Defence exports grew to Rs.9,000cr in 2020
The Indian aero components sector is set to grow to Rs.60,000 crores by 2024 from the current Rs.30,000 crores, Defence Minister Rajnath Singh said at the close of Aero India 2021 at Bengaluru on 5 Feb 2021.
He also stressed the need for a robust domestic manufacturing base for defence export potential of the country, and increased the target of defence base to US$25 billion by 2025, including an export component of US$5 billion, from the current US$11 billion.
Defence exports grew to Rs.9,000 crore in 2020, with a vast majority spearheaded by the private sector, from Rs.2,000 in 2015.
Highlighting the importance of the requisite eco-system for the growth of the defence industry, Singh said Rs.6,800 crore investments were pledged by both public and private industries in the defence corridors of Uttar Pradesh and Tamil Nadu.
Joining the Defence Minister at the close of Aero India, President Ram Nath Kovind pointed out that the defence sector has also been witnessing steady liberalisation such as industrial licensing requirements have been eliminated for a number of items.
“The processes for industrial licence and export authorisations have been simplified and made on-line,” he told participants in the country’s largest defence exposition and conferences held 3-5 Feb 2021.
Elaborating, the Defence Minister enumerated the cost competitiveness of India’s manpower resources, availability of abundant, specialist capabilities and geographical advantages. These are reasons for India’s emergence as a global and regional Maintenance and Repair Operations hub.
Hailing the agreements concluded at Aero India 2021, the Minister said they would give impetus to ‘Make In India’ and ‘Atmanirbhar Bharat’ and assured the mega defence show participants that his Ministry would do everything possible to ensure the agreements reached at Aero India 2021 are implemented.
Aero India 2021 closed with the signing and conclusion 128 MoUs, 19 Transfers of Technologies, 4 Handing Overs contracted products, 18 Product Launches and 32 major announcements.
Singh highlighted initiatives to encourage and facilitate private sector R&D initiatives such as iDEX and Defence India Start-up Challenge (DISC).
He recalled innovations such as the combat drone display, a part of the swarm technology initiative, exhibited during the Army Day function on 15 January 2021 at New Delhi.
The Minister reiterated India’s intention to bring down defence imports by at least US$2 billion by 2022 to encourage local defence manufacturing.
He informed that 138 proposals worth over US$37 billion for domestic manufacturing were approved between 2016 and 2019. #contracts #makeinIndia #manufacturing #investment /fiinews.com
