Paper: GS – III, Subject: Science and Technology, Topic: Defence Technology, Issue: Strengthening India’s Industrial Base.
Context:
The critical importance of a robust defence industrial base for India’s aspirations of becoming a developed nation by 2047. The recent reforms that have spurred growth, and the evolving global security landscape that necessitates self-reliance in defence.
Key Highlights:
A Shift After Reforms:
Recent years have witnessed a transformative shift in India’s approach to defence manufacturing, marked by:
- Opening up to the Private Sector: Allowing domestic private industries to participate in defence production.
- Liberalised Foreign Direct Investment (FDI) Norms
- Corporatisation of the Ordnance Factory Board: Improving efficiency and accountability in defence production.
- Expansion of the ‘Make’ Procedure: Increasing the list of arms and armaments to be procured domestically.
- Pro-active Promotion of Innovation: Encouraging research and development in defence technologies.
These reforms have collectively contributed to: Increased Defence Production, Exponential Growth in Exports
Key Steps to Enhance Defence Industry:
Why a Strong Defence Industrial Base Matters:
National Security & Strategic Autonomy:
- Reduces dependence on foreign suppliers during conflicts.
- Ensures assured availability of spares, ammunition, and platforms.
- Enhances operational readiness across land, sea, air, cyber, and space domains.
Economic & Industrial Growth:
- Defence manufacturing has strong multiplier effects:
- High-skilled employment
- MSME and startup ecosystem growth
- Advanced manufacturing and R&D
- Defence exports contribute to foreign exchange earnings.
Geopolitical Leverage:
- Defence exports signal:
- Technological maturity
- Strategic reliability
- Enable India to emerge as a credible defence supplier, especially for the Global South and Indo-Pacific partners.
Progress Achieved So Far:
- Liberalised FDI norms in defence.
- Corporatisation of the Ordnance Factory Board.
- Expansion of Make-I / Make-II / Make-III procurement categories.
- Defence exports expanded to 80+ countries.
- Shift from import-heavy model to Make in India focus.
Strengthening the defence industrial base is crucial for:
- Reducing Import Dependency: Enhancing self-reliance in defence.
- Generating High-Skilled Employment: Creating opportunities for skilled workers.
- Enhancing Geopolitical Leverage: Increasing India’s influence on the global stage.
The progress made in recent years is encouraging, but sustained efforts are needed to deepen reforms and build an ecosystem that fosters innovation and investment. India’s security and economic ambitions demand nothing less.
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