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Make in India!

December 15, 2015 4:25 am

Posted By: Ankita Mohinta Mukherjee

As India gears up for “Make in India” project in the Defence Industry, exciting times are ahead for private Defence manufacturing units.

A great article by Dr SN Misra, former Director of DRDO and Joint Secretary of Aerospace, MOD highlights the importance of a synergy between manufacturing capability and demands of the defence industry in India.

Several projects are underway to increase the general share of manufacturing from 15 per cent of Gross Domestic Product (GDP) to 25 per cent. This will in turn create employment opportunity of nearly ten million on an annual basis. Another statistic lists the the defence services account for nearly Rs 2.29 lakh crore of the Central Government Budget which is nearly 2.5 per cent of the GDP and 13 per cent of the Central Government expenditure. It is clear that being a huge industry liberalization of the policies and encouraging private manufacturers will massively boost the morale of the defence industry.

A major change in Defence Procurement policy as recent as 2013 has been a boon for several manufacturing units who can now avail of Transfer of Technology (TOT). So to put it simply, technology transfers will definitely help defence companies to learn from their global counterparts, update their resources and focus on indegenisation. This emphasis on indegenisation is a major boost for Indian companies along with the current liberal FDI policy (49 percent) which also has caused big global defence companies to sit up and take notice of India.

We at Calcutta Fabricators are very enthusiastic about the interest global defence companies are taking in India. Being a company who has focused on utilizing indigenous raw-materials, and a skilled labour force we hope to envision a bright future for India in defence sector in line with Global giants such as the USA, France.

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