Karnataka has pursued to include drones as part of its new aerospace and defence policy, as the state government seeks to promote investments in the emerging technology in view of its wider use across sectors.

According to reports, the draft policy has also mooted sops for fresh investments or expansion of existing units in the aerospace and defence sector in Bengaluru as well.

According to reports, all recent policies of the state offered incentives and concessions for investments only in regions outside of Bengaluru.

The change in stance shows that the government wants to include the country’s technology capital as well for incentives, as it is home to a vibrant defence and aerospace manufacturing ecosystem and a 1,200-acre cluster is taking shape near the Kempe Gowda international airport.

The new policy will recognize the changing dynamics in the sector and align itself with the Aatmanirbhar program and with the emerging global trends. Apart from the IT/BPO sector, Bengaluru has cemented its position as India’s largest aerospace cluster, after the government set up Hindustan Aeronautics Ltd in 1940, and is pursuing ambitions to become Asia’s aerospace hub.

Murugesh Rudrappa Nirani, Minister of Large and Medium Industries of Karnataka says, Karnataka makes up 40 percent of India's defence electronics systems and products. Our incentive package will give further boost to the sector. The state had targeted $6 billion in investments over the next five years.

According to reports the government it would build Bengaluru, Belagavi, Mysuru, Tumakuru and Chamarajanagara as aerospace and defence hubs over the next five years.

Aravind Melligeri, chairman, Aequs says, “We believe Karnataka is poised to retain its leadership in aerospace design & manufacturing. While incentives are one thing, the bigger challenge would be to continue developing manufacturing clusters and making sure industries get technically skilled workforce in design and manufacturing locally. That will fuel investments and add jobs.”