Make in
TVOLUME 02e ISSUE 07 HYlDERABAD JUaLY 2017 PAGESn 68 Rs. 100 A gMonthly Magazaine of Telanganna Industrialists Fa ederation (TIF)
Special issue on Defence Aero&space Be competent
Indigenisation is our priority Strategic City
Contents
Make In Telangana A monthly Magazine of Telangana Industrialists Federation (TIF)
Editor-in-Chief a big leap K Sudhir Reddy Executive Editor M A Srinivasan a huge satisfaction
Editor Mirupala Gopal Rao Editorial Board Singireddy Niranjan Reddy Tadakamalla Vivek Sunil Kumar Mohareer V B Shankar Dr Mahesh Y Reddy Reporting K Chandrasekhar J Srikanth 08 International Correspondents United States of America Harish S Reddy Canada 12 Mayank Chadha United Kingdom Spandana Ayachitam Legal Advisor S Bharath Kumar
Circulation, Subscription & Distribution J Srikanth Be competent, if want to be Designed by Defence & Sahasra Graphics aerospace Hub For Editorial Content Email: [email protected]
For advertisement & circulation Email: [email protected] Printed & Published by K Sudhir Reddy, on behalf of Telangana Industrialists Welfare Federation, Printed at Sree Designs, No. 9, GF, Prashanth Towers, Musheerabad, Hyderabad-500048 Publication Consultant Published at Telangana Industrialists Welfare Federation. H No 1-8-8/1, Ravindranagar Colony, K Raghurama Raju Habsiguda, Hyderabad – 500007, Telangana.
4 Make in Telangana i JUlY 2017 Indigenisation eTeclanogsanya sneteedsm an Unless a perfect ecosystem is developed Defence and is our priority Aerospace will not be able to flourish in Telangana, says Shiva Kumar , a leading entrepreneur voicing the industry’s concerns
22 30
Inaugural Flight Bombay- Aurangabad Capt M.D Mistry, S.S Rao,Radio Officer, Air Hostess 42 Early Birds OF 37 Hyderabad Skies Strategic City a heaven for Research & Development
Need concessions 52 & nurturing a green estate 60
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 5 Editorial
Three years of pride new state was born on 2 June 2014, after demol - ishing decades of servitude. Three years is not a Avery big period considering the seven-decade old Independent modern India. What Telangana has achieved in these three years is being analysed by various parties, groups and individuals suiting to their wishes and interests. As a body of industrialists, TIF sees these three years as a period of reconstruction by demystifying the rumours and apprehensions about the capability to govern self, assert our rights and proving the entrepreneurial capabilities of Telan - gana people. Resilience is a quality of Telangana- come what may, it advances further. This is proven again in the past three years. Whether it is resolving the issue of power-cuts or un - veiling a brilliant industrial policy to attract investments, the government has proven beyond doubt that Telangana is
6 Make in Telangana i JUlY 2017 on rise. Taking the top spot in Sickness, NPAs extinct in the Defence, Aerospace and Atomic Ease of Doing Business; encour - dictionary of Telangana indus - energy are so strategic that they aging skill development and en - try. A two-way approach, getting weigh equally with statecraft. trepreneurship through T-hub, big industry, PSU or corporates Hyderabad city is a hub for all TASK, etc.; and recent sanction into state; developing MSME the three strategic sectors and of TIF MSME Green Industrial sector attached to it- shall be the being nurtured from mid-sixties Park- at every step the state gov - saviour of industry in Telangana. and especially post-eighties, has ernment has proven it’s commit - MSMEs deserve a lot more begun bearing fruits. That is why, ment for the development of help and encouragement from in all the successful satellite industry. This f orced the bitter the government. It is this sector launches, missile or defence de - critics with ill-intentions, to which provides huge employ - velopments Hyderabad took part keep their mouth shut. ment, engage a big number of in many ways. While the R & D These three years is like sow - entrepreneurs and also bridge establishments under DRDO in - ing the seeds and the coming rural sectors to industry. On the novated, many medium and years is the period of harvest. occasion of three years of the small enterprises took part in pro - We believe that industry shall formation of the state, TIF ap - duction. grow on it’s own if the govern - peals that the state government This issue focuses on Defence ments facilitate. This is the declare one year as the ‘Year of and Aerospace sector as the movement for the government, MSMEs’ and focus on the prob - Telangana government too at - industry bodies and individuals lems of MSMEs. This can bring tached much importance to these to take stock of the situation to a big leap in industrial produc - sectors in it’s industrial policy. take these initial steps further. tion, health of industries and Interviews of the people who Here are the few key issues to be welfare of micro, small and shaped and shaping up of the fu - resolved or facilitated by the medium entrepreneurs. TIF ture of defence and aerospace; state government. greets the people of Telangana on concerns of the industrialists in - Though there is much talk the occasion of State Formation volved in defence and aerospace about from Centre, Skill Devel - day and pledges to fulfill it’s role are discussed threadbare. We opment is still an area to be fo - in the reconstruction of Telan - wish this sector-specific focus cused. Unless we take measures gana. should bring the issues and con - to develop skills of the work cerns into debate to find solutions force, there will be a crisis in and help the Defence and Aero - terms of human resources and Focus Defence space industry grow in the city of quality. Bringing the financial Hyderabad. institutions to the doorstep of the and aerospace entrepreneur, especially the Dreams don’t run. They fly. micro, small and medium ones, Defence and aerospace are such is yet to be done. It is not a big sectors which demand wings not task for the state government to just for our wishes and dreams K.Sudhir Reddy make the words like Industrial but also to deeds. Sectors like (Editor-in-Chief)
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 7 a big leap a huge satisfaction
Telangana govt generates Rs 73,000 crore investment, 2.56 lakh jobs in two years revolutionary policy by itself cannot bring Achange; it should be led by an efficient leadership, imple - mented by dedicated employees are important to bring change”, said K T Rama Rao, Minister for IT and Industries. TS-iPASS was the policy he was referring to and the progress made in these three years by the newly formed state of Telangana was being pre - sented. Annual Report on Indus -
8 Make in Telangana i JUlY 2017 Proposed new Industrial Parks • Medical Devices Park inaugurated at Sultanpur in Sangareddy tries was released by KT Rama district Rao on 12 June in Hyderabad, - Will be the first of its kind in India coinciding with the occasion of - To be built in 250 acres two years of introducing of TS- - MoUs and land allocation for 10 industries on the iPASS. inaugural day The minister elaborated the • TIF MSME Green Industrial Park in Yadadri Bhuvanagiri dis - efforts made and the progress trict recorded in the industrial sector - Encourages MSME sector during the period of after re - - Project initiated and huge response from industrialists leasing the Annual report of the - TSIIC decided to build infrastructure with Rs 100 cr Department of Industries and • Hyderabad Pharma City Commerce, 2016-17. Industri - - Biggest Pharma Park in the country alists were agitational path be - - First phase to be built in 8200 acres, till now 6300 acres ac - fore the formation of Telangana quired demanding power supply and - To be operational by next year end the work done these three years - Environmental clearance and public hearing to be completed whether in power sector or any by October end other has changed the situation, • Kakatiya Mega Textile Park at Warangal he said. “This is the right con - - Spread in 1200 acres text to understand the growth - MOUs with entrepreneurs will be completed in 3 months in the newly formed state”, as - • Sircilla apparel park serted the Industries minister. - Helps the weaving community under distress in the past decade Rama Rao explained the - To be developed in the lines of Tirupur in Tamil Nadu achievements like becoming - To be inaugurated this year number one in EoDB in the • Laboratory and Incubation Space in Genome Valley country, initiation of Aerospace - To be built in 2 million sq. ft of area Parks, MoU with Boeing etc. - Conferences like BIO Asia regularly held in Hyderabad played He explained the efforts made a role by the government in promot - - A private enterprise MN Park to partner the state government ing the state across the world, in this venture in all the 14 thrust areas desig - • Seed Park in Siddipet district nated in the state’s New Indus - - Land acquired and will be initiated soon trial Policy. By participating in • Three Food Park at Janagama, Siricilla and one in Khammam global events like ADVAMED district held in Minneapolis, Aero - Earlier launched Food Park at Buggapadu in Sattupalli mandal India show in Bengaluru and is progressing BioAsia in Hyderabad, we - Good agricultural yield in the past two years are creating could project Telangana, he favourable conditions for food parks said. • Spice Park at Bhimgal in Balkonda Constituency “If anyone is looking at • Composite manufacturing cluster- place yet to be decided India under Make in India cam - • LED Park in Sangareddy paign, our aim is to make them • Plastic park in Rangareddy district prefer Telangana first”, said KT • Granite cluster in Siddipet district Rama Rao. Our government • Auto Nagars at Vikarabad and Miryalaguda should be projected as a dy - • Handloom clusters at Gadwal and other places • Dry Port in Nalgonda district, place yet to be decided namic, progressive and forward • Improve facilities in all the existing 116 industrial parks
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 9 Industrial Health Clinic logo launched ogo and website for Telangana Industrial Health Clinic Ltd. (TIHCL),was launched in this meeting. LThis is the first time in the country an institutionalized effort to help the sick and incipient sick in - dustries, has been initiated. It is a major policy decision and a revolutionary initiative, asserted K T Rama Rao. The logo was launched jointly by the Minister for Energy G Jagadish Reddy. This initiative will be supported by the Government of Telangana, Government of India, HNI's, FI's and people of the industry.The industries minister informed the audience that he met Kalraj Mishra, Min - ister for MSME in the Union Cabinet and urged cooperation from the Central Government. Yerram Raju, an eminent person in MSME sector explained the main points of the initiative.
thinking one, he declared. Our informed. The Telangana gov - corpus of Rs 1,000 crore. This TS-iPASS is received over - ernment is partnering with real should become operational this whelmingly in the country and estate private equity firm year. outside, he said. Even the Presi - Cerestra Advisors Ltd to float an Research and Innovation Cir - dent of KPMG, a globally re - infrastructure fund focused on cle of Hyderabad (RICH) which puted professional service the life sciences sector with a was launched last year will be - company praised our policy as not having any parallel in the Recognition of Excellence world, he informed. Exemplary work done by the Department of Industries and Because of the life science TSIIC is noticed and stood as a leader by bagging many prestigious ecosystem, Hyderabad has be - awards last year. Some major awards are- come a centre for life science re - • CNBC-TV18's India Business Leader Award (IBLA) under the search and Pharma industry, he Promising state category for consecutive two years said. India’s largest Animal Re - • Assocham- Best State in skill development source Facility in association • HUDCO Award for TSIIC for innovative practices in industrial with will also be set up in development Genome Valley this gives further • Skoch Challenger Award under Social Inclusion category, for fillip to pharma production, he encouraging Dalit entrepreneurs T-Pride
10 Make in Telangana i JUlY 2017 come fully operational this year and start delivering the goals, Mining opportunities Rama Rao said. He expressed Industries and mining go together and in Telangana both the de - confidence that all the proposals partments are led by K T Rama Rao. A huge leap was seen in the made this year would become a income through mining. While Rs 10.84 cr was earned on sand reality by next year to provide mining in the Telangana part of United Andhra Pradesh, post 2014 more employment to the locals. in Telangana only penalties on irregularities in land mining He explained the progress made grossed Rs 16 cr. by Telangana industry in detail. Telangana earned Rs 419 cr through sand mining in the last year which is a remarkable achievement. Telangana managed to achieve Overall income through mining was Rs 3169 cr, a growth of a 10.1% year-on-year of growth 103% above the target and 34 % growth rate. This is the highest in gross state domestic product growth rate recorded in the country followed by Rajasthan. (GSDP), compared to the na - tional average of 7.1% in 2016- 17, the report said. The 73,000 crore in investments and economy in the national gross government has allocated a created 2.56 lakh jobs in the domestic product (GDP) has in - budget of Rs 1,200 crore to the process, said the Industries Min - creased seven basis points (from textile sector for 2017-18, of ister. The department’s annual re - 4.21% to 4.28%) in 2016-17 which Rs 373 crore is for hand - port showed that Telangana against 2015-16,” Rao stated. looms and Rs 827 crore for pow - managed to achieve a 10.1% The State Government has erlooms and their modernization year-on-year of growth in gross started a new tradition of present - and other schemes, said K. T. state domestic product (GSDP), ing awards to performing indus - Rama Rao. compared to the national average tries to encourage the Telangana generated Rs of 7.1% in 2016-17. “The state’s entrepreneurs.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 11 Be competent, if want to be Defence & aerospace Hub Hyderabad's premier position in Defence and Aerospace Research is synonymous with Dr Vijay Kumar Saraswat , eminent scientist and former Director-General DRDO. Now, playing a key role as a Member of India's planning body NITI Aayog, Dr Saraswat discusses key issues regarding Defence and Aerospace sector with M A Srinivasan , Executive Editor. 12 Make in Telangana i JUlY 2017 What is the role of Defence and much to the GDP, it has many in - mechanisms, robotics, rockets Aerospace industry in terms of direct benefits. and aircraft, which have more the development of this country, Whenever you have a strong value in the civil sector than in both strategically and economi - Defence & Aerospace industry the defence sector. So, technolog - cally? with indigenous technology ical development in defence has For any nation, Defence and poured in it, it gives tremendous the impact on the overall growth Aerospace are the key industries, advantage for other sectors. Be - in other sectors and this impacts basically for two reasons. Firstly, cause world over, it is technology economy too. Hence it is strate - a lot of prestige is attached with from Defence & Aerospace gic, prestigious and paves way this because of the fact that these which have spurred the technolo - for a strong technological base are highly complex technologies gies in other areas. Take the case for the country. with low volume and high cost. of internet which was developed The strength expressed in De - for Defence in USA, today has a Is our Defence and Aerospace fence and Aerospace also gives lot of value in the civil sector. sector competent enough to an indication that the nation has Like that thousands of mecha - compete with the existing play - joined the club of developed na - nisms have come out, like com - ers like USA, Russia and Israel tions. Though it may not add munications, in the global market? Today, India has a very good base in Defence and Aerospace technologically, except in a few sectors where there is a need for lot of work to be done. But in majority of the sectors in de - fence India has a great strength. Take the exam - ple of missiles; we are compa - rable to the best in the world tech - nologically. Our Space research is so rich that, probably we are the only na - tion which can launch satellites, mul - tiple satellites in single launch at a low cost. We are the only ones to do indigenous develop - ment of reusable launch ve - hicles, hypersonic systems. So there is a tremendous impact.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 13 The area of defence where we some of the technological areas of Space and Department of have to put more efforts is in the in which we are lagging. Those Atomic Energy done very well. development of small weapons areas are next generation materi - Secondly, except for DRDO like armaments, guns and pistols. als, next generation sensors, which has their own users like It is not because they are techno - more automation in the next gen - armed forces, the other two de - logically challenging but the high eration of weapons and equip - partments, energy and space have global competition. We can do ment where emphasis is needed. different users, like energy sector. this only if we can beat the com - They had no competition from petitors technologically and pro - In some areas our research ex - outside and they could work out duce with economic viability. celled, like in space research. their own mission. Wherever the And also the fact that these small What are the factors contributed competition and collaboration arms have to be produced in large for such development? came it was to the advantage of scale is cost effective. Since we There are three reasons. The these agencies were in a position never emphasized on mass pro - first one is in which we have suc - to collaborate as knowledge bases not just manufacturing technology. We call this collabo - ration as ‘Know Why’ not as ‘Know How’ and we got benefit - ted. For example, Atomic Energy department has collaborated with Russia on the Fast Breeder Reac - tor; Space research has also col - laborated with Russia on GSLV Class of Launch Vehicles. DRDO has collaborated with Israel and Russia for Brahmos missile. These gave us a large push to our technology. Third point is there was a tremendous participation of in - dustry in these programs. These departments made industry as partner during development and later during production, to ensure duction of small weapons used ceeded were the areas which that the required volumes can be by infantry like forces, this is an were denied to us. Nobody was delivered by the industry when issue. Technology is growing at a ready to give us missiles, launch needed. This has helped the In - very fast pace. vehicles, satellites. So there was dian industry to grow from mere So, wherever we have gaps we no competition from outside and component manufacturer to sys - have to fill them, whether it is in at the same time we had the need tem developer. the field of sensors or materials to excel. So that need drove the or automation. Because of our synergy among the best in the As on today where do we stand progress in many sectors I have country in a mission mode to de - in the rankings like in the top no reason to say that we are not velop and deliver the systems. five club or top ten club in terms competent. We have to catch up That is why DRDO, Department of defence research and produc -
14 Make in Telangana i JUlY 2017 tion? to the tune of few lakhs of crores. They are trying only at a subsys - I think this kind of gradation is We have a strong modified Offset tem level and component level. immaterial. Every nation makes Policy today, which gives an op - Even if to build today’s systems weapons to meet it’s threat pro - portunity to encash as high as 50 one has to go through high level file. Our emphasis is to meet the percent. For example the Rafale stringent standards. Those stan - country’s strategic needs. Like - aircraft which is going to be de - dards have to be followed by the wise every country has different livered 50 percent offset in a deal industry. This requires the up gra - strategic needs. What is valid for of Rs 67,000 crore, even it could dation of industrial setup. India may not be valid for other end up 20 billion dollars per year. I would like to mention here nations. For example America Now we have to look at the that whatever progress made by wants to be an agency to protect Telangana industry which has industry in Telangana and erst - the whole world, we have no grown significantly over the last while Andhra Pradesh in this sec - such goal. Our strategy is to de - twenty five years. This could tor is despite the efforts of the fend our frontiers and defend happen mainly due to their asso - governments. The entire credit against enemies. We have no ciation with DRDO, Space and should go to the entrepreneurship hegemonistic requirements like Atomic Energy departments. We skills of the industry giants. I occupying other countries. have to take stock, whether they don’t think there has been any are equipped now to avail this major support or incentive worth You were associated with De - opportunity? To equip one has to mentioning. Whatever initiatives fence & Aerospace research in upgrade in to a very high level have been taken in the past has Hyderabad. What is the present Defence and Aerospace culture. also not been fructified into any scenario in Hyderabad? Build - While some of the industries tangible sector. ing of an ecosystem is most im - have done reasonably well, ma - Even after the formation of portant for the growth. What are jority have not reached to the Telangana there was a proposal the steps to be taken to take next high level of standards in manu - to set up an Aerospace Park, it leap? facturing, quality assurance, sup - doesn’t seem to fructify. There is Defence production is under - ply chain management, testing & lot of discussion. There is lot of going a sea change now. The rea - evaluation and managing aero - talk. But there are no tangibles. son is, we are getting upto 49 space industry to world level. We Investment into Defence and percent FDIs into this sector. Pro - have to accept that we have not Aerospace has come to the coun - curement by our armed forces is come to the level of showcasing. try but how much have come to
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 15 Telangana has to be assessed. I am situation in the state. governments’ mean business, not talking about IT sector. major initiative has to be taken to Whereas the Bengaluru Defence This is a very important observa - develop Aerospace and Defence and Aerospace Park is already tion. parks. Invite the investors and kicking. Boeing, GE and so many I was here till 2009 and in every support the existing industry here companies have come to Ben - Aeronautical Society meeting 50 by all kinds of incentives, taxa - galuru. There was a proposal to set to 60 members were participating tion, providing infrastructure for up Aerospace industry at Hyder - and showcasing their programs setting up new industries, helping abad by Mahindra to set up an and projects. They use to interact them to get skilled manpower- Aerospace Hub here, but I don’t with HAL, BDL and Ordnance these are the possibilities. know the progress. Bharat Forge Factory. That kind of growth is not Most important thing is, even was also trying to set up here. This seen today. Interaction levels be - the existing industries should is showing the lack of initiative tween the industry and research reach to the level of next genera - from the concerned government. tion of manufacturing. The next We hear a lot. There had been dis - generation of manufacturing is 3.0 cussions, seminars and work - Our armed forces and 4.0, which means more and shops; we have brought a large who have the love more automation and industry number of foreign companies to for the foreign controlled by Information Com - participate. For the last two years, munication Technology (ICT). in November we held seminars, equipment only Gone are the days where you were but it is not going beyond that. and they will in Defence & Aerospace with tin - This is the kind of situation as for continue to have kering technology, now it is highly as the government initiatives are automated. 4.0 generation de - concerned. this love. all this mands new machines, for example If you look from the side of in - talk of indigenisa - it should have additive manufac - dustry some of them have grown. tion from them is turing facilities. For example, if Now they are participating in the one industry is into polymers, they production of subsystems and sys - mere lip service should upgrade to 3D printing. tems in good numbers through in - which does not This will help to reduce cost, re - digenous programs. Some of them have any sense. duce material wastage, increase in are availing the offset opportuni - output and improve quality. If any ties which are coming. But the I have told this offset partner wants to come here, number of such companies is less many a times and he will look for only those compa - and we need to improve. ready to say again nies who have such facilities. All Though the opportunities are this needs one simple reason, i.e., knocking the ecosystem is not and again to policy. supportive. Even the present anybody. We need to setup now an growth is the result of some indi - ecosystem in Telangana with next viduals’ efforts and capabilities. I generation of manufacturing facil - think, by 2009, the number of in - ities. This is the initiative to be dustries which participated in de - labs have come down, that’s all I taken up by the government with fence program, in Telangana and can say. public-private partnership in a big Andhra Pradesh, has come down way. Adibhatla Aerospace Park 3 instead of increasing. This is not So, how to rectify the situation? has to be given a major push. If a good sign. This number should Two things are important. The Telangana entrepreneurs are not have gone up. This indicates the eco-system has to improve. If the ready people will come from out -
16 Make in Telangana i JUlY 2017 side. If you see in Bengaluru, export push. If we don’t Indian ority to the world, accuracy, com - those who have set up their in - industry cannot survive as this is petitiveness and also cost effec - dustries are not from Karnataka. a global issue. There is no de - tive. They have come from many mand for weapons in all the If you look at defence and places as there are incentives. Ex - countries. It is only in certain re - aerospace sector, take aircraft in - cept for the water problem the gions where there is active the - dustry for example, show me one Aerospace Park in Bengaluru has atre of war. So we have to look HAL product which is ex - been provided many facilities. for our exports to those countries. portable. Are we manufacturing You can see the initiative of the Of course we will not export to an aircraft? If we are, are we ex - state government. We have to those countries which are not porting? Are we manufacturing create a similar system here. friendly and also a threat to us. Unmanned Aerial Vehicle (UAV) Second point, if the Govern - There is a thought of exporting or helicopter for export? Even we ment of India wants Aerospace & Defence as a major growth sector in the economy, the rules of the game cannot be same as in the other sectors. This sector is low volume and high cost one. It is a sector where there is valuation of the product based on demand. In the times of war the cost would go up. Like today, where coun - tries like Syria are into conflict, small arms have become very costly. So there are various meth - ods to protect this industry from this kind of global vagaries, so that they remain competitive. A certain amount of permis - Akash missile to some friendly are not able to export Advanced sive action is required, which countries, which is a good move. Light Helicopter (ALH) in big means, if a product is designed, Once we start exporting one or quantity. This is the kind of ex - developed and manufactured in two products our status as an port push we require today. Ex - India or even just manufactured aerospace and defence nation ports demand a tremendous jump also, we should not permit the goes up. in technology, quality, perform - import of the systems. USA does Today, since we are not ex - ance, supply chain for the user not allow any weapon systems in porting, people are not realising nations and post-delivery serv - it’s armed forces, by legislation. the value of our technology. If ices. We have to build these as We should also have such legis - American or Russian products part of our system. I don’t think lation that if any item is devel - are getting good name it is be - Indian industry has grown to that oped and manufactured and cause they are exporting and a level which can take care of these available in India, armed forces larger number of countries are aspects. shouldn’t be allowed to import. using in the theatre of war. Why There are many such actions re - the ISRO is famous for launching This transformation cannot 3 quired to make Indian Aerospace satellites of other countries? It’s happen overnight. Create export industry competitive. because ISRO has time and again zones, give incentives and there Third one is, we need to give proved the technological superi - people will make subsystems.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 17 FDIs are flowing in, we have ex - industries and they should be set and now Telangana industry for port oriented zones and the stage up in a synergetic manner. The the past ten years to spend money is set. Now the policy frame facilities which are required for in this area and set up a facility. work has to be changed, state testing, evaluation and quality Just one industrialist established governments have to take initia - control are very expensive. The environmental chamber in a tives. Entrepreneurs also should percentage utilization time for an small way. But one has to think change themselves and they can - industry would be very small. So, big. In automobile industry, just- not continue to keep tinkering what is done world over is, cen - in-time kind of system with an with old technology. tral facilities through a Holding elaborate supply-chain manage - company in that complex are cre - ment system is needed, to do In quality management in aero - ated. All the industries in that door delivery when the item is re - space we are fairly poor and complex will be the stake holders quired in the assembly line. That needs a big thrust if we want to and the company will be run by is the level of proficiency we become global. It’s quite expen - the board representing them in a have to reach. We can’t do the traditional Marwari style of job. Do you see such professionalism in Telangana, which I mean Hy - derabad? In Karnataka, particu - larly in Bengaluru, the level of managerial skills to run such in - dustries has improved. So, in Telangana there is a huge up-gradation, change in manufacturing technology in ad - dition to test houses is required. Skill development is another area to be improved. If the Aerospace and Defence complex is sup - ported by the Government of Telangana by creating skill cen - tres, there will be a change. If we recall, for Adibhatla Aerospace Park we planned two level skill centres, one for the engineers and sive for every industry to have a cost effective manner. There the one for the technicians. Only the Quality Analysis - Quality Test - services are provided ensuring ones with the best skills would be ing (QA-QT) lab, do you suggest the quality. It could be testing of trained to meet 4.0 generation of the role of state and central gov - materials or calibration or evalu - technology. These skill centres ernments to improve awareness. ation of the engine and so on. will not be like any other CTI or Can we follow the models like Testing, evaluation and quality ATI, where people learn basics. Neuchâtel of Switzerland small control is a business by itself, The only industry which is oper - industries becoming big with today. ational at Adibhatla is Tata Aero - such efforts? If one sets up environmental space. They are working for In an Aerospace-Defence com - test facility, automobile industry American Sikorsky and also for plex one of the major aspect is will come for testing. I have been Lockheed Martin. Tatas trained meeting all the requirements of telling Andhra Pradesh industry Telangana technicians; of course
18 Make in Telangana i JUlY 2017 the technology they are learning MRO in India. Recently, Air successful, any country would go today is 50 year old. Even there, India has opened their MRO at for LCA Mark 2. Whereas we riveting technology, testing tech - Nagpur after the last purchase of took a decision to make LCA nology, the work culture and hy - the Boeing. Even then they are Mark 1 and not Mark 2 and in - giene on the shop floor are taught not having enough business. So, stead we decide that Navy will which is totally different from we have to look into aviation sec - import. Is it the right thing to do? what we see in our industry tor in totality, in terms of policies, Instead of supporting the indige - today. in terms of manufacturing capa - nous development and making Another thing is though we bilities and in business. sure that it succeeds we are im - have got large number of airlines porting. Just one Akash missile more regional airlines are going Most important thing does success is giving us a business of to join them. Aerospace is not de - India really wants to be a major more than Rs 30,000 crores. If fence alone, it is aviation sector aerospace and defence hub? Do LCA succeeds and meet the re - too. If you look at Maintenance we think of becoming self-suffi - quirements it will give more Repair and Overhaul (MRO) cient or happy with the imports business. There will be countries business in this sector, all airlines of weapons and equipment? It’s to buy them from us. are sending their aircrafts to Sri about 90% of the defence goods I squarely blame that there is Lanka, Singapore, Dubai and are not manufactured here, they no focus. On top that, our armed Abu Dhabi like places for are imported. That is why four or forces who have the love for the medium repairs which are re - five nations who have these tech - foreign equipment only and they quired in MRO. A hangar is nologies are thriving so long. will continue to have this love. available in Hyderabad airport Now, China has also joined that All this talk of indigenisation run by GMR’s MROC. But they league. They manufacture air - from them is mere lip service are hardly using it because of crafts, engines and all systems. which does not have any sense. I lack of policy. About twenty years back, China have told this many a times and was as good or as bad as India in ready to say again and again to So if you look at MRO sector this aspect. Once they have fo - anybody. there is huge opportunity. Repairs cused, they invested and gained. done in India are very expensive Wherever we have done in - Unless we have a focus, unless because of multiple taxes. I hope vestments they are subcritical we have a policy, unless there is with GST, there would be some and diffused. For example take participation from the govern - change and we have to wait how Light Combat Aircraft (LCA) ment and unless we have a policy it happens? There is no engine program. When LCA Mark 1 is to see India as an aerospace and
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 19 defence power we cannot achieve or in the electro-mechanical sector not a mere technology transfer it. I assure that if we are an aero - it is only MSME. I remember, center. It is a centre which does space and defence power, we can from late 80s onwards, there are technology transfer but when a be communications power, mate - forty to fifty industries in Telan - professor or a department devel - rials power, sensors power, a man - gana or erstwhile Andhra Pradesh ops a technology it is just a table- ufacturing hub and all sectors will with which I was closely working, top technology. It doesn’t fit into see innovations. Because we lag were not even having Rs 2 crore industry. There is a gap between behind in this sector, all the other turnover. Many of them today the table-top to bringing it to the sectors are also suffering. have crossed Rs 100 crore level of maturity. We call it in Take our energy sector, because turnover. So, there is growth. terms of technology maturity level defence does not bother about en - They are all MSMEs run by 3, 4 to 8, where an industrialist can ergy, we keep on importing all our young first generation entrepre - make use of it to produce goods energy equipment including solar neurs. I appreciate that because of which are competitive. This task, cells. Solar power industry has be - them DRDO and space research what we call as scaling-up has to come a mere EPC (Engineering has gained a lot. It’s a mutual and be done. Maturing the technol - Procurement Construction) indus - strong relationship working to - ogy, doing value-engineering and try. Is this a technology? Aero - gether. making cost-effective is the job of space doesn’t work like that. If value creation centre. this is the way aerospace is going You are on the Board of Studies Here there is another function to be run it cannot sustain. in many premier educational in - of building entrepreneurs. That Aerospace and defence is not stitutions like IIT. How to link up means we should have a group of like a service sector. In a service educational institutions with the bankers, venture capitalists, angel sector you can take somebody‘s industry? investors, sitting in the mechanism idea and build on that. Here you This is a major requirement of board culture. If one investor have to germinate the idea and today. Except IIT Hyderabad and wants to make use of the output of build on that. Internet has been set one or two other colleges most of IIT, he or she can contribute as a up by someone and software by the engineering colleges in this venture investor. So it is market - someone and needs will be met by city are substandard, particularly ing, scaling-up, technology trans - utilisation by all. in the private sector. They have no fer and also provides life-time knowledge of industry. I visited support. Technology is not static. Indigenousness is not mere pro - many private and government run If one starts manufacturing IC 3, duction, it is about ideas too. engineering colleges whose stan - after three years that will become This is a hard job. Every sector dards are very poor and their en - obsolete. will thrive if aerospace and de - gineers are not employable at all. No educational institution is in fence sector thrives. In this scenario, you cannot expect a position to take up this task. No them to participate in industriali - engineering college, IIT, NIT and I remember last year in an inter - sation. Passing the exam itself is a any university here, is in a posi - view you were talking about the big job for them. tion to do that. They create a tech - scope of MSME sector in de - For any educational institution nology transfer office, which is fence. What is the scope of to be creative and be partner either manned by either an administrator MSME sector in defence in as a consultant or an innovator or or who doesn’t understand tech - Telangana? to take technology from academia nology or a professor who is poor In fact, it was MSME which to industry to make into a product in teaching or a trouble maker. worked in defence in Telangana. there has to be an ecosystem both This requires initiative and to be So far no big industry has worked in terms of competence and link - done in a professional manner in it. You take any industry in elec - age. Educational institutions have then only investments flow in. tronics sector or mechanical sector to be value creation centres. It is There should be linkage like in -
20 Make in Telangana i JUlY 2017 dustry refers the problems to IITs, and IITs use the facilities of industry to develop prototype de - velopment. Professors of IITs should come to industry to under - stand the practical problems; some persons from industry can go to educational institutions and teach as visiting faculty, so that they can transfer the manufactur - ing and industrial experience to taking shape now. conducts an exam for engineers the students which will improve You can see the opportunities and certify them. Our society has their employability. Students and coming up. If any person with a huge membership. We were the teachers will know what chal - brain and money, he or she can people who presented the first lenges the industry is facing. set up a manufacturing unit for 8- paper how the green airfield Today, 90 percent of the profes - seater and 18-seater versions of should be, when Hyderabad Air - sors are not aware of the prob - aircrafts, with turbo prop work - port was being built. Our Hyder - lems of industry and similarly 90 ing efficiently. Hyderabad has all abad chapter and vice-president percent of industrialists do not the means to do it here. I already were seriously involved in that. know what new technologies suggested to the Telangana gov - So, Aeronautical Society is a very have come up. This gap can be ernment to set up a regional air - good organisation and particu - filled by value creation centres. line but nothing has happened. larly the Hyderabad chapter is Karnataka has implemented my has done very well. You are heading the Aeronauti - suggestion. I suggested setting up cal Society of India? What are a regional airline by Telangana, Thank you for a detailed in - the aims and objectives of this Andhra Pradesh and Karnataka terview, Hope your understand - society and how it functions? jointly. ing, vision and experience guide I have been associated with We are also suggesting in edu - Telangana industry and govern - Aeronautical Society for more cation, technological develop - ments to become competent and than 25 years. Today the Aero - ment and up-gradation of efficient in Defence and Aero - nautical Society has expanded its industry. Aeronautical Society space industry. scope by providing inputs to the policy makers in the areas of avi - ation, aerospace and other. We have contributed to the Regional Airline Policy, because of which regional airline has started in Bengaluru. We contributed to the idea of small aircraft develop - ment in the country. We proposed to have regional airlines operat - ing in the 500 km area of major hubs. For example we can have connectivity between Hyderabad, Warangal, Bidar etc.; Hyderabad- Pune, Hyderabad-Nagpur and Hyderabad-Bengaluru. This is
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 21 Indigenisation is our priority
Telangana industry has to gear up
Interview with Dr g Satheesh Reddy, Scientific advisor to Defence Minister India cannot be a technology follower anymore, says Dr G Satheesh Reddy, Scientific Advisor to Raksha Mantri and Director General (Missiles and Strategic Systems), DRDO, emphatically. In an exclusive interview with M A Srinivasan, he discussed the present scenario in Defence & Aerospace Research and Production, strategic outlook for the growth of the sector, at length.
Hyderabad is a hub for defence labs in Hyderabad, like in missile research and now gradually en - lab, has begun during late 80s tering into production. How this In 90s, industry and early 90s and with some ini - has evolved over the years? was a mere tial successes production has In 80’s the presence of indus - begun in small numbers. Produc - try in defence sector had been component tion of Agni missile started with very minimal. This was the case supplier. With the 4 numbers and reached to 10 by with at overall India and Hyder - hike in production late 90s. Later Prithvi was pro - abad. Even though there were a duced in 100 numbers. This grad - couple of workshops, they have by the year 2000, ual increase in production been pure suppliers. The change industry also got involved the industry in due has started coming in 90’s with course. In the beginning, when transforming themselves from transformed from the missile production was in mere workshops to manufactur - component supplier smaller numbers industry partic - ers or we can say from mere sup - to sub-system ipated as component supplier. So pliers to makers of Built-to-Print in 90s, industry was a mere com - (BTPs) systems. Probably the supplier and mostly ponent supplier. With the hike in reason could have been that R & in Build to Print production by the year 2000, in - D organisations also have not dustry also got transformed from produced any systems which activity. The component supplier to sub-sys - went into production. This is like numbers of missiles tem supplier and mostly in Build a circle, where R & D organisa - to Print activity. The numbers of tions have to develop something produced also grew missiles produced also grew as which has to be accepted by the as we can see with we can see with Agni, Prithvi and user and only then production be - agni, Prithvi and Dhanush. gins. Major leap came with the mas - Serious R& D work in R & D Dhanush. sive production of Akash which
Make in Telangana i JUlY 2017 23 started with hundreds and (IGMP). Three years back, when the defence sector. There is a spe - reached thousands. Then industry we called for industry partners’ cial emphasis is on indigenising could see an opportunity in this meet, more than 500 companies missile production. After five or sector and started investing in fa - attended from Hyderabad itself. six years we don’t want to import cilities and infrastructure. By this This explains the growth. any missile from outside and time Brahmos has also come up Whether it is small component want to build here completely. and all variants of missiles like supplier or workshop level par - Lot of efforts are being made in air defence missiles, BMD mis - ticipant or subsystem supplier, that direction. Then the quantity siles were being produced in the number of industries grew in of missiles we produce here will more numbers, thus creating a very big way. I strongly say that be in huge numbers. In the next more opportunities for industry. presently in Hyderabad, there are This is the path of evolution more than 500 industries which R&D and industry in Hyderabad. are working with us. First thing is indigenisation, which means, what we are importing today should be made in India. Second point is, to export our product it has to be a state-of- the art system or an advanced system which calls for a good amount of advanced research. Then only our product will be at par with the global products which are So, can we say production of What type of industries, are they available in the missiles in large scale has at - of medium scale? tracted the industry? SR: Medium to small scale. market. Naturally. Industry won’t in - There are a few big industries vest if there is no huge produc - too, like Premier Explosives, etc. five to ten years the value of the tion. As R & D started picking up missile systems which will be and showing it’s strength and the What is the present situation? produced will be two to three users started accepting them, in - Today’s scenario is that, there lakh crores and most of this to be dustry also found interest and is going to be a big leap or an - produced in Hyderabad. So, I started investing into it. In 90s other quantum jump in the com - say, local industry has to gear up there were only around 20 indus - ing five to ten years. Ministry of for this. tries when we started Integrated Defence (MoD) is making Secondly, whatever we are Guided Missile Program tremendous efforts to indigenise buying from outside now also
24 Make in Telangana i JUlY 2017 Sky is the limit for this genius from JnTU
r G Satheesh Reddy, Scien - sile systems.His technological (BMD) programme and suc - Dtific Advisor to Raksha contributions have left a lasting cessfully demonstrated the Mantri (Defence Minister of imprint on the technology map as Exo and Endo atmospheric In - India) and Director General (Mis - well as the defence preparedness terceptor Missile capabilities siles and Strategic Systems), of the country. • Under his leadership, state-of- DRDO is an Aerospace Scientist He conceptualized, designed the-art weapon systems- Inter well renowned for his R&D in and developed the fault tolerant Continental Ballistic Missile Missile Systems and contribu - redundant navigation system with (ICBM) Agni 5, Long Range tions towards advancement of innovative algorithms and other Agni 4, Advanced Naval Mis - Aerospace technologies and in - critical Avionics sub-systems siles, Medium Range Surface dustries in India. Hailing from which have been successfully to Air Missile (MRSAM), Mahimaluru village in Nellore flight tested in all the four mis - LRSAM, Astra, and HELINA district of Andhra Pradesh, Dr sions of the country’s first Inter achieved technological break - Satheesh graduated in Electronics Continental Ballistic Missile throughs, remarkable success and Communication Engineering (ICBM) class Agni-5 missile, and are in the advanced stages from Jawaharlal Nehru Techno - propelling the country to the elite of induction logical University (JNTU), Anan - club of advanced nations. This • Major role in successful real - tapur and pursued his MS and development brought in self-re - ization of Smart Anti Airfield Doctorate from JNTU, Hyder - liance in denied sensor technol - Weapon, Guided Munitions abad. ogy, possessed only by few and precision strike weapons As Director General, Missiles nations. • As Director, Research Centre and Strategic Systems, he is Achievements: Imarat, the Avionics labora - spearheading the entire design tory founded by Dr APJ Abdul • Provided necessary thrust to and development of a wide vari - Kalam, he led the develop - the Ballistic Missile Defence ety of tactical and strategic mis - ment of Avionics technologies
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 25 in critical areas for Indian Royal Institute of Navigation, • Young Scientist Award Missiles and other defence London; Royal Aeronautical from Hon’ble Prime Ministers of programmes Society, UK. India. • As Programme Director, suc - • First ever Scientist from India • IEEE USA President, Dr cessfully developed the to be conferred with the Silver Barry Shoop conferred Dr Medium Range Surface to Air Medal of Royal Aeronautical Satheesh with the first IEI-IEEE Weapon System (MRSAM) Society, London in the Soci - (USA) joint award for Engineer - and spearheaded its hat-trick ety’s Awards history spanning ing Excellence. success in the maiden mis - over 100 years. • National Systems Gold sions providing necessary • First Indian Scientist to be ho - Medal thrust to the Air Defence ca - noured and inducted as a For - • Dr Biren Roy Space Sci - pability of India eign Member of the Academy ence Design Award • As Project Director, Dr of Navigation & Motion Con - • Rocket Related technolo - Satheesh developed the coun - trol, Russia. gies Award try’s first Guided Bomb bol - • Honorary Fellow of Computer • Lifetime Achievement stering weapons capability of Society of India and Fellow of Award Armed forces, steered R&D many other professional/ sci - Honorary Degrees of of Avionics technologies in entific bodies in the country the restrictive Control and abroad. Doctor of Science Regimes and made the coun - Honours Amity University, Jawaharlal try self-reliant Nehru Technological University, • Indian Science Congress SASTRA University, Rajiv International Honours Association Homi J. Bhabha Me - Gandhi Technical University and • Only Scientist from India morial Award some more leading universities holding the distinction of • DRDO Agni Award for of India being inducted as Fellow of Excellence in Self Reliance has offset mechanism and that systems for international market. is needed and the rest will be dis - offset is also coming to Indian in - This is another development. All tributed to all other industries. dustries. If you look at Israeli these will give industry a quan - This facilitates coexistence of all. missiles El arsam and tum jump from being suppliers of Even in small arms, small mis - AmaArsam, majority of the off - systems and sub-systems to be - siles, some sort of missile inte - set work was done at Hyderabad come large scale production gration in guided bombs, we industries. By working with in - units, may be also as large scale want to go to for private industry ternational companies we gained integrators of systems. for integration also, provided experience in making systems of In Akash missile, which is pro - they have the necessary infra - international quality, though it is duced by Bharat Dynamics Lim - structure and other basic require - limited to Build to print activity. ited (BDL), 83% of the hardware ments. is coming from private industry. To what extent this change is BDL has become a lead integra - Is it the local Hyderabad indus - happening in Hyderabad’s R & tor and major part of the produc - try which is participating in the D units and industry? tion is done by industries. We are production of Akash or industry In the last two years we are thinking of a model in which, located elsewhere? pushing our systems to be mar - Public Sector Units (PSUs) or big In the case of Akash it is keted outside. We are giving the industries will be involved only mostly it is local industry. But in taste for Indian industry to make where a large scale infrastructure bigger missile it can go to bigger
26 Make in Telangana i JUlY 2017 industries like Walchandnagar in - capability to develop the systems. product it has to be a state-of-the dustries. Even in such cases also Industry should build R & D cen - art system or an advanced system major production is done from tres and need to work on it. The which calls for a good amount of Hyderabad and surrounding in - entire gamut of R & D need not advanced research. Then only our dustrial areas. I can say that most be only with the government, the product will be at par with the of the things are done in and industry also needs to enter into global products which are avail - around Hyderabad. That is why I it. Industry has to do research in able in the market. say the future is strong and bright niche areas as it cannot do in big The most important point I for the defence industry. The areas. Like the research done in would like to stress is, our prod - government is looking at industry Information Communication ucts should be on the same time with a lot of expectations. Technology (ICT) area, industry line as the global products and need to do research in niche area, should not lag behind ten or more What are the tasks before the in - come out with small components, years. India cannot be a technol - dustry in general and Telangana sub-systems or technologies re - ogy follower anymore. We in particular? quired. should be among the technologi - Industry needs to be geared up cally contemporary countries and to become missile integrators, in - Where do we stand in terms of that is the only thing which tegrators of guided bombs and quality in the global market for makes our products exportable. various other systems. They can exports? We are trying to transform our be exporters of these arms which If we look at Israeli aircraft in - country from an importer to an are cleared by the government for dustry, they are primarily making indigenous producer and also try - export. Today we are exporting big systems, most of the compo - ing to become exporters too. Akash and Torpedoes. BDL and nents, small systems and sub-sys - From industry angle, when one other private players like L & T tems are coming from industry. enters into defence sector they are joining hands to export. There This is the industry which is sup - need a huge production to sur - are a couple of things required to plying to large number of coun - vive in a professional way. For rise to the situation. Firstly, in - tries all over the world. We have this they need continuous orders dustry cannot remain as mere to do similarly. For this, the first and just our Indian defence Build to Print (BTP), they have thing is indigenisation, which forces cannot guarantee suste - to make systems of Build to Spec means, what we are importing nance to Indian industry. They (BTS). today should be made in India. should become exporters. Now Industry need to develop the Second point is, to export our the export policies have been lib -
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 27 realise their ideas and produce. Like this there are many schemes to support the innovative ideas of industry. Another important policy we are framing is, manufacturers of indigenous materials will be given price incentive. The manu - facturer need not be an L1 when competing in the global market. We are also working on quality mechanisms to help industry to produce best products. We are even saying that the quality mechanisms need not be com - pletely government controlled eralized to facilitate exports. The quality assurance. There can be export committee chaired by There are about private quality assurance agen - none other than RN is promoting 40 units of cies and quality control agencies, it in a big way. provided they execute this job in Exports should be of state-of- defence research a professional manner with qual - technology and one cannot ex - located in and ified people. In that scenario, in - port an item of fifteen year-old dustry can hire them and we will technology. 3For this the industry around be just quality audit people or in - need to work hard on R & D in specting the products only in crit - niche areas. Hyderabad. High ical stages. That is why we are test Facilityis stressing on the internal quality What are the efforts from the system of the industry. We have government to support industry? coming up at come out with a scheme where There are many schemes to nagarjunasagar every person working in defence support industry. First one is the should be a certified person ei - Technology Development Fund and a research ther by ISRO or DRDO or spec - (TDF) introduced by Defence facility known as ified training systems. Research & Development Organ - isation (DRDO). If someone has CHeSS has been Our Country is a huge reserve a good design or capability to de - of human resources but unfor - velop a system but do not have opened here tunately without skills. How to funds, DRDO will fund them recently. MoD is alter this situation? under this TDF. Second one is the Skill development is an impor - Innovative Research Initiative doing a lot for this tant thing. We are supporting col - (IRI) of MoD to support those in - state and the leges in a big way by giving dividuals, agencies, industry or projects so that they develop de - educational institutions with state government fence related knowledge, sending good and innovative ideas. The our scientists to colleges to give ideas will be screened and tested also should lectures and inviting students to for practicability and viability reciprocate. visit our centres. We are welcom - and then we will support them to
28 Make in Telangana i JUlY 2017 ing and accommodating M Tech We are ufacturing institutes to provide students in a big way. Similarly, accommodating M training and innovative tech - many batches of ITI and Diploma niques to industry. I would like to students are being trained in our Tech students in a big take the example of additive man - workshops and on our electronic way. Similarly, many ufacturing. If the Telangana gov - systems. We are trying to coordi - batches of ITI and ernment establishes an innovative nate and cooperate with the ini - Diploma students are manufacturing centre for additive tiatives of the Telangana manufacturing we are ready to government like incubation cen - being trained in our support it fully. This will give fan - tres and T Hub and we are in workshops and on our tastic ideas for industry. This is touch with the IT and Industries electronic systems. the model followed in USA. minister K T Rama Rao and Sec - We are trying to Telangana government should retary Jayesh Ranjan. establish innovation and technol - coordinate and ogy centres where new ideas and What are tour observations on cooperate with the technologies will be generated the Industry of Telangana and initiatives of the which can be utilised here. They suggestions for them? Telangana government can take the financial support of I would like to stress upon the the centre for such activities. professionalism and maturity for like incubation Through skill development, industry. It cannot behave like in centres and T Hub and building infrastructure they the past anymore. Though it is a we are in touch with should support the initiatives of strong word I mean it. It should the IT and Industries Mo D. The policies of the State inculcate professional ethics in government and the Centre have dealing with certain things. When minister K T Rama to be synchronized. Only then one industry is into one particular Rao and Secretary the gap will be filled to plunge product and makes it lucrative all Jayesh Ranjan. into higher leap. others jumping into it resorting to There are about 40 units of bad practices like, attracting the our systems. In this context, in - defence research located in and technical people and manpower, dustry in Telangana has a major around Hyderabad. A High test quoting low to beat the others role to play. I have talked about Facility is coming up at which affect the professionalism only a part of MoD activities Nagarjunasagar and a research of industry. I have seen a couple which are missile systems and facility known as CHESS has of industries dying because of that too Hyderabad based. been opened here recently. MoD such practices. Not only in tech - is doing a lot for this state and nical aspects, in managerial prac - what do you expect from Telan - the state government also tices too they should show gana government to promote De - should reciprocate. Telangana maturity. fence & Aerospace industry government should support the which they have mentioned in defence employees by giving What is the future of Defence & their core sectors of industrial them housing lands. They Aerospace industry in Telan - development? should build roads in the re - gana? Telangana government should search and production centres of The future is going to be very provide good infrastructure to the MoD. Only this can bring a bright for defence and aerospace industry. We are ready to associ - qualitative leap in industry and R industry. We are committed for ate with them in imparting the & D. There should be a syn - indigenisation which is of lakhs skills if they establish more skill chrony between the policies of and crores of worth. We are seri - development centres. They the central government and the ous on finding global markets to should establish innovative man - state government.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 29 eTeclanogsanya sneteedsm an Unless a perfect ecosystem is developed Defence and Aerospace will not be able to flourish in Telangana, says Shiva Kumar , a leading entrepreneur voicing the industry’s concerns
30 Make in Telangana i JUlY 2017 R Siva Kumar
ome through with flying Inspiring Zeta colours can be a better Cexpression for the entre - s Zeta is the last word in technology, our Ze - preneurial class of Hyderabad in Atatek should be the last word in cutting edge Defence and Aerospace sector. It technologies, says R Siva Kumar the Founder, Man - always displayed a wish to com - aging Director of Zetatek Technologies. Dedicated to pete, perform despite severe lim - itations and partner in the manufacture, marketing and servicing of cutting advancement of industrial and edge Defence and Aerospace related Test equipments scientific victories of the coun - and accessories, his company strives to be true to it’s try. Units like MTR assembled name. A graduate in Engineering (Electronics and the cryogenic engine in Balana - gar in Hyderabad, when USA Communication) from JNTU (1982), is leading Ze - banned importing of that into tatek which diversified into after sales service sup - India. A group of innovative port, operation and maintenance contracts for a aerospace SMEs from Hyder - range of environmental test facilities like environ - abad supplied components to the Chandrayan and Mangalyan ini - mental chambers, electro-dynamic vibration sys - tiatives. tems and manufacturing of chambers with building Hyderabad hosts some impor - ovens for sintering of PTFE using own computerized tant names like Tata Advanced controllers to control these ovens. The customer base Systems, TCS, Tata-Lockheed Martin Aerostructures Limited of the company includes DRDO, aerospace and elec - (TLMAL) and GMR MRO.Im - tronic industry. Zetatek has its own production fa - portant defence and aero-space cility at Balanagar, Hyderabad.
Make in Telangana i JUlY 2017 31 research laboratories like lab. This is a very expensive lab ning of the facility by private DRDO, DRDL, RCI, BDL, with some systems related to air - people. MDN, Ordnance Factory and craft avionics or missile avion - As there is no such lab in the DMRL etc., created an ambience ics, electronics, non-electronics, country, I feel that the Telangana needed for any city to become mechanical and electro-mechan - government should take initia - the synonym of that sector. ical processes. Lot of testing has tive and set up a lab of this kind. All these aspects can be a to be done, that too on complete Services of this lab can be morale booster for those in the production and not just a few utilised by any industry from all defence and aerospace sector. samples. Every industry to have over the country on payment But this is not enough. These can their own test centre is literally basis. Like incubation centres, be considered as baby steps for an expensive and an impossible you can involve AS9100 Certifi - the industry of defence and aero - proposition. cation Lab. There is a scheme for space sector in the state. What Though units in Balanagar can MSMEs like if they get products needed is to build the industrial produce wide range of products certified with ISO 9000 will get ecosystem for defence and aero - but they are handicapped be - a grant of Rs 75,000. Such grants space industry. This sector is cause of inadequate test capabil - can be made in these labs too. DRDO and RCI like govern - ment institutions have very good labs but as private parties are not allowed by these government run labs. Many issues like bureau - cracy and non-approachability stop private industry from utiliz - ing the government run labs. In fact, RCI has set up an advanced lab to cater to private also, which is not working efficiently. DRDO and RCI ask the industry to get the testing done from such Private-public run labs, and even offer subsidy for the orders they placed with private industry. This is the most important part of the ecosystem. This facilitates highly quality oriented, where ity. To address this issue, a even small players to produce for there is no compromise on qual - testing centre in either private or aerospace industry. ity. This is where the government private-government partnership In the Defence and Aerospace of Telangana has to step in to should be established. For the sector, while the cost of the prod - create an ecosystem conducive governments to establish a well- uct is 100 dollars and the cost of for the growth. equipped lab which cost Rs 50 the testing and certification may Firstly, to be in Defence & crores is not a big deal. But the cost about 1,000 dollars. Many Aerospace industry internation - only problem is they are not ca - small and medium industries ally, one must be qualified or pable of running it and thus it has want to be part of Defence and certified under AS9100 certifica - to be a government-private par - Aerospace but the exorbitant tion. In the quality management ticipation. Private participation cost involved has become a de - systems we are not having any with 25% investment and 50% terrent for them. centralised quality assurance test equity will ensure proper run - Second aspect is the lack of
32 Make in Telangana i JUlY 2017 Micro-electro-mechanical sys - tems (MEMs) and Nano for the university, make the facility available for the industry on lease. One industry needs just one week to produce huge num - ber of wafers, sensors or springs. As MEMS and Nano Technol - ogy and Internet of Things (IOT) are the future, we can build a centre of excellence for Nano and Micro technologies as there is no such centre in the country. The Minister for I & T and in - dustries K T Rama Rao and Jayesh Ranjan, the Principal Sec - modern casting facilities. As thorized to certify the products at retary of IT & industry, will be Magnesium and Aluminum need the site level. Shortage of people happy to organise IOT and make modern casting facilities, we are to certify affects the production such facility, as they are open to forced to go to centres like as we have to wait till their cer - innovations and supporting Bengaluru, Chennai and Coim - tification. through all means to make the batore, where we find such facil - impossible realise. learning from neuchâtel ities. Though HMT is a fantastic Scattered industry cannot face facility for SG Iron casting, un - In Neuchâtel in Switzerland, a the challenges ahead in defence fortunately,it is not well-man - University by IMDA has setup a and aerospace sector. There are aged. The Government of foundry which cost approxi - many small and medium indus - Telangana should establish a mately Rs 300 crores. This facil - trialists about a hundred in num - centre of excellence in Aero - ity, apart from supporting their ber, in Balanagar like industrial space castings. Though the size students’ research work, is made areas who are doing exemplary of the investment is not more it available for the industry too. work. Interestingly, when I met than Rs 20 crore, important as - In Neuchâtel about 40 to 50 some of the officials of the de - pect is getting the right type of small companies are flourishing partment of industries, I had an manpower to get Level 0 Radi - doing business in global market. impression that there is no clue ographic quality. This model can resolve our prob - about such industrialists and Third issue is sourcing certi - lem. Telangana should develop a their line of products. If the gov - fied material. There is lot of or - model similar to Neuchâtel, ernment of Telangana convene a ders to export to USA for their which can pioneer the research meeting with all and interact defence industry, but the prob - as well as help the local industry with them, then we can under - lem we face is sourcing the cer - in production. stand the quantity of work going tified material. Here in India the To produce a sensor which on in defence and aerospace sec - material we use is not certified. costs 10 dollars, we need a tor. Establishing a Skill Develop - This has to be resolved by the foundry which costs about Rs ment Centre to supply skilled government at the policy level. 200 crores. Here, the govern - human resources for defence and Like the Missile Quality Assur - ments should step in and make aerospace is another important ance (MSQA) team, a group or industry as partners, tie-up with step for establishing an ecosys - team should be trained and au - the local university to produce tem.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 33 D a B a R Mecca of e yD H Materials Strength in metallurgical innovation and being a major material production centre makes Hyderabad a hub for defence and aerospace, says M Narayana Rao, an eminent scientist, former Chairman & Managing Director of Mishra Dhatu Nigam Ltd (MIDHANI), presently CEO of MTAR Technologies. Telangana government should encourage MSME sector, to develop the strategic industries in the state, he says in his interview to Make in Telangana.
34 Make in Telangana i JUlY 2017 Hyderabad has become syn - sector helped the development of als. Outer cell of space craft is onym for strategic industries. another. This is how Hyderabad manufactured at Midhani. Apart What are the reasons? has become one of the important from Midhani, there are some Defense, space and nuclear centre for defense, space and nu - private industries which make sectors grow together. They have clear sectors. special steels. So when the need lot of things in common. Many Mostly it starts with materials, arose in space and finally the materials used in space are used some are very critical, some less product is useful in defense apart in defense and aerospace. The critical and some special steels. from space too. materials, materials’ manufactur - Many critical materials which are Manufacturing key materials ing, expertise required and qual - used in space and defense are is the strength of Hyderabad. ity standards is the same to all. manufactured in Hyderabad and That is why I call it as Mecca of This is how development in one here Midhani makes the materi - materials. Availability of metal, fabrication, infrastructure, tech - nology and R& D- everything is available in Hyderabad for all the sectors. Any new material or basic line is in Hyderabad. Hyderabad has some special character, i.e., even north Indians can get accommodated without any problem. Scientists and not the bureaucracy who brought re - search facilities to Hyderabad. This city owes a lot to Dr Brahma Prakash who was brought by Dr Homi Bhaba. He prepared the re - port to Cabinet for the establish - ment of Midhani. That is how Hyderabad became the centre for materials. In Hyderabad many in - dustries including our MTAR, are dependent on the growth of space, defense and nuclear sec - tors.
What is the scenario of MSME sector? Many small industries have come in Hyderabad depending on these strategic sectors. Main problem with these sectors is they are prone to fluctuations. These fluctuations arise out of situations. For example everyone focused on nuclear power, Fukushima happens and all of a
Make in Telangana i JUlY 2017 35 sudden nuclear sector undergoes sector. Instead, support the Delta rough castings are done and Hy - fluctuation. Big names like GE or X industries existing today which derabad is not for precision cast - L & T are making losses. For brings you phenomenal growth. ings. Market for Magnesium and mid-sector companies like us are The government should select Aluminum castings is small in pulling on is a problem. We have sectors, invite industries, create a Hyderabad, whereas investment got good opportunities and com - platform. Especially in South is quite huge. petitive advantage in this land of India we do not have a platform Telangana. for Delta X industries. Though Why doesn’t the state govern - In Hyderabad we don’t make there are some industry and trade ment step in here to establish the basic materials. Only two or bodies they do not have focus facilities and provide help for three industries here are into and do not stand for the small and the industry? melting and manufacturing. medium industries. There is already intense com - Twenty five to thirty industries Even in Defence and Aero - petition among the private play - are engaged in fabrication, as - space, the PSUs or government ers and there is no need of a sembly, forging, drop forging and industries should depend on government enterprise. Actually machining like activity. We can - MSMEs directly, is the key. In it is not competition it is like war, not say that these units are flour - Hyderabad many MSMEs are killing each other by cutting our ishing, we can just say sailing into manufacturing components corners. Even good companies through. for defence and aerospace sec - are getting into trouble because tors. Innovations come from of this unhealthy and intense What is to be done by the state small and medium industries and competition. or central governments to not from big ones. Big industries change the situation? never spend on R& D whereas What are your suggestions to The central government or any the small and medium ones make these strategic sectors agency like DRDL should estab - spend on R & D and break their flourish in the state? lish a clear structural procedure heads over innovations. Coun - After a thorough brainstorm - like done in Space sector. They try’s nuclear core is being made ing create platform or small identify the industries and go by MTAR; we made materials for groups. Translate their thinking with them for five years. Second Kalpakkam nuclear plant, Cryo - in to practicality. Second one is issue is there should not be any genic parts. Consortium of the governments should absorb changes in the tax structures or MTAR and Godrej made Vikas the economic trouble and should some other heads in the middle of engines which are liquid engines not shift it on to the shoulders of the year after budgeting is done. in the GSLV which is fired re - the industry in between budget - This adds to the problems of the cently. We are in the process of ing. Regarding the efforts of the small and medium entrepreneur making semi-cryo engines. We Telangana government, TS- who is already affected by com - are making satellite components. iPASS is a policy which gives a petition. Space department depends a lot direction and innovative steps Today, what the state govern - on Hyderabad. like T-Hub for encouraging start- ment is doing is trying to bring Many entrepreneurs complain ups, definitely should be appreci - big industries to the state. that Hyderabad do not have bet - ated. Though one big one comes with ter facilities like Coimbatore and Rs 2,000 crores, it is not going to Bengaluru in foundry. The state government should materialize. For huge investment Yes, it is true. Foundry is tech - strengthen MSME sector, en - it takes at least three years to es - nology oriented. People should courage and push already exist - tablish and by that time one can - have the grip over the technol - ing small and medium industries not guarantee the future of that ogy. It is also true that here only to expand.
36 Make in Telangana i JUlY 2017 Strategic City a heaven for Research & Development
Hyderabad popular as the city of Charminar, pearls, Biryani and Irani Chai, has a new emerging identity- it is modern, it is technologically advanced, it is strategic. If Telangana is the core of Deccan, Hyderabad is the soul of Telangana. Crucial decisions taken by the central government during 80s to become self-reliant in the sectors of Space, Aerospace, Defence and Nuclear energy has brought many scientific research institutions to Hyderabad. All the intellectual, physical and financial investments made into this has made the city as the strategic city with key establishments playing a crucial role in making the country a self-reliant, powerful in the global geo-military scenario.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 37 Defence Electronics Research Laboratory (DLRL) DLRL was established in 1961, to meet the needs and require - ments of electronic systems of In - The Defence Research and dian Armed Forces. It has been grammes of National importance Development Organisation entrusted with the primary respon - and hi-tech segments of India in - (DRDO) sibility of the design and develop - dustry. DRDO is the apex agency for ment of Electronic Warfare MIDHANI has now started of - military's research and develop - systems covering radar and com - fering its core competence of de - ment, with it’sheadquarters in munication frequency bands for veloping and manufacturing New Delhi. It was formed in 1958 the Indian Army, Air-force and custom made alloys to suit the and is under the administrative Navy. Establishing self-reliance in specific requirements of cus - control of the Ministry of De - the Critical Technology of Design tomers for their critical applica - fence, Government of India.With and development, Evaluation and tions. High technology industries a network of 52 laboratories, ToT Leading to production and in - like Aeronautics, space, Atomic which are engaged in developing duction of World Class Electronic Energy, Armament, Power and defence technologies covering Warfare Systems into Indian de - General Engineering Industries various fields, like aeronautics, ar - fence is its mission. are the sectors MIDHANI serve. maments, electronics, land combat engineering, life sciences, materi - Mishra Dhatu Nigam Limited als, missiles, and naval systems, (MIDHANI) Bharat Dynamics Limited DRDO is India's largest and most (BDL) diverse research organisation. The MIDHANI was set up in 1976 BDL was established in Hyder - organisation includes around at Hyderabad with the objective of abad in 1970 to be a manufactur - 5,000 scientists belonging to the making the nation self-reliant in ing base for guided missiles and Defence Research & Develop - strategic materials. In these four allied defence equipment.Nur - ment Service (DRDS) and about decades, MIDHANI has been han - tured by a pool of talented engi - 25,000 other scientific, technical dling challenging tasks of devel - neers drawn from DRDO and and supporting personnel. Hyder - oping alloys, taking a lead aerospace industries, BDL began abad hosts many establishments of position in indigenization of criti - its journey by producing the 1st DRDO. cal technologies and products to Generation Anti -Tank Guided render support to several pro -
38 Make in Telangana i JUlY 2017 Missile (ATGM) - the French Missiles, Air Defence Systems, SS11B1. BDL has three manu - Heavy Weight Torpedoes, Air- facturing units, located at Kan - to-Air Missiles etc., making it a chanbagh (Hyderabad), Bhanur world-class defence equipment (Sangareddy district) and manufacturer. BDL has also en - Visakhapatnam (Andhra tered into the area of refurbish - Pradesh), and another unit is ment and life extension of planned at Ibrahimpatnam, missiles. Research Centre Imarat (RCI) (Ranga Reddy district of Telan - BDL is the lead integrator of Research Centre Imarat is a gana). the Akash Weapon System premiere DRDO laboratory lo - BDL produced 2nd generation (AWS) and with the production cated in Hyderabad. The lab is re - ATGMs - the French MILAN - 2 of Akash, India joined an elite sponsible for Research and and Russian Konkurs which club of a few countries, which are Development of Missile Sys - covered a broad spectrum of the capable of producing Surface-to- tems, Guided Weapons and ad - requirements of the Indian Air Missiles. vanced Avionics for Indian Army’s infantry and mechanized All three Units of BDL viz., Armed Forces was established by infantry forces. BDL has been Kanchanbagh, Bhanur and APJ Abdul Kalam in 1988. RCI Visakhapatnam Units have been made pioneering contributions certified with ISO: 14001:2004 towards successful flight testing Environmental Management of India's maiden Inter Continen - System. tal Ballistic Missile (ICBM) Agni 5. RCI has developed complete Ordnance Factory Medak avionics with on-board comput - (OFMK) ers, inter-face units, the naviga - Established in 1984, OFMK tion systems, control systems, manufactures armoured vehicles batteries and power systems, and is one of the 41 Indian Ord - telemetry and telecommunication nance Factories under Ordnance components and antennas. Factories Board of the Ministry RCI is the leading laboratory working on upgradation of of Defence. OFMK is the only which has successfully spear - ATGMs to the class of tandem manufacturer of Infantry Combat headed the Indo-Israel joint de - warhead ATGMs. Vehicles (ICVs) in India. velopment Medium Range The Integrated Guided Missile Over the decades, the com - Surface to Air Missile (MRSAM) Development Programme pany has diversified its product programme and had hat-trick (IGMDP) gave BDL an opportu - range, manufacturing surface-to- success in its first three consecu - nity to be closely involved in the air missile (SAM) launchers, sur - tive missions. programme, as the Prime Produc - face-to-surface missile launchers, tion Agency. BDL, a Miniratna armoured ambulances, self-pro - Defence Research and Category - I PSU, is amongst a pelled howitzers, armoured cars, Development Laboratory few industries in the world hav - unmanned ground vehicles ing capabilities to produce state- (UGVs), armoured light recov - of-the-art guided weapon ery vehicles, NBC recce vehi - systems. BDL is poised to enter cles, mine protected vehicles, new avenues of manufacturing, armoured amphibious dozers, ar - covering a wide range of weapon moured radars, naval arma - systems such as Surface-to-Air ments, etc.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 nautical design work, to develop of Fundamental Research (TIFR) custom designed computing sys - and the Indian Space Research tems and software packages for Organisation (ISRO) and located numerical analysis and other ap - in Hyderabad. Being the only plications. major balloon facility in the world close to the geomagnetic ANAMICA equator, this facility is exten - ANAMICA (ANURAG's sively used by researchers from Medical Imaging and Character - all over the world. ization Aid) is a DICOM com - pliant three-dimensional medical Defence Metallurgical visualization software for data Research Laboratory (DMRL ) obtained from any medical im - DMRL is responsible for the aging system like MRI, CT and development and manufacture of Ultrasound. The software has complex metals and materials re - two-dimensional and three-di - quired for modern warfare and mensional visualisation tech - weapon systems. Set up in 1963 (DRDL) niques to visualize the images in at Hyderabad, it has developed DRDL is a Missile System lab - various ways. The sequence of competence in the areas of pow - oratory with thrust on design, de - images obtained from any imag - der metallurgy based fabrication velopment and flight evaluation ing system by scanning of a sin - and development of alloys, armor of various types of Missile Sys - gle patient is packed to form a and rocket motor steel, aerospace tems for the Indian armed forces. three-dimensional grid. The soft - light alloys, and magnetic mate - The organisation's vision state - ware has also been modified for rials. The formation of other in - ment reads: accepting data from Industrial stitutions like MIDHANI, Heavy "Be a design and development CT systems. Alloy Penetrator Plant, Compos - house for missile based weapon ites Production Centre, etc.,fol - systems required for tactical ap - National Balloon Facility lowed the establishment of plications from multiple plat - The National Balloon Facility, DMRL. It is also involved in forms." and its stated mission is also known as the TIFR Balloon R&D efforts to develop futuristic to: Facility, is a stratospheric-bal - materials to provide advanced "Develop the state of the art loon launch base under the joint technology options. infrastructure and technologies management of the Tata Institute required for different classes of missiles. Transfer the technology to production agency for guided missile products."
ANURAG Advanced Numerical Re - search and Analysis Group (ANURAG) is a laboratory in - volved in the development of computing solutions for numeri - cal analysis and their use in other DRDO projects. It was estab - lished in 1988, to support aero -
40 Make in Telangana i JUlY 2017 TIF MSMe green Industrial Park First step in making a reality
he process of establishing Speaking on the occasion, A total of 300 small and TIF Industrial Park has Jayesh Ranjan said that it is his - medium industries would set Tbegun. Promises are being toric as after 21 long years a new their units here, said K Sudhir transformed into action with the industrial park is coming up in the Reddy, President of Telangana first installment paid for the allo - state. He suggested adopting new Industrialists Federation. Ac - cation of land to TIF Green In - technology and machinery in the cording to the estimates about dustrial Park. A cheque of Rs 10 proposed park to compete with 1.75 lakh would get employ - crore was presented on March 22 other industrial parks. ment through this park. As it to Telangana State Industrial In - “We are determined to make was reported in the previous is - frastructure Development Corpo - this industrial park operational sues of Make in Telangana, a ration (TSIIC) for the land within one yearand the entrepre - detailed study has been done allotted to Industrial park to be neurs also should gear up for this” by the joint delegation of developed by at Dandu Malka - said Gyadari Balamallu, the TSIIC and TIF which toured pur, Yadadri Bhuvanagiri district. chairman of TSIIC. This is the some industrial parks in the This meeting was held at TSIIC’s first industrial park which is com - country. This meeting was at - central office and was graced by ing up after the formation of new tended by TIF leadership in - Gyadari Balamallu, the Chair - state, he said. A total of Rs 43 cluding Vice Presidents Raghu, man of TSIIC, Jayesh Ranjan, crores is being collected from the Anand Reddy, Joint secretary Principal Secretary for Industries industrialists and the infrastruc - Gopal Rao, Sudhakar Reddy, and E Venkat Narsimha Reddy, ture of world class would be pro - Bhaskar and women entrepre - Managing Director of TSIIC. vided by the TSIIC at this park. neurs.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 41 From the annals of History
Inaugural Flight Bombay- Aurangabad Capt M.D Mistry, S.S Rao,Radio Officer, Air Hostess
Early Birds OF Hyderabad Skies
P Anuradha Reddy,
42 Make in Telangana i JUlY 2017 Nizam Mir Osman Ali Khan, Chief Minister M K Vellodi with entourage in Nizam's first flight in 1952
he aeroplane has always the first of many such exhibition been a fascination to me. flights in India along with his as - TA Harbinger of Peace, a sistant Pilot Jules Tyck. From Weapon of Destruction in War, a Calcutta, Baron and Jules Tyck Saviour in times of natural and took their planes to Hyderabad man-made calamities, a means using the Secunderabad Parade for the Explorer to discover the Maidan (Cantt.) for giving world and finally a Carrier of demonstrations. B. Ramakrishna Memories of all kinds, joyous or Rao, Chief Minister of Hyder - otherwise. Hyderabad’s contribu - abad State many decades later tion to the Aviation History is not was witness to this as a school only to Hyderabad, but also to boy. that of India. January the 16th 1911 was a On December 21st 1910 Baron Red Letter Day in the history of de Caters (Belgian Aviator) gave Military Aviation, for it was in a demonstration flight at Tolly - P Anuradha Reddy Aurangabad, a Nizam’s domin - gunj Club Grounds Calcutta, as ion that the Bristol Box Kite flew
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 43 Aviator's Licence-PM Reddy PMM Reddy for the first time as part of Mili - their licenses and their training tary-Air Co-operation. In 1913, in England, were among the first there were about five machines Indians to fly from Croydon – in India. There were no pilots Karachi or vice-versa. PM apart from a few British officers Reddy was the first Indian to ob - of the Indian Army who had tain a Navigator’s licence. He learnt to fly in the UK. In 1917, was the son of Pingle Venka - a British pilot challenged the trama Reddy and was an engi - enemy with an aircraft bearing neer, started taking flying the name Hyderabad. During instructions in 1930. His first World War II, the British oper - flight was G-AASR, Gypsy ated the ‘Hyderabad Squadron’ Moth with ‘A’ license from Eng - which carried on every aircraft land in 1931. The following the line, “Presented by his Ex - year, he planned to compete in alted Highness, the Nizam of the London to Cape Town Air Hyderabad”, as the funds had Race with Manmohan Singh in a been raised in Hyderabad to buy Darmstadt- 22-D, a German can - these Spitfires! tilever biplane with wooden Hakimpet hosted airshow in wheels. Unfortunately, the plane 1929 in which 2 or 3 Single En - crashed on a test flight as some - gine Bi-plane aircraft were land - Rita Nordman, Peggy Tocher one had left the tools behind, ing and taking off. One has to (right), hostesses jamming the controls. The pilot pay Rs. 25 and had a joy ride of Deccan Airways bailed out safely, but the plane over the city, for Rs.10 one could was written off, as was the flight fly around the landing ground to Cape Town. Mirza of Hyderabad along with and for Re. 1 we could inspect To make up for his disappoint - J.R.D Tata, Ramnath Chawla, the aircraft at close quarters. ment, Reddy took his Avro Avian Aspy Engineer and Manmohan In the 30’s young Indian fliers G-ABIB (VT-AEV) to Hyder - Singh, some having received included PM Reddy and Babar abad, and flew all his friends and
44 Make in Telangana i JUlY 2017 relatives in it. Since then PM Jassawalla, JK Munshi, CJ Reddy has flown many variants Reddy, RS Ponday and what was of aircraft and his logbooks very unusual, Miss Aban Chenoy. recorded landings and take-offs In 1940, a provisional service to in England, Germany, France and Madras via Bangalore on a twice- India. weekly schedule was started but A landing strip was prepared in was discontinued as WW II Habshiguda, Hyderabad on a broke out, and all the staff and in - polo ground in a garden belong - frastructure of Hyderabad State ing to Nawab Manzoor Jung, fa - Aero Club and Air ther of Babar Mirza, where the Department/NSR were taken two Hyderabadi pilots, Babar over by the RAF’s No 1, Elemen - Mirza and PM Reddy, regularly tary Flying Training School flew. Babar Mirza on his maiden (EFTS) at Begumpet, to train In - London-India flight was force- dian Air Force Cadets. During landed in a Middle Eastern World War II, Reddy worked as desert, due to engine trouble. He Civilian Flying Instructor for the was rescued by a nomadic cara - RAF in EFTS. van and sent to India, his plane At the end of the war, as many came by sea. as 21 Air Companies had been set As a tentative step towards in - up, including Deccan Airways troducing air services in the Ltd., in September 1945, in Nizam’s Dominions, a Civil Avi - Babar Mirza which 52 percent of the shares ation Board was formed in 1932 were held by the Nizam’s State and a fine aerodrome was subse - The nizam’s State Railway and the rest by promi - quently built at Begumpet. In Railway had the nent local citizens. Aircraft C-47- 1934 at Hakimpet in the Secun - distinction of DC-3s (Dakotas) were available derabad cantonment an Air show for a pittance after the war, and was held. There were demonstra - controlling not only after overhaul and conversion at tion flights and curious visitors the railways but HAL-Bangalore, were available were allowed to inspect the for civilian transport. Several planes. also the Road and Dakotas were inducted into Dec - By 1936, PM Reddy had qual - air Services of can Airways, with Air Com - ified as a Flying Instructor, Nav - Hyderabad modore HA Fenton (ex-RAF), as igator and Maintenance Engineer first GM- Managing Director. of aircrafts and engines. He got Capt PM Reddy was appointed his commercial pilot’s ‘B’ licence way had the distinction of con - Operations Manager and later in 1937 and became the Chief trolling not only the railways but GM and Managing Director. Pilot Instructor at the Hyderabad also the Road and Air Services of Squadron leader J.D. Italia was State Aero Club. The newly Hyderabad. the Secretary and Financial Ad - formed Aero Club at Begumpet Reddy was the Chief Pilot of viser to the Board. In 1946, PM airport was taken over by the the Air Department/Nizam State started new routes and was con - Nizam’s State Railway (NSR) to Railway from 1938 onwards. trolling and managing 25 Eng - operate air services under the Among his first students at the lish, Australian, Canadian and stewardship of Reddy and Babar Hyderabad State Aero Club were Polish pilots, while simultane - Mirza. The Nizam’s State Rail - S Jaffer Ali, SN Billgrami, EK ously training Indian pilots to re -
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 45 place the foreign, all of which he Passengers, mail and cargo were accomplished in three years. also carried on these flights. Deccan Airways soon became Fares were kept very low. one of the best and most effi - In 1951, Deccan Airways was cient airlines in India with a a pioneer in accepting Prema high maintenance standard. It is Mathur as probably the world’s said that people set their first woman commercial pilot, watches by the arrival and de - endorsed to fly DC-3s as a co- parture of DA aircraft. pilot. She later became the pilot Babar Mirza was the first In - of industrialist GD Birla’s pri - dian Traffic Superintendent and vate aircraft based in Delhi. was succeeded by Squadron In 1952, the Rajpramukh, Leader Venkat Keshav Reddy. Nizam of Hyderabad had his first The Sec retariat of Deccan Air - flying experience in a Deccan ways was in the Ross Malaria Airways Dakota. He had to Institute, the historic building in travel to Delhi to attend the which Sir Ronald Ross discov - Rajpra mukh’s Conference. As ered the malaria-carrying he was apprehensive about Anopheles mosquito. This build - flying so far in a twin-engine ing also housed the Deccan Air - Dakota to Delhi, a special Air ways LINK Trainer India, 4-engine-Super constella - Establishment (simulator), Aban Pestonji Chenoy tion was chartered. The Begum - which evolved into the Central first Lady Pilot of Hyderabad pet runway had to be specially Training Establishment of In - strengthened and extended to re - dian Airlines. dential communications between ceive the larger aircraft. Nor - The domestic routes operated the Nizam at Hyderabad and his mally passenger operations of by Deccan Airways connected constitutional adviser, Sir Walter DA were from Hakimpet air - most of the important cities of Monckton, at Delhi. field. Three Deccan Airways India. In 1947, partition brought In September 1948, when Dakotas accompanied the in its wake the evacuation of a Hyderabad too was passing Nizam’s aircraft carrying family, large number of people. Be - through a politically critical pe - staff and baggage. Drinking tween October 1947 and Febru - riod, all Deccan Airways flights water for the Nizam was taken ary 1948, Deccan Airways were grounded. However, soon everyday to Delhi by Deccan played a major role in carrying after the political transition, the Airways as he used to drink only people in both directions since airline resumed operations. The from the ‘Baam’ (spring water) many other operators withdrew Night Airmail Service was intro - near the Mir Alam Lake in Hy - owing to several constraints. In duced in February 1949, when derabad. this critical period, there were up Rafi Ahmed Kidwai was Minis - In 1953, Prime Minister to four refugee flights each day. ter for Communications. In 1951 Jawaharlal Nehru sought to During the negotiations be - it was taken over by Deccan Air - nationalise all eight Private Air - tween the Nizam and the Gov - ways. Mail between Calcutta, line Companies then in exis - ernment of India before ‘Police Bombay, Madras and Delhi was tence and Act 27 of 1953 soon Action’ in September 1948 and carried by aircraft converging at relegated Deccan Airways to take over of Hyderabad State, Nagpur. By morning the aircraft history. That was the glorious Deccan Airways was entrusted with the exchanged mail were history of Aviation in Hyder - with the task of carrying confi - back at their respective bases. abad.
46 Make in Telangana i JUlY 2017 Innovation Cell Starts Operations The Centre in IIIT-Hyderabad will benefit sectors like pharma and agriculture
ith every new estab - lishment Telangana is Wsurging ahead in ideas and implementation. Now it is the State Innovation Cell which adds to the qualitative leap in the progress. Minister for IT and In - dustries, KT Rama Rao had an - nounced the formation of the state Innovation Cell on May 3, under Telangana State Innovation Policy, Pharma, Agriculture and other sectors to be benefitted IIIT-Hyderabad with the state Innovation cell.With T-Hub and RICH, Hy - market. The cell will be the sin - Co-Working spaces registered derabad has already acclaimed gle window for administering all under this initiative along with international reputation and the incentives announced in the inno - their startups will be periodically formation of State Innovation vation policy for startups and in - monitored to understand the gaps cell, Telangana has taken a step cubators. The immediate focus of in their capabilities helping the forward research. the SIC is to document, network cell understand the enablement State Innovation cell which and amplify the early stage required. Based on this, regular commenced its operations is lo - ecosystem. monthly meetups and workshops cated in IIIT Hyderabad and will The endeavour is to direct all will be organised. The specific be led in the interim by Prof. early stage start-up, applying to shared support offered will be in Ramesh Lokanatham (Professor T-Hub to a participating, quali - the form of operational support CO-Innovation, IIIT Hyder - fied co-working space and (banking, legal, accounting, etc.), abad).The Scope of the state In - through the space enable the Startup boot camps (accelerator novation Cell is to nurture early start-ups to grow to initial market mode short workshops) and sup - stage startups and enable them to traction and be ready for angel port for mentoring/industry/in - get into the market.New startups stage with support offered by T- vestment and a single window for will be nurtured and taken to the Hub and or others. all state incentives.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 47 B Jaipal Reddy
governments have a Create conditions major role to play in making the small and for medium enterprises flourish in the Defence and aerospace sector MSMEs argues B Jaipal Reddy , CeO of apollo Computing laboratories
48 Make in Telangana i JUlY 2017 hough there are many HAL’s electronics unit was sup - Even our Apollo Computing R&D establishments in posed to be in Hyderabad but due Laboratories is also suits offset THyderabad, growth of the to some unknown reasons it was program but we face problems in MSME sector is not in that pro - shifted to Bengaluru. Likewise business because of the inconsis - portion. This is because of lack of Bharat Electronics in Bengaluru tency in the global defence mar - individual entrepreneurship. An - also developed many ancillaries. ket which depends on the other important factor for the Governments should encourage international geo-political condi - growth of local industry is the big units to start their units here tions. We are in to Avionics, i.e., trust created among entrepre - which will start the chain reac - the electronic portion of the air - neurs by the government. Take tion of establishment of ancillar - craft and missiles and also can be the case of our own industry ies and provision of more used in ships, torpedoes. We pro - which started around 1975, is not employment. duce on-board computers, on- able to provide employment as it Central government’s initia - board data systems, Line should have. ECIL, which was tives like Make in India, Defence Replaceable Units (LRUs) and the mother unit for all electronics Offset program are crucial for the test and clear equipment with based industries, could not pro - growth of native industry. Under certified simulator. vide the support as it should Offset program 30% of the busi - Another issue to be addressed have. ECIL was not good in sub- ness given to foreign defence or is the support from universities contracting, which is very essen - aerospace units should be shared and educational institutions. tial for the existence of MSME by the Indian industry, which Presently they are working with sector. In contrast, HAL Ben - paves way for joint ventures with R & D laboratories to some ex - galuru became a support base for Indian companies or sub-con - tent and not supporting industry ancillary units of electronics. tracting to Indian industries. directly. It is because our industry
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 49 is not in a position to give the re - quired money to educational in - “Achieve first time right and lasting solutions by stitutions like IITs to commission leaving nothing to chance and thereby ensure peace projects. USA spends lots of of mind”- are the words to describe Apollo Comput - money on defence and big names ing Laboratories (P) Ltd.(ACL). Established in 1992 like General Motors give projects to Stanford University, Microsoft in ECIL industrial area ACL has been involved in the to MIT and Intel to some univer - manufacturing of Electronic Systems in the domain sities and see that they are result- of embedded computing. The Design & Development oriented. In India what we see is Activity focuses on Embedded Computing, Test Sys - some projects done by IITs lie in tems, Rugged Systems and RF & Micro Wave Prod - the form of reports and dumped ucts. The emphasis & the goal of ACL is to in cupboards. If this is resolved participate & contribute in the National Projects of industry’s weakness in theory can Defence & Aerospace and in the related indigenisa - be supplemented by universities tion Programmes by ploughing back the rich experi - and the students and researchers in educational institutions get a ence gained earlier in these domains. space in industry to gain practical knowledge. This will be the win- ACL has been recognized as a Military grade qual - win situation for both. But who is ity production unit for Production of the Missile In - going to linkup universities with terface Units, Stores Interface Box, On-Board industry? In Hyderabad we have Computers, On-board computer interfaces, about 300 technical institutions CCPMC-1553B modules for various strategic Na - like engineering colleges includ - tional Programmes. With a prestigious client base ing some prestigious ones. But, like ISRO, BARC, BDL, HAL, DRDO, BEL etc., this unfortunately there is no inter - face with industry and no note - company shares the pride of Hyderabad. worthy output.
50 Make in Telangana i JUlY 2017 Main problem in our country market. To develop avionics in ority. The governments should is the IT industry has overgrown Hyderabad the government have the program like ‘Teach the and software became the only should focus on offset program teacher’, by establishing one in - preferred word. IT industry has and Make in India program. For stitution like Marri Chenna shadowed hardware, electronics, example, HAL can go for pro - Reddy HRD Institute with best communication, mechanical en - duction of spare parts of SU-30 educational infrastructure and in - gineering, civil engineering. Best under offset program or Make in tellectual content by bringing students are going to software. India through private industry people from Indian Institute of This is a big anomaly resulting in here, instead of importing from Science and IITs. That should be loss of intellect and industry. Russia. The government should developed as a centre of excel - Though TS-iPASS is very organise big exhibitions of aero - lence to acquire new technology good, it is not a magic wand. The space and avionics every six and knowledge as a continuous results can be seen only after five months, involving entire indus - learning programme. The central years. After getting permissions try, both Indian and global. or state government should link the infrastructure has to be devel - Coming to the health of avion - up all the engineering colleges oped, people have to be trained, ics industry, it is not so good, as through satellite and integrate industry has to get business and it is with the general economic teaching of best teachers teach then get their bills back- all this will take some time. Main differ - ence now, is the things are mov - ing in a fast pace. Take the case of Samuha, the body which was formed to establish Aerospace Park at Adibhatla, took off during YS Rajashekar Reddy’s first term as the Chief Minister. The prom - ise of one month to allocate the land extended so long and finally when Rosaiah was about to quit the CM post, the land was allo - cated and finally registered only conditions world over. There are the students through online. one and half year back. So much about 20 industries in Hyderabad Lastly students should get their of delay, but now things are involved in avionics. Faulty ten - practical experience in working changing. Now at Adibhatla dering process, delay in pay - in the industry at least for some Aerospace Park, work on infra - ments by the government time. structure is going on. It may take organisations are the major rea - Major reason for the problems one more year to start operations. sons for the problems faced by of small and medium units is the Growth of this park depends on the industries. Apart from this the lack of discipline in human re - the growth of aerospace industry. governments should focus on sources. NASSCOM has brought Just by looking at big names providing infrastructure, trans - in good practice of regulating the like Tata Advanced Systems Ltd port, power etc. What the govern - human resources in IT industry or Lockheed Martin setting shops ment should do is being a as no employee can leave a firm here we cannot claim merit. It is facilitator for the growth of in - without proper certification or only part of it. It is only when we dustry. permission. Thus small and produce qualitatively matching Skill development is another medium player can be assured of the international standards we issue to be addressed. Skilling their human resources as it is reg - can claim our space in the global teachers should be the utmost pri - ulated.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 51 VLN Reddy
Need concessions nurt&uring
52 Make in Telangana i JUlY 2017 iscipline, dedication and devotion are important to Destablish oneself in aero - space industry. Hyderabad has grown as a hub for defence and aerospace production because of the effort of 150 and odd micro, small and medium entrepreneurs who are responsible for the devel - opment and supply of various crit - ical sub-assemblies required for space vehicles, which can be mis - siles or SLVs. rior to 1984 no one knew these technologies and with the planned establishment of defence research organisations in Hyderabad, new avenues got opened up for entre - preneurs like us who has zeal and dedication towards industrial growth. By the year 2000, the city has emerged as hub with state of art facilities in the sectors of aero - space and defence. Competing with Bengaluru which has a four- decade history of aerospace indus - try and another city Pune, Hyderabad has grown and con - tributed to these core sectors. Today MSMEs in Hyderabad are competent to supplement the needs of many strategic programs. For example, 20% of the compo - nents of MiG aircraft are supplied Micro, small and medium from SMEs of Hyderabad to Sunabeda unit of HAL. Small and enterprises of Hyderabad are Medium industries of this city are producing solid propellant motors, shouldering prestigious projects, RCS systems, Propellant tanks, riveted structures, war heads, hence should be encouraged says launching systems. Since the con - cepts and requirement are more or VLN Reddy , a leading producer less similar for aerospace and mis - siles, this has become a home for of aerospace products the production of missiles too. De - velopment, fabrication and assem -
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 53 bly of Reaction Control Systems, Venkateshwara Industries with three units in Sangareddy Dis - a major sub-system of Agni 1 & trict and one at Hardware Park emerged as major contributor 2- are the examples of effective for Missiles, Satellite Launch Vehicles (GSLV/PSLV) and LCA. private industry partnership in the Founder, VLN Reddy was honored with three National Awards strategic programs. consecutively 1997, 1998 and 1999. A person with non-techni - Our Venkateshwara Industries cal background, left teaching profession and establishing a stands an example of taking part highly technologically intensive industry is laudable. This unit in many prestigious programs of was established as a Micro unit, nourished successfully by defence and aerospace. Our ef - three generations of entrepreneurs- VLN Reddy, his son-in- forts were recognised by ISRO, law C Satyanarayana Reddy and grandson C Sandeep HAL, Project director Agni and Reddy.It is a dedicated group exclusively with 100% produc - Vikram Sarabhai Space Centre tion for Aerospace for our contribution to projects li ke Chandrayan-I and Agni. Our concessions on par with SEZs. Ohio was an inspiration for me to participation in the design, devel - MSMEs in aerospace and defence appeal from the dais to which the opment, process engineering and should be given 40% reimburse - then Chief Minister of AP Dr YS fabrication of multiple compo - ment on land cost at par with SC Rajashekar Reddy. He accepted nents/ sub-systems such as Rocket & STs-, which is now only 20%, the proposal, announced then and Motor Casings, Casting Mandrel, a tax holiday for five years and there that 250 acres will be allo - Precision Components and many special tariff for power. cated to such park. B P Acharya other areas has been of immense These are neither irrational nor moved the bureaucracy in this di - help in realising quality products impractical demands as focusing rection. Thus Adibhatla came in in time has been appreciated. on these sectors is part of our in - to existence nearby Research For aerospace materials are digenisation also. To establish an Centre Imarat (RCI). Now Adib - very critical. India could over - enterprise to serve aerospace sec - hatla is emerging as a global hub come the embargo of USA on ma - tor we require development of R with big names like Tata Ad - terials by becoming self-reliant by & D, design and finally produce vanced Systems, Lockheed Mar - establishing DMRL exclusively the required product which calls tin and GE setting their units. for the development of critical huge investment, long gestation About skilled labour, we can materials in aerospace applica - period, well-paid employees and train the ITI students, as I selected tions.Industries in Hyderabad ac - borrow technology. To withstand school dropouts and trained them quired techniques of producing all these odd circumstances in ITIs of Sangareddy, Hatnur and critical materials like MDN 250, MSMEs in aerospace sector Patancheru. We have imparted titanium alloys, machining of should be provided with conces - skills and they were absorbed by Magnesium, aluminum alloy sions by the government. Govern - the industry. Precisely, this entre - welding.In this process we have ments should understand that we preneur’s role as an employer is emerged as suppliers of critical are working for the prestigious the concept of Rajiv Udyoga Shri. forgings and castings. Industries programmes of national impor - Lastly, ideas for the develop - like Rachamallu forgings, Deccan tance. ment of aerospace and defence Smith and Manjeera have been Adibhatla Aerospace Park is sectors ideas should be taken contributing for this develop - also a result of enthusiasm of en - from entrepreneurs by organising ment. trepreneur like me. In 2006, an regular meetings. Only then, the In spite of all these credits, International seminar, Conquest private industry in Hyderabad can there is a lot to be done to develop 2006, International Conference contribute more to aerospace and MSMEs in aerospace and defence on Quality and Reliability in defence sectors, make Telangana sectors. The government should Aerospace Systems was held at proud and lead to the next phase provide facilities, incentives and Hyderabad. An aerospace park at of development.
54 Make in Telangana i JUlY 2017 Sircilla weaver’s crisis Centre studies the problem he Ministry had con - Nadu, which is popular as the ducted diagnostic studies knitwear capital of India, to bring Tof the problems facing hope among the power loom powerloom weavers of Sircilla. weavers. Weavers from this area are suf - Will clear Apparel fering on account of technology, Park at Warangal credit and high cost power”, said The Central Government will Pushpa Subrahmaniam, Addi - clear proposal for setting up of an tional Secretary of Ministry of apparel park in Warangal as soon Textiles, Government of India. as it is received from the State She visited power looms on the Government, said Pushpa Subrah - outskirts of Sircilla town in announced 50% subsidy on de - maniam.“We are waiting for pro - Rajanna-Sircilla district on 5 ployment of latest technology for posals from the Telangana June. general category weavers and the Government. We will sanction it She expressed concern about subsidy was around 90% to those as soon as it comes,” she said. The the problems of weavers in Sir - from the SC/ST categories. proposed park would be a fibre to cilla and discussed various aspects In addition, the Ministry is pro - fabric Textile Park. with the officials. “Issue of con - viding huge subsidy on procure - She was in Warangal on 5 June cern was the use of outdated tech - ment of solar panels to operate in connection with promotion of nology which involves high costs their looms on solar energy, she the mega event, Textiles India of power”, she said. Upgradation said. 2017, slated to start at Gandhina - of technology is one major step to Sircilla town and its surround - gar in Gujarat from June 30. survive and sustain in the compet - ing areas having a huge number of New National Textiles itive market, she opined. weaving community is in news Policy, soon Another major reason for the for the past decade for the suicides The textiles ministry has com - problem is that the weaver opting by the weavers due to crisis in the pleted consultations with stake - for polyester and not cotton tex - textile industry, unemployment holders and outreach sessions tiles. “They are going for poly - and invasion of jet looms for over with all segments of the industry, ester in the cotton rich area. They a decade. This situation can be al - including handloom weavers, big will get much better returns if they tered and weaving community can manufacturers, and is currently in switch over to cotton,” she said. get even a breather if policies and the process of finalising draft “They have to survive compe - programmes are taken up exclu - guidelines of the National Textiles tition. This will ensure that their sively for them. Policy. After adding inputs from products are price competitive and This constituency is repre - the Textiles India 2017 fair this the costs incurred on power are sented by KT Rama Rao, Minister month, the policy is likely to be less,” she said. Responding to a for Industries and IT. One of the put for Cabinet approval next query on marketing facilities for major representative issues during month, said Pushpa Subrahma - manufactured products, Ms. the movement for Telangana state, niam. Pushpa Subrahmaniam said mar - Sircilla weavers were assured of The National Textiles Policy is keting of the products would not support by the present state gov - expected to aim at achieving $300 be a problem if weavers can han - ernment. In 2014, the Telangana billion textile exports by 2024-25, dle the quality of the product and Government declared it’s plans to and thereby c reating around 35 make price competitive. develop textile industry in Sircilla million new employment oppor - The government had therefore on the lines of Tirupur in Tamil tunities.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 55 govt gearing up for Pharma City Mucherla Pharma City inches closer to reality, after the public hearing to be held this month
he prestigious project of Pharma City, which is Tproposed to come up at Mucherla on Hyderabad's out - skirts, is inching closer to reality with the Telangana State Indus - trial Infrastructure Corporation (TSIIC) gearing up to hold a public hearing next month. This kicks off the process of securing environmental clearances from the Union ministry of environ - ment and forests (MoEF). The Environmental Impact Managing Director of TSIIC. quire between 10 to 50 acres. Assessment (EIA) for the Hy - According to the TSIIC offi - Since pharma firms come under derabad Pharma City's first cials, once the environmental the Red category on account of phase, to be spread over 6,000 clearances are granted, the allot - high pollution generation levels, acres, has already been con - ment of land will be taken up. 33% of the allotted land will ducted by the Environmental Nearly 350 pharma players, in - have to be earmarked for green - Protection Training and Re - cluding 150 big names like ery by each player," said a senior search Institute (EPTRI) and the Pfizer, Johnson & Johnson, Dr TSIIC official.If everything goes master plan for the entire 12,500 Reddy's Laboratories, Zydus as per schedule, the Hyderabad acres has been prepared by a Cadila, Mylan and Aurobindo Pharma City could well become Singapore-based firm Surbana - have shown interest in setting up a reality in a year-and-half. Jurong Private Ltd. their units in Pharma City. Some The land allotment will be "The public hearing for the associations such as the Bulk done by a committee headed by Pharma City will be held next Drug Manufacturers Association the senior officials of TSIIC, in - month. The Telangana Pollution (BDMA) have approached in - dustries department, industry Control Board will give 30 days dustries minister K T Rama Rao representatives as well as project for filing objections and sugges - directly, it is learnt. consultants. The committee will tions before the hearing. The "Companies have sought land assess the requirement of land to EIA has already been conducted parcels ranging from 10 acres to be allocated to each firm, ac - taking all factors into considera - 200 acres. Most of them are cording to the sources from the tion," said EV Narsimha Reddy, small and medium units that re - industries department.
56 Make in Telangana i JUlY 2017 TSIIC ties up with new subsidy scheme Syndicate Bank under SC/ ST Hub 25% subsidy for upgradation of machinery
The Ministry of MSME has approved a scheme of Special Credit Linked Capital Subsidy Scheme (SCLCSS) under National SC/ST Hub Scheme to facilitate purchase of plant and machinery by pro - viding 25 percent upfront capital subsidy to the existing as well as new SC/ST owned Micro and Small Enterprises.This move aims to help SC/ ST entrepreneurs in up-gradation of technology. The Office of Development Commissioner, Ministry of Micro, Small and Medium Enterprises (MSME) would be the implement - ing agency of this scheme. Though there is a scheme called Credit Linked Capital Subsidy Scheme (CLCSS), under the ministry, it has been able to benefit negligible number of SC/ST MSEs. The scheme would cover ex - elangana State Industrial isting SC/ST MSEs for upgra - Infrastructure Corporation dation or expansion as well T(TSIIC) has tied up with as new SC/ST MSEs. It Syndicate Bank on Thursday to would cover purchase of all extend loans for executing proj - plants & machinery without ects and establishing industrial any restriction on the tech - parks in the State. nologies but subject to Con - Under to the arrangement, fi - sent/NOC from Pollution nancial aid will also be extended Control Board.However, indus - to companies and industrialists tries covered under RED category as setting up facilities through per the Classification of industries for consent TSIIC. management (Schedule- VIII, rules 3(2) and 12 of Ministry of En - A Memorandum of Under - vironment & Forests, Govt. of India) shall not be eligible for sub - standing (MoU) was signed by sidy under above scheme. TSIIC chairman Gyadari Bala - The scheme shall be applicable only for the purchase of Plant & mallu and EV Narasimha Reddy Machinery eligible for Term Loan from the Prime Lending Institu - with senior management of Syn - tions (PLIs). It shall be applicable to the eligible enterprises where dicate Bank on 18 May.Syndicate term loan has been sanctioned by the PLIs on or after the date of Bank officials Palani Swami notification of the scheme.The Scheme will remain valid till March (DGM) and Akella Ravi Kumar 31, 2020 subject to availability of funds. (AGM) explained the schemes of - The guidelines for creation of National SC-ST Hub mandates fered by the bank and assured to creating Special Credit Linked Capital Subsidy Scheme (CLCSS) extend all the banking services. with 25% capital subsidy and overall investment ceiling of Rs.1 TSIIC chairman sought the bank crore without any restriction on the sectors or machinery & tech - to also support businessmen from nology for SC/ST enterprises. SC and ST categories.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 57
Represent MSMe issues at Delhi Industry discusses issues with Resident Commissioner here is always a slip be - tween the cup and the lip, Tis the saying best suitable for MSME sector. Even though MSME is a priority sector after agriculture, numbers of schemes galore in the ministries, small and medium entrepreneurs are always waiting for a messiah to save them from distress and disaster. Issues like sickness, NPAs, denial of loans from banks and lack of marketing support are killing MSMEs. Precisely this was the agenda institutions. Banks are not inter - pering the growth of MSMEs. for the meeting of industry repre - ested to lend money to MSMEs, Non-seriousness in skill develop - sentatives with Arvind Kumar, opined many. As most of the ment is one of the reasons of IAS, the Resident Commissioner committees formed to decide NPAs, he said. Skill development of Telangana at Delhi. Industry loan policies are dominated by programs initiated by the Union pins hope on the resident com - bank officials, the policies are bi - government could not create any missioner as he worked as the ased against MSMEs.Crisis of impact he felt. At least 30% - Principal Secretary of Industries trust is major problem between 40% of the funds should be spent of Telangana just before this banks and MSMEs, felt the rep - through MSMEs to get better re - posting and was aware of the is - resentatives and they called for a sults Sudhir Reddy suggested. sues faced by MSMEs of change in attitude and mind-set Unfavourable market conditions MSMEs. of bankers. are another reason for MSMEs Major aspects represented by If the Ministry of MSME has not attracting new entrepreneurs, industry representatives are re - to function in a more effective he opined. lated to banking and credit issues. way the Ministry of Finance also TIF also asked Arvind Kumar One such issue was of Non-Per - should involve in resolving the to pursue with the Central Gov - forming Assets (NPAs). The time issues of MSMEs as major prob - ernment to set up sub-centres of period for declaring an industry lems are related to finance, is an - Central Institute of Tool Design as an NPA is just 90 days and it other opinion presented in the (CITD) in districts to help the is too short to declare as meeting. Credit rating companies MSMEs. Resident Commis - NPA.Once an entrepreneur is do not prefer giving good ratings sioner Arvind Kumar listened to branded as an NPA, even after re - to MSMEs which hampers the the issues of MSMEs raised by payment of loans, banks do not development of MSMEs. various associations and prom - encourage them by lending is an - Representing the Telangana ised he will give his best to take other serious problem for a re - Industrialists Federation (TIF), up these issues at Delhi and rep - covering entrepreneur. its President K Sudhir Reddy fo - resent the problems of the The other aspect discussed cused on the skill development as MSMEs of Telangana at different was of the attitude of the banking one of the major problem ham - fora of the Central Government.
Make in Telangana i JUlY 2017 59 Pashamylaram a green estate
ashamylaram, a well-known in - dustrial area in Sangareddy district Phas many credits to it. Established in four decades ago, this is the one and only thriving and better administered es - tate outside the Outer Ring Road (ORR).Spread in 1700 acres this estate is probably one of the best managed indus - trial estates in the state. Around 90% of Industries are in active mode and our estate is self-sufficient, says Chandu, President of Pashamylaram Industrial Area Local Authority (IALA). 60 Make in Telangana i JUlY 2017 after the visit of the Chief Minis - ter K Chandrashekar Rao visited the estate during the last year’s Ha rita Haram and planted one sapling. A 1.8 km-long walking track in the park, completion of carpet lawn and the plants blos - soming in the coming season will definitely make turn the park more beautiful, making the Rs 30 lakhs spent on it a worthy investment. Before the formation of IALA formation the estate was in a very bad shape but formation of IALA helped to change the con - ditions here. With more than 90% collection of property tax every year amounting to a sum of Rs 3.5 crore per year, this estate can be emulated as a role model which was developed without much help from the state government in the past two decades. Though the categories of in - dustries range from green to red the roads and entire industrial es - tate is so neat that many other es - tates take this as a role model says, Durga Prasad, Vice-resident of Pashamylaram IALA. He gives credit to the team work of the leading body of the society. With planting more than 1,50,000 till last year, the estate provides a different ambience which is not common for an in - dustrial estate. “We are going to plant 50,000 more during the coming rainy season tells Durga Prasad. A vacant plot is being devel - oped into a sprawling park, which is named as KCR Park,
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 61 “Pashamylaram’s Service so - ciety is very active and it’s strength lies in the unity of the Statistics speak industrialists here”, says Area - 1600 Acres Chandu. Less difference of opin - No of Units - 450 ion reflecting in the unanimous Phases - 6 elections to IALA and all the Categories - Pharma, Chemical, Engineering, members follow the norms Fabrication, Food & Beverage framed, could be one of the rea - Employment - 40,000 – 50,000 sons for the development in this What IALA wants • Direct connectivity to ORR • Fire station with enough staff • Supply of drinking water at reasonable rates • Attaching newly established units in adjacent to Pashamylaram IALA • A Library in the estate • An ITI in the estate
estate. motivated, we agree that we “Unfortunately our estate is have a little problem of ground unnecessarily being blamed for water pollution, compared to pollution”, laments Chandu and some other industrial areas, I says that in spite of all the anti- can proudly say that the situa - Durga Prasad, pollution measures, regular tion is far better”, says Durga Former Chairman, plantation and greenery compar - Prasad. Pashamailaram ing other industrial estates, According to the IALA Presi - Service Society branding us as polluting estate dent, there are many welfare ac - unjustifiable. “It is politically tivities were taken up by
62 Make in Telangana i JUlY 2017 Pashamylaram IALA. Construc - A10-bed hospital is estab - tion of a dedicated a shed to lished by IALA on their own and roadside vendors, construction pursuing from a log time to get of vegetable super market yard ESI hospital in this estate. There in Isnapur, installing a mineral is one unanimous opinion of all water plant in Pashamylaram industrialists here is that after for - village are some of them. Even mation of the Telangana Govern - the approach road connecting ment under the leadership of K the estate to Mumbai highway Chandrasekhar Rao, the power was constructed by IALA as nei - supply is good and generators are ther the Zilla Parishad nor the not in much use. Public works Department cared Speaking about skill develop - for it. Every year spends up to ment and human resources, Rs 1 crore and till now Rs 5 Durga Prasad said, “Though crore were spent on constructing IALA is ready to allocate build - approach road to Isnapur as we Chandu Kumar ings to establish an ITI inside the do not have direct connectivity estate, there is no response from Chairman, from our estate to ORR.Once the the government”. Presently, Pasha mailaram government connects the estate workf orce is coming from places Service society to ORR directly, traffic jam like Bengaluru, West Bengal and issue will also be resolved. Odisha. If government is ready How establishing a fire sta - industries are coming up but the to start an ITI or skill develop - tion can be distant dream is new industries do not pay any ment centre here, we are ready to proven in this estate. A brochure property tax, though are using the offer infrastructure, practical issued by APIIC thirty five years infrastructure of this estate”, says training in trades like Chemical ago shows a fire station which Chandu. He appeals to the Gov - Plant Operator, Welder and Fit - could not happen. Ten years ernment to attach such industries ter. “Unfortunately local politics back when senior IAS office BP should be attached to the IALA. and lack of Acharya was leading the indus - There was no water issue till Another exclusive aspect of tries department, has allocated the APIIC maintained in the past. Pashamylaram is the demand funds for construction of build - But in the recent years, irrespec - for a proper library. Though all ing for fire station. IALA pur - tive of water consumption water the units in this estate pay more chased fire tenders through their board was charging minimum. than Rs 20 Lakhs as Library own funds. No grants were Now we are being charged com - Cess there is no library in our given in spite of repeated repre - mercial tariff for drinking water estate.Finally again the IALA it - sentations. Now the IALA has 240 Rs / KL. self constructed library, but no given a memorandum to Bala - “We are going for a common bookswere supplied by the li - mallu, Chairman of TSIIC re - facility centre with a common ef - brary department. questing him to deploy firemen fluent treatment plant with .5 Pashamylaram IALA stands and staff and waiting for this to MLD capacity and zero dis - as an example of building an happen as Balamallu has prom - charge. Water will be recycled estate braving all the odds. ised to fulfil this demand. and the wastage will be sent to ei - Many issues pesterin g the es - “Another important problem is ther TSDF or cement industry tate we re resolved with their with the new industries coming basing on the calorific value”, own initiative. Unity and team up in the land adjacent to this es - says Durga Prasad. This should work of the IALA leadership got tate. On these private lands con - become a model for the other in - translated into what the estate is verted into Industrial land, new dustrial estates, he added. today.
Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 63 appeal to non-resident Indians and non-resident Telangana associations Dear friends, any of NRIs were in forefront of the movement for Telangana Formation and also played an important role in devising policies Mfor Bangaru Telangana. We, the Telangana Industrialists Feder - ation (TIF) would like to invite you to participate in this journalistic effort to be part of a growth story. Please send us news, opinions, articles with images to enrich the content with global experiences. The only condition is the writings should be related to industry, trade and economy. Make in Telangana is the platform for you to share your experiences, opinions and articles. -Editor advertise in Make in Telangana Classifieds Make in Telangana invites classified advertisements to be published in the magazine. Classified advertisements pertaining to- Sale, purchase or lease of machines, premises, units Sale of raw materials, finished goods Hiring of personnel Legal notices Make in Telangana enables you to reach your target group or individ - ual as this is the platform of entrepreneurs in Telangana state.
contact @ makeintelangana.com or call us on 9666065366, 9640696403. Make in Telangana, Telangana Industrialists Federation, Flat No 202, 2nd Floor, A.K.Towers, Beside Paigah Castle, Patigadda Road, Begumpet, Hyderabad. Telangana, India, Tel: 9666065366 64 Make in Telangana i JUlY 2017 Make in Telangana A Monthly Journal of Telangana Industrialists Federation Subscribe now! Print version INR No. of issues 12 24 36 Cover Price 1,200 2,400 3,600 e-Magazine INR No. of Issue s 12 24 36 Cover Price 1,200 2,400 3,600 Total Price 2,400 4,800 7,200 Discount 55% 60% 65% You pay 1,080 1,920 2,520 No additional delivery charges apply in India-based subscribers. Telangana Industrialists Fed - eration is not responsible for postal delays. Note: All approved subscriptions include both print & e-Magazine offers. Terms & Conditions
1. This is a limited period offer gana magazine may apply to existing subscribers. 2. Make in Telangana and Telangana Industrialists They will continue receiving the same number of Federation(TIF) will not be held responsible in issues they had originally subscribed to. The du - case of any postal / courier delay in delivery of ration between issues may however stand duly al - any issue of Make in Telangana tered. 3. Make in Telangana and Telangana Industrialists 8. Any change in the cover Price of the Make in Federation(TIF) will not be held responsible in Telangana will not apply to the existing sub - case of any production delay that leads to late de - scribers. They will continue receiving the same livery of any issue to its subscriber(s). number of issues they had originally subscribed 4. If for any reason, a certain issue of the Make in to. Telangana is not published, the subscription will 9. It is the sole responsibility of the subscriber(s) to automatically be extended by a month. report delay in delivery of any issue of the maga - 5. Make in Telangana and Telangana Industrialists zine to the subscription department of Make in Federation (TIF) reserve the right to terminate any Telangana within 30 days of the issue release date. subscription or accept or reject any request for 10. Terms and conditions may be altered without no - subscription. tice to the subscribers. 6. Disputes, if any, are subject to the exclusive juris - 11. For delivery, Return and Refund policies and for diction of courts in Hyderabad only. more information on subscription please mail to 7. Any change in the periodicity of Make in Telan - [email protected]
For subscription-related queries, please write to us at contact @ makeintelangana.com or call us on 9666065366, 9640696403. We invite feedback to improve the content and quality of the magazine. You can also write to us at: Make in Telangana, Telangana Industrialists Federation, Flat No 202, 2nd Floor, A.K.Towers, Beside Paigah Castle, Patigadda Road, Begumpet, Hyderabad. Make in Telangana i JUlY 2017 Telangana, India, Tel:9666065366 Five crore jobs in Khadi industry, says giriraj he Ministry of Micro, Small and Medium Enter - Tprises (MSME) has made a plan to introduce solar-run spin - ning wheels in Khadi and Village Industries Commission(KVIC)to provide employment to over five crore people throughout the na - tion in the next five years.The Minister of State for MSME, Giriraj Singh has said that his Ministry has a target to employ around five crore people through the Khadi industry over the next five years. Giriraj Singh said this in the launching of ‘Khadi by Ray - mond’ in Mumbai on 18 May.Raymond launched its khadi products followed by a Khadi Fashion Show titled ‘Raymond Khadi- A Story Re-spun’. On KVIC partnering with private players, including Arvind, Ray - mond and others, for joint pro - motion of the fabric, the minister said that the aim is to popularise and boost the use of Khadi, espe - cially among the youth and cor - porates.The other measures to boost Khadi is roping in famous designers and improving quality through ‘zero defect, zero effect’ scheme etc. He highlighted that the Khadi industry sales have gone up from Khadi, both is on top of the Min - scheme, cluster-based develop - Rs 35,000 crore in 2014 to about istry’s agenda.“Various schemes, ment opportunities, as well as de - Rs 52,000 crore presently due to including interest subsidies, fi - sign-oriented public private concerted efforts of the govern - nancial assistance under the mar - partnerships, are being promoted ment.He said Coir as well as ket promotion and development by the ministry,” he said.
66 Make in Telangana i JUlY 2017 Make in Telangana i JUlY 2017 RNI NO: TELENG/2016/65661, Make in Telangana, JULY 2017