Stating that the “decisions taken in the last decade” had paved the way for defence manufacturing in India, Prime Minister Narendra Modi, on Monday, expressed confidence that India would soon become a leading exporter of aircraft and meet “growing demand” in the civil aviation sector, thanks to the newly inaugurated Tata-Airbus manufacturing facility in Gujarat’s Vadodara.
He was speaking at the inauguration of the ambitious facility of TATA Advanced System Ltd. (TASL) for the C-295 transport aircraft for the Indian Air Force in Vadodara, which was also attended by Spain Prime Minister Pedro Sanchez.
PM Modi said that the project was a step to strengthen the “Make in India, Make for the World” mission of the government. Paying tribute to Late Ratan Tata, he said, “The (Tata-Airbus) facility is a reflection of new India’s work culture… The construction of this factory started in October 2022 and is ready for production… Had we not taken definite steps 10 years ago, it would have been impossible to scale these heights. At that time… the priority and understanding was of only importing, but we decided to walk new paths and set new goals. The result is in front of us.”
“Indian players have given orders for 1,200 new aircraft to other countries but it is possible that the global manufacturers may not be able to meet India’s growing demand. This factory will play a key role in designing and manufacturing civil airlines,” he said.
He cited the example of setting up the manufacturing facility of Canadian-German rail manufacturer Bombardier Transportation in Vadodara during his tenure as Chief Minister and said, “It was readied in record time. Today, the metro coaches being manufactured here are being exported to other countries.”
The facility is expected to benefit MSMEs across the country and make Vadodara the “centre of transport engineering”. He said, “Skill and job creation is our focus — the Airbus and Tata factory will create thousands of jobs. About 18,000 parts of the aircraft will be indigenously manufactured in various parts of the country. Micro and small industries MSMEs will be making these parts. The new aircraft factory will boost new skills, new industries… We are working on increasing air connectivity in smaller towns and creating Maintenance, Repair, and Overhaul (MRO) hubs… It will create a path for made-in-India civil aviation in the future and create an ecosystem.”
He added, “Vadodara city will work as a catalyst. It is a strong centre of MSMEs. We have our Gatishakti University, which is creating professionals for many industries. Vadodara is a centre for pharma, engineering, heavy machinery and several sector companies. This entire sector will become a hub of aviation manufacturing. For this, I applaud the Gujarat government and the entire team for their advanced industrial policies…”
Stating that “key decisions” during his ten-year tenure had helped create the “right plan and partnership to turn possibility into prosperity”, PM Modi said, “We changed the ordinance factory to seven big companies. DRDO (Defence Research and Development Organisation) and HAL (Hindustan Aeronautics Limited) were revitalised and two defence corridors were set up in Uttar Pradesh and Tamil Nadu. Such decisions have enthused new energy into the defence sector. Innovation for Defence Excellence schemes have pushed start-ups… In the last six years, about 1,000 new defence startups have come up in India and the country’s has increased by 30%. Today, we are exporting defence equipment to more than 100 countries.”
At the event, Spain Prime Minister Pedro Sanchez said that the TASL was a “triumph” of PM Modi’s “mission to turn India into an industrial powerhouse”. Sanchez said, “Spain, like India, is promoting an ambitious roadmap. The IMF has raised its growth forecast for Spain. If Indian companies want to grow, they can trust Spain. In 2026, the first C295 manufactured in India will fly. It is a symbol of the Spanish aeronautical industry. A new generation of highly qualified engineers and technicians will be trained (in Vadodara). Many are currently studying at universities and they will find a highly professional horizon in this centre.”
The two PMs held an open jeep road show to wave at the crowd gathered on the 2.5-km stretch from the airport to the TASL facility, with a glimpse of cultural dances from various states of India, and remarked on the cultural connections and collaborations of India and Spain.
Following the event, they also held a vital bilateral discussion at the Lukshmi Villas Palace (LVP) in Vadodara. PM Modi, addressing the delegation in Hindi, said, “India’s young talent is contributing to the green and digital transition goals of Spain. With increasing people-to-people relations, India opened a new Consulate in Barcelona this year and we welcome your decision to open a new Consulate of Spain in Bengaluru. I am confident our partnership will become more dynamic with cooperation in pharma, IT, science, and technology,” he said.
Congratulating PM Modi for being re-elected for a third term earlier this year, Sanchez said, “There is no doubt that our cooperation will continue to grow across many other areas, and even more given the celebration of the Spain-India Year for Culture, Tourism and Artificial Intelligence in 2026. Our countries complement each other. India plays a prominent role not only in the Indo-Pacific but also in the wider geopolitical context. Spain maintains privileged relations with Latin America, historic ties in the Middle East, increased presence in Africa, and is a leading voice in the European Union. This geopolitical framework offers many opportunities for our countries to reach different regions and develop closer and more productive relations. India and Spain also share many goals; in particular, they are strengthening the multilateral order and preserving peace and democracy worldwide.”