In a major step towards strengthening India’s indigenous defence and aerospace capabilities, the Union defence minister Rajnath Singh will lay the foundation stone for the Advanced Medium Combat Aircraft (AMCA) programme facility at Puttaparthi in Sri Sathya Sai district of Andhra Pradesh on May 15, 2026, alongside Andhra Pradesh Chief Minister N Chandrababu Naidu.
The facility is being established by the Aeronautical Development Agency under the Defence Research and Development Organisation and will house the Core Integration, Development and Flight Testing Complex for India’s indigenous fifth-generation fighter aircraft programme.
AMCA project to strengthen indigenous combat aviation
The AMCA programme is aimed at advancing India’s self-reliance in next-generation combat aviation technologies, including stealth systems, advanced avionics and integrated combat capabilities.
Spread across nearly 650 acres in Puttaparthi, the proposed facility will be developed with an estimated investment of around ₹15,803 crore. The complex is expected to serve as a national hub for aircraft integration, validation, flight testing and certification activities.
Officials said the project will significantly strengthen India’s aerospace infrastructure and reduce dependence on overseas testing ecosystems.
Andhra Pradesh backs aerospace expansion
The Andhra Pradesh government has extended support for the project through land allotment, infrastructure development and expedited approvals.
The project is expected to generate around 7,500 high-skilled direct employment opportunities over its lifecycle while accelerating the development of a larger aerospace and defence manufacturing ecosystem in the Rayalaseema region.
Sri Sathya Sai district emerges as aerospace hub
Sri Sathya Sai district has emerged as a high-potential destination for aerospace and advanced manufacturing investments due to its proximity to Bengaluru’s aerospace ecosystem, including Kempegowda International Airport and major defence establishments.
The district has also witnessed growing investments across aerospace, defence, electronics, automobile components and allied industries.
Andhra Pradesh scales up defence manufacturing ambitions
The state has already attracted defence manufacturing investments from companies such as Bharat Electronics Ltd, Bharat Dynamics Ltd and Kalyani Strategic Systems.
Under the Aerospace and Defence Policy 2025-30, Andhra Pradesh has identified six specialised clusters focusing on naval systems, missiles and ammunition, unmanned systems, aerospace and electronics, aircraft components, defence electronics, precision manufacturing, testing facilities and defence R&D.
The state government said the policy is aimed at creating opportunities for global OEMs, tier-1 suppliers and technology firms.
State plans next-generation industrial ecosystems
As part of its long-term industrial strategy, Andhra Pradesh is developing specialised industrial ecosystems aligned with defence, aerospace and deep technology sectors.
The proposed Space City project spanning Sri Sathya Sai and Tirupati districts is being planned as an integrated ecosystem for space and aerospace manufacturing, research and innovation.
In parallel, locations including Lepakshi, Donakonda, Tirupati, Visakhapatnam and Orvakal are being developed as aerospace cities and specialised industrial clusters to support large-scale manufacturing and high-technology investments.
Multiple defence projects to be launched
Alongside the AMCA facility foundation ceremony, foundation stones will also be laid for projects by Premier Explosives, Agneyastra Energetics, Drogo Drones, Dronelab Technologies, HC Robotics, SenseImage Technologies, Aerpace Industries, JDK Fly Drone World and Latrics Aerospace.
In addition, nine more companies are expected to sign memorandums of understanding with the Andhra Pradesh government in the defence and aerospace sector.