Tata-Airbus to Build India's First Private Chopper Plant in Karnataka

• Airbus and Tata are setting up India’s first private H125 helicopter assembly line in Kolar, Karnataka, starting with 10 helicopters per year.
• The facility benefits from Karnataka’s strong aerospace ecosystem and government incentives.
• This supports India’s “Make in India” drive and complements Tata-Airbus’ C295 assembly line in Gujarat.

Airbus and Tata Advanced Systems Ltd. (TASL) are collaborating to develop a Final Assembly Line (FAL) for the H125 civil helicopter in Kolar, Karnataka. This will be Airbus' fourth FAL globally after France, USA, and Brazil, and India's only private-sector helicopter assembly line. In its first phase, the plant will manufacture 10 helicopters annually, with room for expansion based on a projected regional demand of 500 light helicopters in the next 20 years.

The assembly line is located in the Vemgal Industrial Area, roughly two hours from Bengaluru, which takes advantage of TASL's IMR and Karnataka's favourable support structure for ancillary suppliers. TASL has made commitments for 740,000 of the total footprint for manufacturing, final assembly and MRO.

The undertaking represents a step forward for the Indian government's "Make in India" initiative to develop aerospace capabilities in the country. Karnataka was selected for the project over Anantapur, Andhra Pradesh based on its friendly business environment coupled with the existing TASL presence in the state.

Aravind Melligeri, Executive Chairman & CEO, Aequs, an aerospace manufacturer supplying to Airbus said, "This will not only strengthen indigenous manufacturing capabilities but also act as a catalyst for developing advanced industrial clusters".

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Karnataka's aerospace and defence policy provides numerous subsidies, including land subsidies, capital investment support, exemption of stamp duty and production-linked benefit of 1% of five years from the date of annual turnover.

On a related note, Tata and Airbus are constructing a C295 aircraft assembly line in Vadodara, Gujarat, which has generated significant political discourse surrounding allocation of major defence contracts.

"Initiatives like this drive skill development, attract supply chain investments, and create high-value employment, accelerating the transformation of India into a globally competitive and strategic node in global aerospace manufacturing", he added.

A Project Insider noted, "The locations were apprised based on their logistics facility, expansion potential, availability of skilled workforce and promises of the state government like fast track approval of permissions".