh. The policy also aims to establish Karnataka as the preferred investment destination for aerospace and defence manufacturing by ensuring more incentives and subsidies for manufacturers of components and in a long way serve the purpose of the Defence Ministry’s target of 70% self-reliance in weapons by 2027.
Briefing the media, Law and Parliamentary Affairs Minister JC Madhuswamy said that as per the new policy, 5 per cent additional subsidy will be given to encourage entrepreneurs and it may go up to Rs 35 lakh per entrepreneur to investment in the five aerospace and defence hubs in Bengaluru, Belagavi, Mysuru, Tumakuru, and Chamarajanagar.
As the skilled workforce is the need of the hour, as many as 10 engineering colleges will impart skills to 200 technical graduates with an offer of Rs 70,000 per month as stipend to them. The policy said 25% of India’s aircraft and spacecraft industry is based in Karnataka and 67% of all aircraft and helicopters manufacturing for defence services is done in the state.
Karnataka was the first one to implement an aerospace policy in 2013 and it is valid up to March 31,2023. The new policy has now been extended up to 2027. It is also likely to attract the investors during the Global Investors Meet slated to be held in November.