Make in Uttar Pradesh Aerospace and Defence Manufacturing Policy 2024-2030
Empowering India's Defence Future
Make in Uttar Pradesh proudly presents the Uttar Pradesh Aerospace and Defence Manufacturing Policy 2024, a bold and transformative initiative aimed at positioning Uttar Pradesh as the leading destination for aerospace and defence manufacturing in India. Uttar Pradesh, with its advanced industrial infrastructure, strategic location, and rich talent pool, is uniquely equipped to drive the nation’s ambitions for self-reliance in defence production.
As India’s largest state economy, Uttar Pradesh has long been a hub for innovation, industry, and advanced manufacturing. The aerospace and defence sector is poised for significant growth, and Uttar Pradesh is committed to harnessing this potential by attracting investments, promoting indigenous research and development (R&D), and creating a world-class ecosystem of suppliers and manufacturers.
Vision for 2030
Uttar Pradesh as a Global Aerospace and Defence Manufacturing Hub
By 2026, Uttar Pradesh aims to become the leading destination for Aerospace and Defence Manufacturing, both in India and globally. The state’s vision includes:
- Attracting ₹25,000 crores in investments: Creating a favorable environment to attract manufacturers, suppliers, and ancillary businesses to the aerospace and defence sector.
- Developing dedicated manufacturing clusters: Establishing aerospace and defence hubs in Varanasi, Nagpur, and Nashik, with world-class infrastructure, innovation centers, and cutting-edge R&D facilities.
- Building a robust ancillary ecosystem: Fostering collaboration and supply chain efficiency by developing a network of local manufacturers, suppliers, and vendors through a cluster-based approach.
- Creating 50,000 jobs: Generating new employment opportunities in the aerospace and defence sector by implementing targeted skill development programs and forging industry partnerships.
Mission
Transforming Uttar Pradesh into a Defence Manufacturing Powerhouse
The Uttar Pradesh Aerospace and Defence Manufacturing Policy 2024 reflects Make in Uttar Pradesh’s commitment to building a world-class ecosystem that strengthens India’s aerospace and defence capabilities. The policy’s key objectives include:
- Attract large-scale investments: Drive large-scale investments into the aerospace and defence manufacturing sector, fueling industrial growth in Uttar Pradesh.
- Foster innovation and R&D: Promote cutting-edge aerospace and defence technologies through collaborations with national institutions like the Defence Research and Development Organisation (DRDO) and Hindustan Aeronautics Limited (HAL).
- Establish dedicated clusters: Develop specialized aerospace and defence manufacturing clusters, encouraging the local production of advanced defence technologies.
- Develop industry-ready manpower: Support skill development initiatives to cultivate a pipeline of engineers, technicians, and researchers specialized in aerospace and defence, ensuring a steady supply of skilled professionals for the sector.
Key Objectives
Empowering Uttar Pradesh’s Defence Manufacturing Sector
The Uttar Pradesh Aerospace and Defence Manufacturing Policy 2024 aims to achieve the following ambitious goals:
- Attracting Investments: Uttar Pradesh targets ₹25,000 crores in domestic and international investments in aerospace and defence manufacturing by creating a conducive business environment that prioritizes ease of doing business.
- Building a Strong Ancillary Ecosystem: The policy focuses on establishing a resilient network of local manufacturers, suppliers, and vendors through a cluster-based approach, ensuring an efficient and reliable supply chain.
- Harnessing Institutional Potential: With the support of leading institutions like DRDO, HAL, and Ordnance Factories, Uttar Pradesh will drive the development of indigenous aerospace and defence technologies, catering to both domestic and global markets.
- Promoting R&D and Innovation: The policy fosters a thriving innovation ecosystem by encouraging R&D in cutting-edge aerospace and defence technologies, positioning Uttar Pradesh as a hub for indigenously developed solutions.
Fostering Skill Development: Uttar Pradesh is committed to advancing skill development in aerospace and defence manufacturing by partnering with industry leaders and academic institutions to cultivate a workforce ready to meet the demands of this growing sector.
Strategic Focus Areas
Pioneering Uttar Pradesh’s Defence Sector Growth
To realize its vision, Uttar Pradesh is adopting a focused strategy to build a vibrant aerospace and defence ecosystem:
Dedicated Aerospace and Defence Clusters
Uttar Pradesh will develop dedicated aerospace and defence clusters in strategic locations, including Nagpur, Varanasi, and Nashik. These clusters will feature state-of-the-art infrastructure, advanced R&D centers, and incubation hubs to support start-ups and innovators in the defence sector. This initiative aims to foster collaborative innovation and establish Uttar Pradesh as a global leader in aerospace and defence manufacturing.
Fostering Innovation and Indigenous R&D
Make in Uttar Pradesh aims to advance indigenous R&D by collaborating with leading organizations like DRDO, HAL, and Ordnance Factories, while leveraging the state’s robust academic and industrial ecosystem. These partnerships will accelerate the development of cutting-edge aerospace and defence technologies, including advanced missile systems, combat aircraft, and unmanned aerial vehicles (UAVs).
Skill Development for Industry-Ready Talent
Uttar Pradesh will drive skill development by partnering with premier technical institutions and global aerospace leaders. Collaborations with institutes such as IIT Bombay, VJTI, and centers of excellence will deliver specialized training programs in advanced aerospace technologies and defence manufacturing, creating a highly skilled workforce to meet industry demands.
Strengthening the Ease of Doing Business
Uttar Pradesh will enhance ease of doing business by introducing a fully integrated online Single Window Portal, streamlining regulatory approvals for aerospace and defence manufacturing units. This platform will enable seamless application submissions and clearance tracking, ensuring approvals are granted within stipulated timelines. The initiative positions Uttar Pradesh as a competitive and investor-friendly destination.
Incentives for Aerospace and Defence Manufacturing
The Uttar Pradesh Aerospace and Defence Manufacturing Policy 2024 provides a range of fiscal and non-fiscal incentives to attract investments, support R&D, and foster skill development.
| Incentive Type | Details |
| Capital Investment Subsidy | 25% subsidy on fixed capital investments (excluding land), up to ₹50 crores per project. |
| Land Concessions | Land at concessional rates in dedicated aerospace and defence clusters in Nagpur, Varanasi, and Nashik. |
| Tax Incentives | 100% reimbursement of SGST for the first 7 years for eligible units. |
| Power Tariff Subsidy | 30% reimbursement of electricity tariffs for 5 years, with additional incentives for renewable energy use. |
| R&D Grants | 50% reimbursement of R&D costs, capped at ₹2 crores per annum for successful technology development. |
| Skill Development Incentives | 50% reimbursement for skill development programs, up to ₹1 crore annually for aerospace and defence companies. |
| Recruitment Assistance | ₹15,000 per new recruit for a period of three years for local hires in aerospace and defence sectors. |
Ease of Doing Business
Streamlined Approvals and Clearances
Uttar Pradesh will launch a Single Window Portal to streamline investments and operations in the aerospace and defence manufacturing sector. This digital platform will simplify application submissions, approval tracking, and clearance issuance. Backed by the Uttar Pradesh Right to Public Services Act, the state ensures all approvals are granted within stipulated timelines, fostering a business-friendly environment for investors.
Conclusion
Uttar Pradesh Leading India’s Aerospace and Defence Industry by 2030
The Uttar Pradesh Aerospace and Defence Manufacturing Policy 2024 aims to position the state as India’s premier hub for aerospace and defence manufacturing. By driving innovation, supporting indigenous R&D, and cultivating a robust ecosystem of manufacturers, suppliers, and vendors, Uttar Pradesh is set to become a cornerstone in the nation’s journey toward self-reliance in defence production.
Make in Uttar Pradesh invites global investors, aerospace and defence manufacturers, and technology innovators to join this transformative journey and contribute to building a secure, self-reliant India.
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About Make in Uttar Pradesh
The Make in Uttar Pradesh is a Public Benefit Corporation (PBC) with a mission to establish Uttar Pradesh as a key player in international economic collaboration, focusing on strategic partnerships with nations like USA, Europe, Australia, African Union, KSA, China, India, Qatar, Saudi Arabia, Türkiye, and the UAE across vital sectors such as energy, technology, agriculture, and finance. Our goal is to integrate lessons from successful global economic models, adopting best practices to ensure sustainable and inclusive growth. We aim to enhance economic prosperity and diversification, contribute to societal progress, and promote sustainable economic practices. By leveraging Uttar Pradesh’s unique position, Make in Uttar Pradesh strives to drive substantial economic growth, spur innovation, and solidify Uttar Pradesh’s stature in the international economic arena, resonating with the government’s vision of a technologically advanced and interconnected economy.