National Conference on ‘Opportunities in Defence Manufacturing in the Country’ – October 7, 2025
1. Context & Overview
2. Key Objectives
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Align State/UT Industrial Policies with the national self-reliance goal in defence production.
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Promote coordination between the Ministry of Defence and State Governments to build regional manufacturing hubs.
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Encourage private sector participation and investment in defence industries.
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Facilitate exports and global market integration through new digital tools and policy measures.
3. Key Launches at the Event
(a) Defence Exim Portal
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Purpose: To streamline export/import authorisation processes for defence products.
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Significance:
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Reduces bureaucratic delays.
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Enhances Ease of Doing Business for defence manufacturers.
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Aligns with India’s growing role as a defence exporter — exports grew from ₹1,521 crore in FY2016-17 to ₹21,083 crore in FY2023-24 (≈ 1,286% increase).
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Managed by: Department of Defence Production.
(b) SRIJAN DEEP Portal (Defence Establishments and Entrepreneurs Platform)
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A digital repository mapping capabilities, technologies, and products of Indian defence industries.
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Objective:
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Connect MSMEs, startups, and major defence PSUs (like HAL, BEL, DRDO) for technology transfer.
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Enable import substitution by identifying locally available alternatives.
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Impact: Will promote Defence Industrial Corridors (DICs) in Uttar Pradesh and Tamil Nadu.
(c) Release of Key Publications
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Aerospace & Defence Sector Policy Compendium of States/UTs – Comparative analysis of state-level defence policies.
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iDEX Coffee Table Book – “Shared Horizons of Innovation” – Showcases innovations by startups supported under Innovations for Defence Excellence (iDEX).
4. Significance for India’s Defence Manufacturing Ecosystem
| Indicator | 2014-15 | 2023-24 | Growth/Target |
|---|---|---|---|
| Defence Exports | ₹1,521 crore | ₹21,083 crore | ↑ ~1,286% |
| FDI in Defence | ₹35 crore | ₹5,000+ crore (cumulative) | ↑ post 74% FDI policy |
| Defence MSMEs | ~8,000 units | 12,000+ units | Expanding base |
| Indigenous Procurement Target | 60% (Achieved FY2024-25) | Target 75% by 2026 | Atmanirbhar push |
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India ranks 3rd in military spending globally (SIPRI 2024) but aims to reverse its import-heavy profile — currently 40–45% of equipment is still imported.
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Private sector and startups are being mainstreamed via iDEX, Make-I/II categories, and offset policies.
5. Role of States and Union Territories
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States play a pivotal role by providing:
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Industrial parks, land banks, and logistics infrastructure.
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Policy incentives (tax exemptions, subsidies).
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Support for skilled manpower and R&D ecosystems.
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Example:
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Uttar Pradesh and Tamil Nadu Defence Industrial Corridors expected to attract investment worth ₹20,000 crore+.
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Other states like Gujarat, Maharashtra, and Telangana are developing Aerospace & Defence Parks.
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6. Challenges
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Technological dependency on foreign OEMs.
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Low R&D expenditure – only about 0.8% of GDP, while global leaders like the US and China invest over 2%.
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Fragmented supply chain across states.
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Complex licensing and testing norms.
7. Way Forward
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Integrated Defence Manufacturing Policy linking states with MoD targets.
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Enhanced funding for R&D and public-private DRDO collaboration.
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Skilling initiatives under PM Vishwakarma Yojana and Skill India tailored for defence manufacturing.
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Export-led growth strategy, targeting $5 billion in defence exports by 2028.
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