BDL to Set Up ₹1,200 Crore Missile & Defence Unit at Donakonda, AP

From Our Correspondent

Prakasam District, Andhra Pradesh — Bharat Dynamics Limited (BDL) is poised to establish a large-scale missile and integrated defence systems manufacturing unit in Donakonda, Prakasam district, under a project valued at approximately ₹1,200 crore. Local officials say the plant will provide employment for an estimated 1,600 people — 600 directly and another 1,000 indirectly.

Project Structure & Scope

  • The total investment is being phased: ₹650 crore in the first stage, followed by ₹550 crore in the second.

  • The proposed facility will include production of integrated weapon systems, propellant motors, testing infrastructure, and allied manufacturing lines.

  • The area requirement is estimated at 1,400 acres, of which the state has offered 317 acres at a rate of ₹7.73 lakh per acre, with arrangements underway for the remainder.

Employment & Infrastructure

  • The project is expected to benefit about 1,600 individuals, combining direct and indirect roles.

  • To support workforce needs, BDL plans to develop a township across 200 acres, along with housing for around 600 families and associated amenities.

Timeline & Process

  • According to the DPR, BDL aims to secure all necessary approvals by March 2026, start construction thereafter, complete the build by March 2028, and begin operations by September 2028.

  • Equipment installation is slated for June 2028.

Strategic Context & State Vision

This development is consistent with Andhra Pradesh’s ambition to become a defence manufacturing hub. The proposed Donakonda unit is one of several planned clusters in the state focusing on missiles, electronics, drones, and naval systems.

DRDO has already inspected parcels of land in Donakonda for related projects. Meanwhile, BDL is among India’s leading defence firms manufacturing missile systems, trending toward diversification and expanded capacity

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