GMR Group is developing a 500-acre aviation and aerospace ecosystem in Andhra Pradesh, Chairman G M Rao said while addressing the CII Partnership Summit on Thursday. The proposed development is being planned as an aviation city alongside an airport, although the company has not disclosed a project timeline, investment value or the precise location of the 500-acre site.
“Besides the airport, we are developing an aviation and aerospace ecosystem in 500 acres in Andhra Pradesh,” Rao said, according to PTI. The announcement places the airport at the centre of a wider development model involving aviation-related activity and associated urban infrastructure.
Rao described the proposed project as an “aviation city” and said GMR Group was developing it in the state. The statement did not specify whether the ecosystem would include manufacturing, maintenance and repair facilities, logistics, offices, training institutions or other aviation-linked uses. It also did not provide details on land acquisition, approvals, construction phases or the number of companies expected to participate.
The GMR chairman said economic activity had historically grown around ports, railway stations and city centres, but argued that airports have become new economic engines. His remarks frame the proposed Andhra Pradesh project as more than an airport-linked real estate development, though the company has not released a detailed master plan or implementation schedule.
Rao also said Visakhapatnam would be the “Bombay of the East”, linking the city to his broader description of Andhra Pradesh as a destination shaped by trade, technology, trust and thought leadership. The source material does not establish whether the proposed 500-acre aviation and aerospace ecosystem is located in Visakhapatnam or elsewhere in the state.
The announcement comes as the Andhra Pradesh government, led by Chief Minister N Chandrababu Naidu, seeks to attract investment. Rao said the state administration acts with “remarkable speed”, adding that investors had witnessed this first-hand. No specific government order, land allotment, funding commitment or approval connected to the GMR project was cited in the announcement.
The next publicly stated steps for the project, including its location, development schedule, investment structure and planned aviation or aerospace facilities, remain to be disclosed by GMR Group or the Andhra Pradesh government.


