The Government has been promoting and facilitating the manufacturing of aircraft, including a Regional Transport Aircraft, and associated equipment by public and private enterprises in India. Hindustan Dornier-228 (Upgraded) civil aircraft developed by Hindustan Aeronautics Limited (HAL) is a 19 seater turbo prop aircraft suitable for regional connectivity. HAL has also entered into MoU with Council of Scientific and Industrial Research (CSIR) - National Aerospace Laboratories (NAL) for Design, Development and Certification of 19 seat Light Transport Aircraft - SARAS MK-II and subsequent Production, Marketing and Lifestyle Maintenance of the aircraft.

In order to promote the Government's initiative of "Atmanirbhar Bharat" for manufacturing of C-295 Military Transport Aircraft by Tata Advanced System Limited (TASL) (in collaboration with Airbus Defence and Space, a Final Assembly Line and Maintenance, Repair and Overhaul (MRO) facility), the Airports Authority of India (AAI) has approved the allotment of land measuring 50 acres to TASL for setting up Final Assembly Line and MRO facility at Vadodara Airport. The foundation stone for the same was laid on 30.10.2022.

The extant policy enables domestic manufacturing of aircraft. The Government has been promoting and facilitating the manufacturing of aircraft, including a Regional Transport Aircraft, and associated equipment by public and private enterprises in India. Hindustan Dornier-228 (Upgraded) civil aircraft developed by Hindustan Aeronautics Limited (HAL) is a 19 seater turbo prop passenger aircraft suitable for regional connectivity. HAL has also entered into MoU with Council of Scientific and Industrial Research (CSIR) - National Aerospace Laboratories (NAL) for Design, Development and Certification of 19 seat Light Transport Aircraft - SARAS MK-II and subsequent Production, Marketing and Lifestyle Maintenance of the aircraft.

No proposal to create Special Economic Zones or Aviation Corridor on the lines of Defence corridor to manufacture Passenger aircraft in West Bengal has been received in the Ministry.

National Civil Aviation Policy, 2016 seeks to promote the growth of Indian aviation sector in a significant manner. The aim is to develop an entire ecosystem for the harmonized growth of various aviation subsectors i.e. Airlines, Airports, Cargo, Maintenance, Repair and Overhaul (MRO) services, General Aviation, Aerospace Manufacturing, Skill Development etc.