Drone taxis by 2027? India’s first ‘Sky Factory’ set to build 1,000 electric air taxis a year in Andhra Pradesh
The partnership was announced on Tuesday after Sarla Aviation and the Andhra Pradesh Airport Development Corporation Ltd (APADCL) signed an MoU at the CII Partnership Summit 2025 in Visakhapatnam.
- Nov 18, 2025,
- Updated Nov 18, 2025 6:17 PM IST
Andhra Pradesh is set to build India’s first “giga-scale” electric air taxi manufacturing cluster in Anantapur, with Karnataka-based Sarla Aviation committing an investment of ₹1,300 crore.
The partnership was announced on Tuesday after Sarla Aviation and the Andhra Pradesh Airport Development Corporation Ltd (APADCL) signed an MoU at the CII Partnership Summit 2025 in Visakhapatnam. The development follows Chief Minister N. Chandrababu Naidu’s recent announcement that the state aims to begin producing drone taxis within two years.
At the centre of the plan is the upcoming “Sky Factory”, which Sarla says will rank among the world’s largest facilities for electric vertical take-off and landing (eVTOL) aircraft — flying vehicles capable of lifting, hovering and landing vertically. In the first phase, the company will invest ₹330 crore to set up a 150-acre manufacturing and testing campus at Thimmasamduram village in Kalyanadurg mandal. The site will feature production lines, R&D labs, composite units and a dedicated 2-km runway for testing and certification.
A second phase will expand the facility by another 350 acres. Once fully operational, the Sky Factory will have the capacity to produce up to 1,000 aircraft a year, including Sarla’s Shunya hybrid VTOL and a range of indigenously built electrical harnesses, landing gear systems and composite structures.
The project is expected to generate high-value employment by 2027, starting with 40 specialised positions and 140 indirect jobs.
Rakesh Gaonkar, cofounder and chief technology officer at Sarla Aviation, said the project is designed to place India at the centre of next-generation aviation. “With the world’s biggest Sky Factory, we want to make India the nerve centre for the next era of flight. This giga facility will shape the aircraft of the future and establish India as a force in sustainable aerial mobility,” he said.
APADCL will act as a strategic facilitator to fast-track the project and build the surrounding ecosystem. The state government said the collaboration marks a major step in its push to establish Andhra Pradesh as a hub for advanced manufacturing, aerospace innovation and green mobility.
Founded in 2023 and backed by Accel, Sarla Aviation is developing a six-seater electric flying taxi aimed at cutting commute times in major metros. The company is targeting commercial operations by 2029 and hopes to position India as a competitive player in global electric aviation.
Andhra Pradesh is set to build India’s first “giga-scale” electric air taxi manufacturing cluster in Anantapur, with Karnataka-based Sarla Aviation committing an investment of ₹1,300 crore.
The partnership was announced on Tuesday after Sarla Aviation and the Andhra Pradesh Airport Development Corporation Ltd (APADCL) signed an MoU at the CII Partnership Summit 2025 in Visakhapatnam. The development follows Chief Minister N. Chandrababu Naidu’s recent announcement that the state aims to begin producing drone taxis within two years.
At the centre of the plan is the upcoming “Sky Factory”, which Sarla says will rank among the world’s largest facilities for electric vertical take-off and landing (eVTOL) aircraft — flying vehicles capable of lifting, hovering and landing vertically. In the first phase, the company will invest ₹330 crore to set up a 150-acre manufacturing and testing campus at Thimmasamduram village in Kalyanadurg mandal. The site will feature production lines, R&D labs, composite units and a dedicated 2-km runway for testing and certification.
A second phase will expand the facility by another 350 acres. Once fully operational, the Sky Factory will have the capacity to produce up to 1,000 aircraft a year, including Sarla’s Shunya hybrid VTOL and a range of indigenously built electrical harnesses, landing gear systems and composite structures.
The project is expected to generate high-value employment by 2027, starting with 40 specialised positions and 140 indirect jobs.
Rakesh Gaonkar, cofounder and chief technology officer at Sarla Aviation, said the project is designed to place India at the centre of next-generation aviation. “With the world’s biggest Sky Factory, we want to make India the nerve centre for the next era of flight. This giga facility will shape the aircraft of the future and establish India as a force in sustainable aerial mobility,” he said.
APADCL will act as a strategic facilitator to fast-track the project and build the surrounding ecosystem. The state government said the collaboration marks a major step in its push to establish Andhra Pradesh as a hub for advanced manufacturing, aerospace innovation and green mobility.
Founded in 2023 and backed by Accel, Sarla Aviation is developing a six-seater electric flying taxi aimed at cutting commute times in major metros. The company is targeting commercial operations by 2029 and hopes to position India as a competitive player in global electric aviation.