Economic Explosives Limited (EEL), a subsidiary of Solar Industries India Limited, has entered into an agreement with the Government of Maharashtra to develop a major defence and aerospace project in Nagpur.

The MoU was signed on January 22, 2025, at the World Economic Forum in Davos, Switzerland. The proposed project will require an investment of approximately Rs 12,700 crore.

The project is to expand production capacity in areas including drones, unmanned aerial vehicles (UAVs), counter-drone systems, explosives, and other materials. Additionally, the initiative will include the development of new products, such as military transport aircraft.

The state government has agreed to assist EEL with the necessary approvals, permissions, registrations, and fiscal incentives required for the project. These facilitation measures will align with Maharashtra’s existing policies and regulations.

Solar Industries has been expanding in the defence sector since its entry in 2010. The company recently secured export orders worth ₹2,039 crore for defence products.

These orders, to be delivered over 4 years, shows the company’s presence in global markets.