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Uttar Pradesh Defence Industrial Corridor (UPDIC) Attracts Rs 35,526 Crore in Investment Proposals

The Uttar Pradesh Defence Industrial Corridor (UPDIC) has achieved significant milestones in its development, with Rs 35,526 crore in investment proposals received, surpassing its initial target of Rs 34,000 crore by January 2026. The corridor, announced by Prime Minister Narendra Modi in 2018, aims to transform Uttar Pradesh into a major hub for defence and aerospace manufacturing, reducing India's dependence on imports.

Key Highlights:

  • 2,040 hectares of land have been acquired for the corridor, with 977.54 hectares already allotted to industries.
  • 62 companies have received land allotments for defence and allied manufacturing activities.
  • The lease deed process for about 11 additional companies is underway.
  • The corridor has attracted investment proposals worth:
    • Rs 12,803 crore in Kanpur
    • Rs 11,738 crore in Jhansi
    • Rs 4,850 crore in Lucknow
    • Rs 4,490 crore in Aligarh
    • Rs 880 crore in Chitrakoot
    • Rs 607 crore in Agra

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Production Begins at Nine Major Defence Manufacturing Units

Nine manufacturing units have already started operations across various nodes, with notable projects including:

  • Adani Defence Systems and Technologies Limited's ammunition manufacturing plant in Kanpur, with an investment of about Rs 1,500 crore.
  • Amitec Electronics Limited's production of equipment related to electronic warfare and satellite technologies in Aligarh, with an investment of around Rs 330 crore.
  • Aeroloy Technologies' production of titanium castings in Lucknow, with an investment of nearly Rs 320 crore.

Ecosystem Development and Skill Enhancement

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The corridor is expected to create a large ecosystem of MSMEs, startups, and ancillary industries linked to defence manufacturing. The state government has planned the establishment of Common Facility Centres, Centres of Excellence, and skill development institutes to support research, innovation, and workforce training in the defence sector.

Strategic Location and Connectivity

The corridor is strategically located along the Golden Quadrilateral connecting Delhi and Kolkata and is supported by a network of expressways, improving logistics and attracting export-oriented defence manufacturing.

Investor Takeaway

Investors should consider the growth potential of the defence and aerospace manufacturing sector in Uttar Pradesh.

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