India approves Rs 1.1 lakh‑crore defence hardware plan with 98% local sourcing
The government has cleared proposals worth Rs 1.1 lakh crore for new military equipment, aiming for almost all components to come from Indian firms.
New Delhi has given the green light to a set of defence procurement proposals valued at roughly Rs 1.1 lakh crore, according to the Times of India. The package covers a wide range of hardware, from aircraft and missiles to naval vessels and ground‑based systems. Officials said that about 98% of the items will be sourced from domestic manufacturers, reflecting a decisive shift toward self‑reliance.
The approval was announced by Defence Minister Rajnath Singh, who emphasized that the move is designed to boost indigenous capabilities while reducing dependence on foreign suppliers. The proposals are expected to be rolled out over the next few years, with staggered contracts to ensure steady production and delivery.
India’s defence budget has been on an upward trajectory, driven by heightened security concerns along its borders and a desire to modernise ageing equipment. The latest procurement plan aligns with the broader “Make in India” initiative, which seeks to transform the country into a global hub for defence manufacturing. By mandating a 98% local content requirement, the government hopes to create jobs, foster technological innovation, and build a sustainable supply chain for future projects.
Historically, India has faced challenges in acquiring advanced weaponry, often relying on imports that come with high costs and lengthy delivery timelines. The current strategy aims to address those bottlenecks by encouraging partnerships between the armed forces and Indian private sector firms, many of which have recently received approvals to produce sophisticated systems under the Defence Production Policy.
Analysts note that the scale of the spending—equivalent to about 3% of India’s annual GDP—signals a long‑term commitment to defence modernization. If the domestic firms meet quality and timeline expectations, the approach could set a precedent for other large‑scale procurement programmes across the region.
The cleared proposals are expected to strengthen India’s deterrence posture and enhance operational readiness across the Army, Navy, and Air Force. While the exact list of equipment remains confidential, the emphasis on local production marks a notable departure from past reliance on foreign arms dealers.
This report is based on original reporting by Times of India. Read the original source →