'Speak any language...': As Karnataka fumbles with aerospace plan, Andhra lures Mahindra with incentives

Economic Times

21-07-2025

Synopsis Andhra Pradesh is actively courting the Mahindra Group, with Minister Nara Lokesh inviting them to establish a manufacturing unit. He emphasized the state's investor-friendly policies and incentives across sectors like EVs and aerospace. Anand Mahindra expressed interest in partnering with Andhra Pradesh, mentioning ongoing talks in solar energy and tourism. Andhra Pradesh IT and Industries Minister Nara Lokesh has invited the Mahindra Group to set up a manufacturing unit in the state. He highlighted Andhra's strong business policies, promising a fast, friendly, and flexible environment for investors.
ADVERTISEMENT In a post on X (formerly Twitter), Lokesh addressed Mahindra Group Chairman Anand Mahindra, saying, 'We greatly value your ongoing investments in AP, sir. I look forward to deepening it further.'
He mentioned Mahindra's expansion plans in electric vehicles (EVs), defence, and aerospace, and said Andhra Pradesh has tailor-made policies for every sector with attractive incentives. He also assured that the state offers a comfortable experience for workers, 'Your workforce will feel most welcome and speak whichever language they wish to.'
Anand Mahindra had earlier posted, 'We would be proud to be a partner in Andhra Pradesh's journey.'He said his team was already in talks across sectors like solar energy, micro-irrigation, and tourism.Earlier, Lokesh had responded to a Mahindra ad in Telugu, calling it impressive and suggesting a Mahindra manufacturing unit in Andhra, 'AP is a large market for your vehicles… Why not consider a manufacturing facility here?'
ADVERTISEMENT This is not the first time Lokesh has promoted Andhra as a business destination. A few days ago, after Karnataka dropped its plan to build an aerospace park near Bengaluru Airport, Lokesh made an open offer to aerospace companies.He wrote, 'We have an attractive aerospace policy for you, with best-in-class incentives and over 8000 acres of ready-to-use land (just outside Bengaluru)!'
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Karnataka minister G Parameshwara responded to Lokesh's pitch, saying they would not 'let go' of investors. Though he admitted that land in Devanahalli may not be available, he promised that the state would offer other options to keep businesses in Karnataka.'We will definitely not let investors go to other states, such as Andhra Pradesh, Maharashtra, and Tamil Nadu,' he told reporters.
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