Good News of the Day: For the First Time, Defence Production in India Crosses Rs 1L Crore
The Ministry of Defence said on Friday that continuous and consistent efforts were made for this result.
The defence sector reached new heights with the launch of several indigenously developed capabilities across the armed, naval, and air forces.
The value of defence production in Financial Year (FY) 2022–23 in India has crossed Rs 1 lakh crore for the first time ever.
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, the Ministry of Defence (MoD) officials added.
According to them, the current value of defence production in FY 2022–23 is a rise of more than 12 per cent over FY 2021–22, when the figure was Rs 95,000 crore.
Words from MoD officials
According to the officials, “The defence production stands at almost Rs 1.07 lakh crore in the financial year 2022–23, an increase of more than 12 per cent over 2021–22.” 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 of defence said: “Due to these policies, the industries, including MSMEs and startups, are forthcoming in defence design, development and manufacturing and there has been almost a 200 per cent increase in the number of defence licences issued to the industries in the last 7-8 years by the government.”
A number of policy reforms have been taken to achieve the objective of ease of doing business, including the integration of MSMEs and startups into the supply chain.
These measures have given a boost to the defence industrial manufacturing ecosystem in the country and generated tremendous employment opportunities.
The ministry has also approved four Positive Indigenization Lists (PIL) of more than 2,500 strategically important Line Replacement Units (LRUs), Sub-systems, Spares and Components. A recent approval this week includes high-end materials and spares, with an import substitution value worth Rs 715 crore.
Beside this, the government has set up two Defence Industrial Corridors (DICs) in order to attract total investment worth Rs 20,000 crore by the year 2024-25 for defence industries, develop the domestic supply chain, and strengthen the defence manufacturing ecosystem in the country.