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Drone City and Space City Project

  • 15 Nov 2025
  • 2 min read

Source: PIB 

The Union Ministry of Commerce & Industry laid the foundation stone for the country’s first Drone City and a new Space City in Andhra Pradesh during the 30th Confederation of Indian Industry (CII) Partnership Summit. 

  • The projects aim to attract significant investment, create high-skilled jobs, and position Andhra Pradesh as a national hub for aerospace, drones and space technology. 
  • Drone City: Drone City to be built at Orvakal Industrial Node near Kurnool across 300 acres, dedicated entirely to drone manufacturing, testing and innovation. 
  • Space City: Planned near Sriharikota, India’s premier rocket launch hub, strengthening the state’s role in space-related industries. 
  • Incentives: State government to incentivise investors with 100% State Goods and Services Tax (GST) refund via an escrow mechanism and 20% capital investment reimbursement, ensuring transparent and non-bureaucratic processes. 
  • These initiatives align with national goals under Viksit Bharat 2047 and Swarna Andhra 2047 (a strategic vision launched by the Government of Andhra Pradesh to transform the state into a USD 2.4 trillion economy by the year 2047). 

Confederation of Indian Industry (CII) 

  • CII is a non-government, not-for-profit, industry-led body that supports India’s economic development through policy advocacy and collaboration. Founded in 1895, it is headquartered in New Delhi. 
  • The CII Partnership Summit is held annually in collaboration with Department for Promotion of Industry and Internal Trade (DPIIT) under Ministry of Commerce and Industry.

Read more: Drone Technology 

Shaping the Future of India's Space Sector 

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