Tata Sons Chairman Ratan Tata today said the group has decided to centralise its aerospace and defence business in Hyderabad.
"The Tata Group has decided that all its aerospace and defence (business), which is really the new area of Tata Group, will in fact be centred in Hyderabad, in Andhra Pradesh," Tata said at a function to unveil the first Sikorsky S-92 helicopter cabin made in a facility set up jointly by Tata Advance Systems and Sikorsky Aircraft Corp of the USA here.
"This is going to enthuse the private sector in defence and strategic areas -- one of the larger new areas of endeavour of the Tata Group," he said.
Tata-Sikorsky was allotted 50 acre of lands in the country's first aerospace special economic zone (SEZ) -- dubbed the APIIC Aerospace and Precision Engineering SEZ -- and is expected to pump in an estimated investment of Rs 1,000 crore into the project.
Similarly, a joint venture between Tata Group and AgustaWestland of Italy is said to be considering setting up a helicopter manufacturing unit at GMR Group's aviation SEZ at the Rajiv Gandhi International Airport in Hyderabad.
According to sources, the proposed investment in the SEZ is waiting for clearance from the Foreign Investment Promotion Board.
Tata said the investment in the Hyderabad SEZ is a part of the promise made by him to late Chief Minister Rajasekhara Reddy that the group would invest in Andhra Pradesh.
"... Reddy had kindly offered the state as a location for setting up Nano plant when we decided to shift it from West Bengal. Regrettably for Andhra Pradesh, we chose Gujarat. At that time we told them that we will look to invest in AP. What you see is a part of that," Tata said.
United Technologies Chairman Louis Cheneverta, who was also present on the occasion, said there are about 120 S-92 choppers currently operating across the world, out of which 75 are used by the world's largest oil and natural gas companies for offshore activities.
"It (JV with Tatas) helps Sikorsky to increase our international competitiveness. During the last five years when we started pursuing our global strategy, we are expanding our US and international workforce to double-digit growth year after year," Cheneverta said.
Andhra Pradesh Chief Minister K Rosaiah, who formally announced the launch of the new chopper cabin, invited the Tata Group to make more investments in the state.
"I invite the Tata Group to strengthen their manufacturing base in the state. Our government is ready to provide all necessary support for the projects. I wish Tata Group... (sets) up a chemical project in the Petroleum, Chemical Petrochemical Investment Region coming up between Kakinada and Visakhapatnam," he said.
