Reliance Group plans $1bn aerospace park

The Anil Ambani-owned Reliance Group has selected Mihan near Nagpur in Maharashtra for developing India's first smart city for the defence sector. Known as Dhirubhai Ambani Aerospace Park (DAAP), the smart city will be developed at a cost of $1 billion to manufacture helicopters for both commercial and military applications   Stock Market Tips

The project would be the first integrated facility in aerospace structure, engine design and manufacture, fabrication and platform integration in the country. 

The move is part of the Reliance Group's aggressive play in defence, seeking to capture a slice of the $100 billion worth of opportunities that the sector would soon throw up as part of the NDA government's 'Make in India' programme to focus on indigenous manufacturing of defence equipment. 

Confirming the move, Reliance Group chairman Anil Ambani said, "The group plans to develop DAAP as a centre of excellence in the aerospace segment on the lines of the global centre of ship building at Pipavav in Gujarat." Earlier this year, the Reliance Group added heft in its defence manufacturing by buying out Nikhil Gandhi-promoted Pipavav Defence and Offshore Engineering (PDOE), which houses India's largest dry dock facility to build warships. It subsequently committed investments of Rs 5,000 crore towards indigenization efforts Free Share Tips

Company officials told TOI that Mihan was selected after negotiating with the governments of Maharashtra, UP, Madhya Pradesh and Rajasthan for land for the project. 

DAAP may draw some influences from Aerospace Valley in France, a cluster of aerospace companies and research centres concentrated around Toulouse. About 500 companies - including Airbus, EADS, Air France Industries and Dassault Aviation - operate in the cluster, creating jobs for around 1.2 lakh people  Stock Market Tips 

The aerospace park, comprising a cluster of manufacturers, will indigenously produce and deliver major aircraft components and spares and cater to the avionics requirements of the aerospace industry and will generate direct employment for over 2,000 people in the skilled category. Besides, it would also provide for 10,000 indirect jobs.