Winning Bizness Desk
Mumbai. India’s first gigascale electric air taxi hub will be developed in Andhra Pradesh, marking a major leap in the country’s green mobility ambitions. The state government has signed an MoU with Sarla Aviation to set up an eVTOL manufacturing plant in Anantapur district. The project, titled Sky Factory, will be built in a phased manner, with commercial operations planned by 2029. The initiative aims to make India a strong player in future aviation technologies and support sustainable air mobility.
Project planned with major infrastructure and investment
The Sky Factory will be located near Thimmasamudram in Kalyandurg mandal and spread over 150 acres in the first phase. The facility will include production lines, composite labs, R&D centres and a two-kilometre runway for DGCA-certified testing. Sarla Aviation will invest 330 crore rupees in the first phase, which will later expand to 350 additional acres, taking the total investment to 1,300 crore rupees. The hub is modelled on global aviation centres in California and Munich and will be supported by the Andhra Pradesh Airport Development Corporation Limited for fast-track execution.
Some of the facility’s core plans include:
- Integrated eVTOL manufacturing and testing zones
- Dedicated composite structures and landing gear units
Next-gen aircraft manufacturing plans
The plant will manufacture Sarla’s flagship Shunya hybrid VTOL aircraft, electrical harness systems, advanced composite structures and landing gear. Once fully functional, the hub will have the capacity to produce 1,000 next-generation aircraft annually. eVTOL, or electric vertical take-off and landing aircraft, use battery power and can lift, hover and land vertically. Sarla Aviation aims to design a six-seater electric flying taxi that can significantly reduce travel time between major Indian cities.
Key components of the facility will also include:
- Development of electric propulsion systems
- Assembly of hybrid VTOL prototypes
Sarla Aviation aims to reshape India’s aerial mobility
Founded in Karnataka in 2023, Sarla Aviation is backed by private equity fund Accel. Its leadership comprises experts with global eVTOL industry experience. The company says electric air taxis can change urban mobility patterns and help India adopt faster, cleaner aviation options. The firm plans to start commercial flights by 2029, positioning India as a future leader in sustainable aerial technologies. The rapid global growth of the eVTOL market is seen as an opportunity for India to become a competitive international player.
Job creation and long-term economic benefits
Job creation is a core part of the project. By 2027, about 40 specialised jobs and 140 indirect jobs will be generated. Over time, thousands of additional jobs are expected as the facility scales up. The state government says the hub will support the ecosystem for advanced manufacturing, aerospace innovation and green technology. It aims to position Andhra Pradesh as a capital for next-generation manufacturing while boosting the regional economy.
Industry leaders call it a milestone for India
Sarla Aviation co-founder and CTO Rakesh Gaonkar said the gigascale Sky Factory would shape the future of flight and create thousands of high-skill jobs. He said the integrated campus will help India design, build, test and operate advanced eVTOL systems. The MoU was signed at the CII Partnership Summit 2025, reflecting strong industry-government cooperation.
The leadership believes the project will:
- Turn India into a global force in electric aviation
- Enable end-to-end development from design to flight operations
Drone taxi rollout expected within two years
The first drone taxis are expected to roll out in the next two years in Andhra Pradesh. Sarla says phased development will allow job creation by 2027 and full commercial operations by 2029. The initiative is also expected to complement schemes such as UDAN by improving air connectivity. The global eVTOL market is projected to grow rapidly by 2030, and the state government says this project places India on the path to leadership in sustainable mobility.
