Modi Govt committed to reduce import and promote self reliance in defense sector.
68 percent of capital for defence sector to be earmarked for local industry.
Defense R&D will be opened up for industry, startups and academia with 25% of defense R&D budget.
Private industry will be encouraged to take up the design and development of military platforms and equipment in collaboration with DRDO and other organizations through SPV model.
68% of capital procurement budget in defence will be earmarked for domestic industry in 2022-23 (up from the 58% last fiscal)
Mr. Chandrashekar, CMD, SASMOS HET Technologies LTD said , “The Union Budget 2022 has opened up an array of opportunity for home-grown defence manufacturing companies with the Government’s focus on curbing defence imports in India. The FM’s provision to earmark 68 per cent of capital for defence sector for domestic industry is a commendable move. The decision to invite industry, startups and academia in Defence R&D with 25% of R&D budget allocation will encourage like-minded people to come together and be part of the largest defence vision of the country, thereby, taking the Indian defence manufacturing to the next level. Overall, the budget addresses the need for sustained growth of defence manufacturers to support Make in India.”
