Raghu Vamsi signs MoU with Andhra Pradesh to set up ₹500-crore aerospace and defence manufacturing hub
Hyderabad, May 15. Raghu Vamsi Machine Tools Pvt Ltd has entered into a memorandum of understanding (MoU) with the Andhra Pradesh Economic Development Board to establish a major aerospace and defence manufacturing facility in Andhra Pradesh, in a move aimed at boosting indigenous production and high-technology industrial growth.
The agreement was signed in the presence of Defence Minister Rajnath Singh and Andhra Pradesh Chief Minister N Chandrababu Naidu, underscoring the project’s strategic significance for both national defence manufacturing goals and the state’s industrial ambitions.
Under the proposal, the company will set up a state-of-the-art manufacturing complex spread over 100 acres with an investment of ₹500 crore. The project is expected to generate around 1,000 direct jobs and a further 2,000 indirect employment opportunities across ancillary industries, logistics, services, and supply chains.
The upcoming facility will focus on precision manufacturing for the aerospace and defence sectors, including micro turbojet engine production, unmanned aerial vehicle (UAV) manufacturing and integration, and the creation of a dedicated UAV testing and flight validation range. The initiative is designed to strengthen India’s capabilities in propulsion systems, autonomous defence technologies, tactical unmanned platforms, and export-oriented aerospace manufacturing.
The project also aims to nurture a strong domestic vendor ecosystem in areas such as precision machining, composites, avionics, defence electronics, and advanced systems integration, contributing to long-term defence indigenisation and high-skill industrial development in the state.
Vamsi Vikas Ganesula, Managing Director of Raghu Vamsi Machine Tools, described the MoU as a major milestone in the company’s expansion into aerospace and defence manufacturing. He said Andhra Pradesh’s supportive policies, industrial potential, and strategic ecosystem for advanced manufacturing made it an ideal destination for the project, which he noted would contribute to India’s aspiration of becoming a global hub for aerospace and defence production.
As part of the agreement, the Andhra Pradesh Economic Development Board will facilitate coordination and provide support for investment processes and industrial development related to the project.
The proposed facility is expected to significantly enhance domestic capabilities in critical aerospace and defence components, aligning with the Government of India’s push for self-reliance under the Make in India and defence indigenisation initiatives.
