KTR lays foundation for VEM Technologies’ facility at Zaheerabad
Hyderabad: In a development that will further strengthen Telangana’s credentials as the seat of defence and aerospace activities, VEM Technologies is investing Rs 1,000 crore in Zaheerabad to set up an Integrated Defence Systems unit. Industries and IT Minister KT Rama Rao Wednesday laid the foundation stone for the unit that is coming up in […]
Hyderabad: In a development that will further strengthen Telangana’s credentials as the seat of defence and aerospace activities, VEM Technologies is investing Rs 1,000 crore in Zaheerabad to set up an Integrated Defence Systems unit.
Industries and IT Minister KT Rama Rao Wednesday laid the foundation stone for the unit that is coming up in 511 acre at the National Investment and Manufacturing Zone (NIMZ) at Zaheerabad. The project, when operational, will create direct employment to 2,000 people and indirect employment to 4,000.
Speaking on the occasion, Rama Rao said companies like VEM choosing Telangana for repeat investments signals the presence of a strong ecosystem here. VEM’s expansion will also aid in a host of ancillary units setting up their units in Zaheerabad. VEM’s Integrated Defence Systems unit is also a shot in the arm to the ‘Atmanirbhar’ campaign launched by the Centre. The company is referred to as the `Indian Lockheed Martin’ by the overseas industry players, he said.
“Hyderabad has been a key player in the defence and aerospace segment. Several PSUs have been operating here for years now. Former President of India and aerospace scientist APJ Abdul Kalam worked here. There are also many MSMEs working in this segment. A lot highend work, including some classified work, happens in Hyderabad,” said Rama Rao.
VEM, which already has two units in Hyderabad, will use this for carrying out defence works related anti-tank guided missiles, sniper rifles, unmanned aerial systems, aero structures for fighter aircrafts, large structures for defence equipment and underwater weapon systems for domestic and exports among others.
Industrial Corridor
Telangana has been asking the Government of India for a defence industrial production corridor between Hyderabad and Bengaluru due to the presence of a set ecosystem. This corridor will help in using each other’s strengths for value creation.
“Instead of giving a corridor to Telangana-Karnataka, GoI sanctioned it to Bundlekhand, where no such ecosystem is in place. Companies investing in this corridor will have to wait longer for the ancillary ecosystem to develop. GoI should rethink and consider locations where ecosystems are present and not just go to UP or other places just because they are important from a political point of view. There is a need to go beyond politics and support progressive States like Telangana. The competition should not be between cities or States. International investors compare countries,” he said.
Telangana, Andhra Pradesh, Karnataka, Tamil Nadu will stand to benefit if such a defence industrial production corridor was sanctioned between Hyderabad and Bengaluru, he said.
NIMZ
NIMZ is planned in 12,600 acre. So far, about 3,000 acre has been acquired and the remaining more than 9,000 acre acquisition is underway. Rama Ro asked the officials to take into consideration the rising land costs when deciding the price while acquiring the land. He said employment should be offered within the NIMZ to those giving their land for the NIMZ project.
Skill training
A skill training institute will be set up for training the people for VEM. The costs will be borne by VEM and Telangana Government. He asked the company to contribute for improving the primary health centres, schools and hospitals under its corporate social responsibility.
VEM Technologies Founder and Chairman and Managing Director V Venkata Raju said VEM’ s Integrated Defence Systems will be a new chapter in the defence, aeronautics and space sectors in Telangana State and in India. It will be the first of its kind in the country having the end-to-end infrastructure for assembly, integration and testing of the systems in the private defence sector in India.
VEM is one of the top five defence companies in the country in terms of competencies and infrastructure as it offers end to end technology solutions and systems for various weapon systems for land, air and naval applications.
