Defence equipment makers in demand, stocks surge up to 6 pc

Stocks of companies related to defence today gained up to 6 per cent on hopes the Narendra Modi-led government will introduce new policies including liberalised FDI in the sector.
Shares of BEML surged 5.71 per cent to Rs 778.10. Scrips of Walchandnagar Industries rose by 5 per cent to Rs 117.60 on the BSE.
Similarly, Bharat Electronics Ltd gained 2.87 per cent and Astra Microwave Products was up 1.77 per cent.
Addressing the first joint sitting of Parliament after the recent Lok Sabha elections, President Pranab Mukherjee said the government will introduce new policies including liberalised FDI in defence to strengthen and develop a strong indigenous defence industrial base.

Meanwhile, industry body Assocham today asked the government to review foreign investment policy, particularly related with FIIs, in the defence sector.