Aerospace Park in Bangalore Is Not a Real Estate Project

The India Head of UTC Aerospace Systems (UTAS) says that the aerospace industry in Bangalore is capable to generate revenue of $20 billion in the next 10-15 years if the state government supports and encourages an ecosystem that will grab the attention of the global companies.

Bangalore is the aerospace capital of India. UTAS part of the $64 billion US-based United Technologies is the largest MNC aerospace manufacturer in India and was also a component in the task force that aided to pass the first aerospace guidelines in Karnataka.

Chris Rao – Vice President of UTAS said that the government should support in seeking attention of companies to invest in aerospace industry. Despite of the launch of 1,000 acre of Aerospace Park next to the Kempegowda International Airport Bengaluru, it has failed to attract global Tier-I aerospace manufacturers. Bangalore that is supported by many public sector ventures like DRDO, HAL, and ISRO over the years has the right talented groups. Rao also added that, if the government sells land parcels near the Aerospace Park, then it is not emergent of an ecosystem idea. Right now that is what happening; the more real estate players are attracted rather than industry guys. In order to set up shops, an aerospace SEZ would also need Tier-III and IV suppliers along with academic and training institutions.

He also added that they are recommending the government to build the park as an ecosystem and asking them to give it to an ecosystem developer, rather to a real estate developer as it will create problems.

Rao also said that the industry should invest in technology and people, rather in land and infrastructure and currently the aerospace industry is focused in US and Europe. India and China are attracting the companies that are looking to expand outside of these two markets. China with intellectual property rights concern had made the aerospace companies to look eagerly at India. UTAS established two years ago with Good rich global acquisition of $19 billion indulges in manufacturing evacuation slides, cargo systems, lighting systems, sensors and integrated systems, seating systems, and electrical power systems for Boeing aircraft and Airbus.

Rao also told 60percent of the global manufacture of these products is made out of Bangalore and UTAS located in the IT hub of Whitefield has employed about 2,000 people and has grown too big of its 700,000 sq. ft. facility. He also added that the aerospace industry should achieve a stage where we can develop, design, support and manufacture products from India and need to hold up skills, especially on the design side.