Andhra Pradesh is stepping up its push to build a stronger private space ecosystem, with state minister Nara Lokesh saying that Skyroot Aerospace has been allotted 300 acres in the Space City near Tirupati at ₹5 lakh per acre. According to Lokesh, the company will use the land to build its complete launch-vehicle manufacturing facility, while rocket launches will continue to take place from Sriharikota.
The announcement highlights the state's larger ambition to make Andhra Pradesh a major hub for India's growing private space industry. Earlier plans for the Tirupati Space City envisaged a dedicated ecosystem for activities such as launch-vehicle assembly, satellite manufacturing, avionics and other space technologies.
Skyroot's 300-Acre Space Facility
The 300-acre project is expected to significantly expand Skyroot's manufacturing and development capabilities. Earlier reports said Skyroot planned to invest around ₹400 crore in developing the space facility in Tirupati. The company has been identified as the developer of the proposed Space City, which is intended to support private satellite-launch and space-technology activities.
Skyroot, founded by former ISRO scientists Pawan Kumar Chandana and Naga Bharath Daka, has emerged as one of India's leading private rocket companies. Its facilities currently include a major rocket-development campus in Hyderabad, where the company designs, develops and tests its launch vehicles.
Rockets to Launch From Sriharikota
The Tirupati facility will focus on manufacturing and related activities rather than immediately replacing India's established launch infrastructure. Skyroot has already used ISRO's Satish Dhawan Space Centre in Sriharikota for its launch missions.
In July 2026, Skyroot's Vikram-1 successfully reached orbit from Sriharikota, marking a major milestone for India's private space sector. The company has also said it plans to eventually establish its own launch pad as it increases its launch frequency.
This creates a potentially important division of roles: manufacturing and integration can increasingly take place in Andhra Pradesh, while launches can initially continue from the country's established spaceport.
Andhra Pradesh's Space Ambitions
The state government has been promoting the Tirupati region as part of a broader space and aerospace ecosystem. The planned Space City is expected to attract investments, create skilled jobs and bring private space companies closer to India's launch infrastructure.
The development also comes at a time when India's space sector is rapidly opening to private participation. Skyroot was India's first private company to launch a rocket to space with its Vikram-S mission in 2022, while its subsequent orbital ambitions have strengthened its position in the emerging commercial launch market.
If implemented at scale, the Tirupati project could make Andhra Pradesh an important manufacturing and technology centre for India's next generation of private rockets and satellite missions.
