Tamil Nadu Defence Industrial Corridor attracts over Rs 11,000 crore investment

The Government of Tamil Nadu has implemented a strategy to support the development of TNDIC, including standard manufacturing and testing facilities, incentives for industries, R&D support for the private sector and skill development initiatives.

Tamil Nadu Defence Industrial Corridor attracts over Rs 11,000 crore investment
Tamil Nadu Defence Industrial Corridor offers a strong business environment and integrated infrastructure, making it a prime investment destination in India.

The Tamil Nadu Defence Industrial Corridor (TNDIC) has received significant investment from the industry, with 53 organizations and companies investing a total of Rs 11,794 crore (approximately $1.6 billion). The five nodes – Chennai, Coimbatore, Hosur, Salem, and Tiruchirappalli – that make up TNDIC have created job opportunities both directly and indirectly through this investment.

Minister of State for Defence, Ajay Bhatt, acknowledged the support provided by the Government of Tamil Nadu in the development of TNDIC. The MoUs and arrangements made by the government have helped the corridor continue to grow and attract investment from the industry.

TNDIC offers a strong business environment and integrated infrastructure, making it a prime investment destination in India. With the state of Tamil Nadu being the country’s second largest contributor to the Gross State Domestic Product (GSDP), TNDIC’s five industrial nodes are well connected to each other and the rest of India.

The Government of Tamil Nadu has implemented a strategy to support the development of TNDIC, including standard manufacturing and testing facilities, incentives for industries, R&D support for the private sector, and skill development initiatives. In January 2019, the state launched a state-specific aerospace and defence policy to attract investment, generate employment, and create a global workforce for high-end manufacturing.

Tamil Nadu is home to premier academic institutes and a large pool of trained human resources, making it well-equipped to support the A&D industry. The government has been setting up skills development centers and defense parks in each of the five nodes, with common testing facilities and special incentives for Tier-1 companies and MSMEs. 

The Tamil Nadu Industrial Investment Corporation signed a MoU with the Society of Indian Defence Manufacturers and the Confederation of Indian Industries to proactively facilitate defence manufacturing in the state. The government conducts regular workshops for MSMEs to help them understand the specific requirements of the A&D sector, and special incentives are offered to companies investing over Rs 3000 crore on a case-by-case basis.

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First published on: 07-02-2023 at 15:46 IST
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