Saturday, 28 December 2013

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.

10 comments:

  1. It's true in next 5-10 years Aerospace will be the largest revenue generating source. Good to see you shared useful information.

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    1. Next step of Bangalore towards the Development. Definitely this will become one of the best income source for Bangalore after this IT Hubs.

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  2. India and China both are making the companies and also that are looking to expand outside of these two markets.

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  3. I think Law and parliamentary affairs minister also had told number of private companies and HAL had shown interest in investing on it and in future investors will be there.

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  4. It is good to hear that Bangalore is the aerospace capital of india

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  5. Aerospace prpject in Bangalore, this will be like a revolution in Bangalore's growth.

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  6. It is better that to give this project to eco system developer rather than Real estate developer. Because Real estate developers will make it commercial.

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  7. Thanks for nice sharing. You can also find best place to set up your office in IT Park is getting easy in Wardha IT Park. The main object of Wardha IT Park is to provide best quality and cost effective space to the companies. For fruther Information about Best IT Park India Visit us Today!!

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  8. One more aerospace project in Bangalore, which is much helpful in the real estate growth in this particular area. Companies have to come forward and invest in these projects. Need to see how many Commercial Real Estate projects will come after the arrival this aerospace project.

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  9. Aerospace will be considered as the next growth engine for Karnataka after the success of IT sectors, it will generate lots of small and medium industries along with micro market. Now in this case the government has to concentrate on the technology and the quality of people not on infrastructure of the park.I believe Mr.Rao sense it right because the park should be eco-friendly with the environment and employees.

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