Private defence companies likely to sell Rs 60,000 crore arms to MoD

In Feb 2018, the MoD established two defence industrial corridors to serve as engines of economic development and growth of defence industrial base in the country

Indian private defence firms will supply equipment worth Rs 60,000 crore to the military during the fiscal years ending March 31, 2024 and 2025 (FY24 and FY25), according to a study by the Investment Information and Credit Rating Agency (ICRA).

The ICRA study predicted that business opportunities worth Rs 2.75 trillion are expected to open up for Indian defence entities in the next two years. Private sector entities will capture 22 per cent, or Rs 60,000 crore of this. 

“This is in the backdrop of the sustained increase in annual budgetary allocations, coupled with the government’s focus on reducing import