Leading private sectors firms Encore Research and Allen & Alvan Private Limited will invest Rs 581 crore in Uttar Pradesh's Defence Corridor for establishing Unmanned Aerial Vehicle manufacturing units in order to meet the requirements of the armed and security forces in the country. 

In this regard, the Uttar Pradesh Expressways Industrial Development Authority, the nodal agency to execute the defence corridor project in the state, has already allotted 10 hectares of land to Encore Research and to Allen & Alvan Pvt Ltd. 

As per the reports, the companies will start construction of their units soon. 

In the wake of changing security scenarios and multipurpose civil works, the demand for drones has been increasing rapidly in the country. 

"The state is could become self-reliant in defence product manufacturing on the one hand as investment grows in the defence corridor. On the other hand, the corridor will facilitate the supply of state-of-the-art drones to the Indian Army. Besides, the Defence Corridor will also offer permanent jobs to thousands of people of the state," the UP government said. 

According to UPEIDA, a total of 29 companies have submitted their proposals to the Government for setting up factories in the Aligarh node and have requested land. So far, 11 firms in the Lucknow node, six in Jhansi and eight in the Kanpur node have requested land to set up their plants. 

The UPEIDA has so far allotted 55.4 hectares of land to 19 reputed companies in the Aligarh node based on the proposals received from various companies.

These 19 companies will invest Rs 1245.75 crore to make defence equipment.

During the Investors' Summit held in Lucknow in 2018, Prime Minister Narendra Modi had announced the creation of a Defence Corridor in Uttar Pradesh.