Startup Originals Team
The Andhra Pradesh government has announced plans to establish a “Space City” in Tirupati, in partnership with Skyroot Aerospace, with the goal of boosting India’s self-reliance in space technology. As part of a broader aerospace and defence strategy, this initiative comes alongside plans for defence manufacturing hubs, and is expected to attract large investment, generate jobs, and enhance the country’s capacity for private satellite launches.
What’s Planned: Key Projects & Investments
- The Space City will be developed over approximately 300 acres in Tirupati by Skyroot Aerospace, a startup founded by former ISRO scientists. The company will invest about ₹400 crore into setting up facilities for private satellite manufacturing, assembly, testing, rocket launch capability, and storage.
- Also approved are two defence-manufacturing hubs in Madakasira, Anantapur district. One of these is a large facility (1,000 acres) by Kalyani Strategic Systems Ltd (a subsidiary of Bharat Forge) involving an investment of ₹1,430 crore, to produce defence energetics (explosives, ammunition, propellants) with scope to expand further into components for missiles and rockets.
- The total investment across these space-city and defence hub projects is in the range of ₹3,000 crore or more, depending on scale and future additions.
Why Tirupati Was Chosen & Strategic Advantages
- Tirupati’s proximity to the Satish Dhawan Space Centre (Sriharikota) gives it logistical and technical advantage, since Sriharikota is already India’s major launch facility. Having existing infrastructure nearby will help with connectivity, transport, safety, and supply chain considerations.
- Land for the Space City is being allocated across villages including Routhusuramala, BS Puram, and Kottapalem. These locations are deemed suitable for establishing an integrated facility for launch-vehicle assembly, testing, storage etc.
Policy & Economic Context
- The projects are part of Andhra Pradesh’s Aerospace and Defence Policy launched in June, which aims to attract large investments (₹50,000 to ₹1,00,000 crore over five years) into aerospace, defence manufacturing and related sectors.
- Chief Minister N. Chandrababu Naidu has emphasized that these moves will support India’s Aatmanirbhar Bharat (self-reliant India) mission, promote indigenous technology, and strengthen the state’s role in national and global space and defence ecosystems.
Expected Benefits: Jobs, Ecosystem & Industry Growth
- The new facilities are expected to generate thousands of jobs, both directly in space and defence manufacturing, as well as indirectly via supporting MSMEs (micro, small & medium enterprises) that supply components, services, infrastructure etc.
- A Space City will also attract private space sector investments, startups, research institutions, and international collaborations, especially in technologies such as small-satellites, propulsion systems, launch vehicles, and ground stations.
- Defence hubs will strengthen the supply chain for defence electronics, ammunition, propellants, raising Andhra Pradesh’s capacity to contribute significantly to India’s defence manufacturing.
Challenges & What’s Needed for Success:
- Policy clarity, timely infrastructure development, and regulatory support will be essential to realize full potential. Challenges may include land acquisition, environmental clearances, and ensuring safety around launch operations.
- Strong partnerships (private & public), skilled workforce, investments in R&D, and maintaining global standards will also be critical.
Conclusion:
With the “Space City” in Tirupati and associated defence manufacturing hubs, Andhra Pradesh is positioning itself as a leader in India’s drive toward self-reliance in space and defence tech. If executed well, this could accelerate growth, job creation, deepen India’s tech ecosystem, and raise the state’s and country’s standing in global space and defence industries.
