Achieving Self-Reliance in Defence Manufacturing Sector
(Source: Indian Ministry of Defence; issued Feb 07, 2017)
The requirements of defence equipment for the Indian Armed forces are met through both indigenous production and imports. Whilst considerable thrust has been accorded to indigenisation, certain equipments are imported due to non-availability of indigenous expertise, lack of vendor base and need for induction of such equipment based on threat perception.

73 contracts involving a value of Rs. 72,303.34 crore were signed with Indian vendors during the last two financial years (2014-15 and 2015-16). 85 cases involving Rs. 1,60,362 crore have been accorded Acceptance of Necessity (AON) by Defence Acquisition Council under the ‘Buy (Indian)’ ‘Buy & Make (Indian)’ and ‘Buy & Make’ categories.

Defence Research and Development Organisation (DRDO), an R&D Wing of Ministry of Defence, is primarily involved in design and development of strategic, complex and security sensitive systems in the fields of armaments, missiles, unmanned aerial vehicles, radars, electronic warfare systems, sonars, combat vehicles, combat aircraft, sensors, etc., for the Armed Forces as per their specific Qualitative Requirements.

Some of the major indigenously designed and developed weapon platforms that have been successfully inducted into the Services inter alia include Advanced Light Helicopters (ALH), Light Combat Aircraft (LCA), Akash Missile Systems, Multi Barrel Rocket System – Pinaka, MBT Arjun Tanks, Sonars, etc.

Projects for defence research are undertaken by DRDO, based on the priorities of Armed Forces and existing capabilities. To involve private sector in defence R&D, projects are undertaken under ‘Make’ category. The Government has also launched Technology Development Fund (TDF) to involve industry, particularly SMEs in defence sector.

According highest preference to ‘Buy (Indian-IDDM-Indigenously Designed, Developed and Manufactured)’ category of acquisition, and revision of ‘Make’ procedure in the Defence Procurement Procedure-2016 (DPP) are expected to catalyse investment into defence research, development and innovation.


This information was given by Minister of State for Defence Dr. Subhash Bhamre in a written reply to Shri Surendra Singh Nagar in Rajya Sabha today.

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Expanding Defence Manufacturing Base in Jabalpur, Madhya Pradesh
(Source: Indian Ministry of Defence; issued Feb 07, 2017)
A proposal to expand manufacturing base in the defence establishment including manufacturing arms, wheels etc. In Jabalpur as it has a very large area engaged in ordnance manufacturing and therefore, Madhya Pradesh has immense potential in that area.

The following Ordnance Factories located in Jabalpur, Madhya Pradesh have undertaken productionisation of certain defence items, the details of which are enumerated below:

-- Gun Carriage Factory (GCF): GCF has been identified to manufacture and assemble 155mm x 45 Cal Gun ‘Dhanush’. An indent of 114 Guns has already been placed on OFB.

-- Vehicle Factory Jabalpur (VFJ): VFJ has developed 4 x 4 Mine Protected Vehicle (MPV) to meet the requirement of Army and Ministry of Home Affairs. VFJ is also involved in development and production of 6 x 6 Modernized Mine Protected Vehicle (MMPV).

-- In Ordnance Factory Khamaria (OFK), new products like 125mm FSAPDS Tank Ammunition, 84mm HEAT 751 (with tandem warhead), HEDP 502 & Smoke 469C, Pre-fragmented Air Bombs etc. are being productionised at OFK, Jabalpur.


This information was given by Minister of State for Defence Dr. Subhash Bhamre in a written reply to Shri Vivek K Tankha in Rajya Sabha today.

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Speedy Clearance for Delayed Defence Projects
(Source: Indian Ministry of Defence; issued Feb 07, 2017)
‘Make in India’ initiative in defence production, is primarily driven by capital acquisition of defence equipment and other policy initiatives of the Government. Capital acquisition of defence equipment is carried out as per the Defence Procurement Procedure (DPP), which stipulates a time schedule for completion of the procurement cycle.

However, the time taken to undertake capital procurement of defence equipment depends on the nature and complexity of the equipment being procured. Nonetheless, under the DPP-2016, Government has laid down provisions for ensuring swift decision making and effective implementation of the procurement process.

Defence Research and Development Organisation (DRDO), a Research & Development wing of Ministry, is primarily involved in design &development of strategic, complex and security sensitive systems in the field of armament, missiles, combat vehicles, combat aircrafts, radars, etc for the Armed Forces.

Procurement of capital equipment from Indian companies, is carried out under the ambit of ‘Buy (Indian – IDDM)’, ‘Buy (Indian)’, ‘Buy & Make (Indian)’, ‘Make’ and the Make phase of ‘Buy & Make’ categories of capital acquisition. Projects are awarded to Defence PSUs, Ordnance Factory Board (OFB) and private players as per the provisions of Defence Procurement Procedure (DPP).

During the last two financial years (2014-15, 2015-16), 85 cases involving Rs 1,60,362 crore have been accorded Acceptance of Necessity (AON) by Defence Acquisition Council under these categories.

The entry of private companies in defence is not likely to adversely affect the role of DRDO and DPSUs; as role of these segments are complimentary and supplementary in nature. The wider participation of defence industry, including private sector, is beneficial for the overall objective of self-reliance and indigenisation in the defence sector. The Government has taken several steps to encourage participation of private sector including foreign investment in the sector.


This information was given by Minister of State for Defence Dr. Subhash Bhamre in a written reply to Shri Ajay Sancheti and others in Rajya Sabha today.

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