Government unveils new indigenisation list to boost defence manufacturing

Government has unveiled a new list of 346 military hardware items, including strategically important systems and weapons, that will be exclusively procured from domestic manufacturers following a phased ban on their import.

The defence ministry announced that over 12,300 items have been indigenised in the past three years to bolster the domestic defence industry. The fifth positive indigenisation list includes these 346 items, which will be produced by defence public sector undertakings (DPSUs).

"In a major boost to Aatmanirbharta in defence and to minimise imports by DPSUs, the department of defence production has notified the fifth positive indigenisation list (PIL) consisting of 346 items," the ministry stated. The items listed are valued at an import substitution worth Rs 1,048 crore.

The indigenisation effort will involve various routes, including in-house development with industry participation, aiming to boost the economy, increase investment in defence, and reduce import dependence. The initiative is also expected to enhance the design capabilities of the domestic defence industry through collaboration with academia and research institutions.

Previously, the department of defence production had notified four PILs comprising 4,666 items, of which 2,972 items worth Rs 3,400 crore in import substitution have already been indigenised. These lists for DPSUs are in addition to five positive indigenisation lists of 509 items notified by the department of military affairs, which include highly complex systems, sensors, weapons, and ammunition.

In recent years, the government has taken multiple measures to promote domestic defence production. As one of the largest arms importers globally, India aims to reduce its dependence on imported military platforms. The Indian armed forces are projected to spend around $130 billion on capital procurement over the next five to six years.

The government has set a target of achieving a turnover of $25 billion (Rs 1.75 lakh crore) in defence manufacturing in the next five years. Last month, Defence Minister Rajnath Singh announced a vision to increase military hardware exports to Rs 50,000 crore by 2028-29, up from the current Rs 21,083 crore.

(With PTI inputs)