New Delhi: For the first time, the value of India’s defence production has crossed Rs one lakh crore mark in the financial year 2022-23, the defence ministry said Friday.
The value of total defence production in the country in 2021-22 was over Rs 95,000 crore.
In the last few years, the government has taken a series of measures to promote the domestic defence industry.
“As a result of the consistent efforts of the ministry of defence, the value of defence production in the financial year 2022-23 has crossed the figure of Rs one lakh crore for the first time ever,” the ministry said.
“The value currently stands at Rs 1,06,800 crore and it will go further up once the data is received from the remaining private defence industries,” it said in a statement.
The ministry said the value of defence production in 2022-23 is a rise of more than 12 per cent over the figure in 2021-22 when it was Rs 95,000 crore.
“The government is continuously working with defence industries and their associations to remove the challenges faced by them and promote defence production in the country,” the ministry said.
It said a number of policy reforms have been taken to achieve the objective of ease of doing business, including the integration of MSMEs and start-ups into the supply chain.
The ministry said defence industries, including the MSMEs (Micro, Small and Medium Enterprises) and start-ups, have been coming forward in design, development and manufacturing of military hardware.
“There is almost a 200 per cent increase in the number of defence licenses issued to the industries in the last seven-eight years by the government,” the ministry said.
“These measures have given a boost to the defence industrial manufacturing ecosystem in the country and generated tremendous employment opportunities,” it said.
India is one of the largest importers of arms globally. According to estimates, the Indian armed forces are projected to spend around $ 130 billion in capital procurement in the next five years.
The government now wants to reduce dependence on imported military platforms and has decided to support domestic defence manufacturing.
The Defence Ministry has set a goal of a turnover of $ 25 billion (Rs 1.75 lakh crore) in defence manufacturing by 2024-25 that included an export target of $ 5 billion (Rs 35,000 crore) worth of military hardware.
PTI