Skip to Main Content
Font Size + A -

GoI Initiatives

  • IDR Act:

    Defence Products list requiring Industrial Licences has been rationalised and manufacture of most of parts or components does not require Industrial License. The initial validity of the Industrial Licence granted under the IDR Act has been increased from 3 years to 15 years with a provision to further extend it by 3 years on a case-to-case basis.

  • DAP 2020:

    Formulation of DAP 2020 is aligned with the vision of the Government of Atmanirbhar Bharat. DAP 2020 lays down a strict order of preference for procurements. Weapons systems that are designed, developed, and manufactured in India are given higher preference.

  • Make in India and Other Government Initiatives Boosting Defence Manufacturing:

    Under the Make in India initiative, the Indian government focuses on minimising import dependence, increasing domestic capacity and modernising armed forces. It plans to achieve these by scaling up domestic manufacturing capacity by promoting local Micro Small and Medium Enterprises (MSMEs) and bigger defence manufacturers and by inviting foreign manufacturers to start operations in India.

  • Conclusion:

    India’s defence manufacturing industry is going through rapid changes, and higher demand is expected due to national security concerns. To meet this demand, the domestic share is likely to increase, given the various schemes introduced by the government. For example, the import ban on helicopters and aircraft is anticipated to profit Indian defence vehicle manufacturers, especially the defence aircraft manufacturers in India.