Karnataka rebuffs Lokesh's invite to investors in aerospace domain

A political spat has broken out between Andhra Pradesh and Karnataka over the decision of AP to roll out a red carpet welcome to prospective investors over the neighbouring State's decision to drop the decision to acquire land in Devanahalli for an aerospace project following protests from the farmers.

Following the decision to drop the project, AP IT, Electronics and Education Minister Nara Lokesh posted on X inviting the investors with very good incentives under the newly unveiled aerospace policy.

AP Aerospace and Defence Policy 4.0 (2025-30) released on June 27 aims to convert AP into a hub for aerospace and defence R&D and manufacturing with a target to attract investments amounting to Rs.1 lakh crore creating one lakh jobs by setting up specialised clusters in Visakhapatnam, Jaggaiahpet, Kurnool-Orvakal, Lepakshi-Madakasira, Tirupati and Devarakonda. A slew of incentives have been promised to mega investors as well as MSME and startups.

Lokesh's comments on social media soon after the land acquisition process was withdrawn in the face of angry protests from the farmers has drawn flak from several political leaders in Karnataka, who claimed that their State is way ahead of all others in developing the required ecosystem for investments in the aerospace field.

Lokesh on his X handle, stated referring to land available near Sri City: "Dear Aerospace industry, sorry to hear about this. I have a better idea for you. Why don’t you look at Andhra Pradesh instead? We have an attractive aerospace policy for you, with best-in-class incentives and over 8000 acres of ready-to-use land (just outside Bengaluru)! Hope to see you soon to talk across the table."

Rebuffing Lokesh, M.B. Patil, Karnataka Minister for Large and Medium Scale Industries, took to X to say: "ear @naralokesh, Karnataka doesn’t just offer land - it offers India’s No. 1 aerospace & defence ecosystem. We’ve built the country’s strongest aerospace base over the decades, contributing 65% of India’s aerospace output and ranking No. 1 nationally, 3rd globally.It isn’t about land alone - it’s about talent, innovation, and a proven ecosystem. We know what to do, when to do it, and how to do it. Nothing is slipping off."

He hastened to add :"#Karnataka will be one of the first states to reach a $1 trillion economy. And it’s not just aerospace; many new industries continue to choose Karnataka, and existing ones keep expanding here. We’ll always ensure the LAND and ecosystem needed to support both growth and new investments. Best wishes to your state as well."

It may be recalled that there was a lot of consternation as Naidu as the Chief Minister of united Andhra Pradesh was instrumental in upsetting Karnakaka's bid to house Indian School of Business (ISB). On his promise to allot land at the place of choice without any hassle and clear any difficulty they face on receiving a call directly to him, the ISB was finally established in Hyderabad.