Indian aerospace and defence manufacturer Sigma Advanced Systems has begun production at its new aerospace facility at Sri City in Andhra Pradesh, bringing the first phase of a much larger manufacturing campus into operation just eight months after construction began.
The first batch of precision-machined aerospace components has already been produced at Sri City and shipped to Sigma’s UK operations for final verification before delivery to the customer. The company disclosed the development to the BSE and National Stock Exchange on September 10.
The significance of the facility goes beyond adding another machining plant. Sigma is using Sri City to progressively reproduce in India manufacturing capabilities that it already operates through its aerospace businesses in the United Kingdom.
First 75,000 Sq Ft Already Operational
Sigma is developing the aerospace facility across a planned 500,000 sq ft campus at Sri City.
Around 75,000 sq ft has already been commissioned, providing approximately 100,000 annual machining hours of production capacity. Sigma says this first phase has been designed to expand to nearly 300,000 machining hours annually.
The remaining sections of the campus are expected to be brought into operation over the next 12 months, adding further manufacturing capacity as well as aerospace-specific processes.
Once these capabilities are fully established, Sigma expects about 70% of the relevant manufacturing process to be carried out in India.
That gives the project a clear localisation dimension. Rather than keeping high-value aerospace manufacturing concentrated in Britain, the company intends to progressively shift a larger share of production and associated processes to its Indian base.
Rolls-Royce Qualification Process Underway
One of the most important developments at the new plant is its connection with Rolls-Royce Aerospace.
Sigma said the Sri City facility has completed the initial stages of the source-change approval process with Rolls-Royce. Such approval is required before manufacturing work associated with an established aerospace supply chain can be formally transferred from one approved production source to another.
The process is particularly relevant because Sigma already has a major long-term manufacturing relationship with Rolls-Royce.
In April 2026, the company announced a seven-year agreement valued at nearly £300 million, approximately ₹3,800 crore, to manufacture and supply high-precision, safety-critical components and assemblies for Rolls-Royce aerospace programmes. The work is being executed through Sigma’s manufacturing network in India and the UK.
The Sri City expansion provides Sigma with the capacity to move a larger share of such global aerospace manufacturing work into India while maintaining its UK operations for customer proximity, engineering support and programme integration.
Transferring UK Aerospace Capability to India
Sigma’s international aerospace manufacturing footprint includes its UK subsidiaries Nasmyth and Bromford, which produce precision components, complex assemblies and engineered solutions for global aerospace customers.
The company’s strategy is to use those established capabilities as the foundation for expanding manufacturing in India.
Sigma CEO and Executive Director Sunil Kalidindi said the objective at Sri City is not simply to increase machining capacity but to reproduce the manufacturing capabilities available in the UK and progressively bring a greater portion of the aerospace value chain into India.
This approach allows Sigma to combine established European aerospace manufacturing experience with India’s growing precision-engineering and production base.
More Aerospace Processes to Move to Sri City
Machining represents only the first stage of the Sri City programme.
Sigma plans to progressively commission additional aerospace-critical manufacturing processes at the campus and pursue NADCAP accreditation, an internationally recognised qualification used across aerospace supply chains for specialised manufacturing processes.
The facility is also intended to support future acquisitions made by Sigma, allowing manufacturing work from acquired overseas aerospace businesses to be integrated into its India-UK production network.
This could make Sri City the principal Indian manufacturing node in Sigma’s strategy of acquiring specialised aerospace capabilities abroad and subsequently creating corresponding production capacity in India.
More Than 500 Skilled Jobs Planned
The company expects the Sri City operation to employ more than 500 people over the next two to three years.
Employment will cover specialised areas including precision manufacturing, complex fabrication, specialised welding, engineering and aerospace production processes. Sigma also plans to establish on-campus training and capability-development programmes to build the specialised workforce needed for these activities.
Sri City was selected partly because of its industrial infrastructure and access to international logistics gateways. Its proximity to several major ports is particularly useful for a facility intended to manufacture components for export-oriented aerospace programmes.
A Make in India Aerospace Supply-Chain Story
The Sri City project reflects a wider change taking place in India’s aerospace manufacturing sector.
Indian companies have long produced components for global aerospace manufacturers, but the next phase increasingly involves taking responsibility for larger manufacturing packages, complex assemblies and safety-critical components, rather than remaining suppliers of relatively simple parts.
Sigma’s Rolls-Royce agreement is an example of that transition. The April contract covers a portfolio of precision-engineered, safety-critical components and assemblies and is structured around an integrated India-UK manufacturing model.
By creating equivalent production capability at Sri City, Sigma is attempting to move more of that work into India while retaining access to the engineering and customer relationships developed through its British subsidiaries.
The first components leaving the Sri City production line therefore represent more than the commissioning of another factory. They mark the beginning of Sigma’s plan to transfer a substantial part of its international aerospace manufacturing capability to India and make Sri City a major production centre within its global supply chain.
Official References
Sigma Advanced Systems Limited — September 10, 2026
Sigma Advanced Systems Begins Production at Sri City Aerospace Facility, Replicating UK Manufacturing Capability in India
Regulation 30 disclosure filed with the BSE and National Stock Exchange.
Sigma Advanced Systems Limited / National Stock Exchange — April 27, 2026
Sigma Advanced Systems Secures £300 Million Long-Term Agreement with Rolls-Royce to Manufacture and Supply Aerospace Systems.
