Indian Defense Industry General News and Updates

On this Indian Navy Day, we proudly honor the incredible dedication & excellence of our Navy in safeguarding the nation’s waters. At KSSL , a wholly owned subsidiary of Bharat Forge Ltd., we are committed to propelling the future of marine technology to new Horizons.
From Autonomous Underwater Vehicles (AUV) to advanced Marine Engineering Systems & Naval Armament, our Make in India innovations continue to shape a self-reliant and secure future.

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BEL reported order intake in the last 2 days

Major orders include maintenance of Akash Missile System, telescopic sights for guns,communication equipment, jammers, electronic voting machines, test stations, spares,services etc. With these orders, BEL has now accumulated orders totaling Rs.8,828 Crores in the current financial year.

Major orders received include Laser Range Finders, communication equipment, vessel communication and support system, test equipment for guns, spares, services etc. With these orders, BEL has now accumulated orders totaling Rs. 8194 Cr in the current financial year.


 
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Tejas aircraft pilot parachutes will be made in Kanpur.

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Major Acquisitions

To provide substantial boost to the Indian defence industry and reduce foreign spending significantly, Defence Acquisition Council (DAC) and Defence Procurement Board (DPB), during 2024 (upto November), accorded Acceptance of Necessity (AoN) for 40 Capital Acquisition proposals amounting to Rs 4,22,129.55 crore. Out of these, AoNs for Rs 3,97,584.34 Crore (i.e. 94.19 %) have been accorded to be procured from indigenous sources. These include:

  • DAC, in September 2024, accorded AoN for 10 capital acquisition proposals amounting to Rs 1,44,716 crore. These include procurement of Future Ready Combat Vehicles, Air Defence Fire Control Radars, Dornier-228 aircraft, Next Generation Fast Patrol & Offshore Patrol Vessels.
  • DAC, in February 2024, accorded approval for AoN for various capital acquisition proposals amounting to Rs 84,560 crore. The proposals include new generation anti-tank mines, Air Defence Tactical Control Radar, Heavy Weight Torpedoes, Medium Range Maritime Reconnaissance & Multi-Mission Maritime Aircraft, Flight Refueller Aircraft & Software Defined Radios.
  • In July 2024, DAC approved capital acquisition proposals including procurement of Advanced Land Navigation System for Armoured Fighting Vehicles of the Indian Army and 22 Interceptor Boats with latest state-of-art system for the Indian Coast Guard.
  • DAC, in December 2024, accorded AoN for five capital acquisition proposals amounting to over Rs. 21,772 crore. These include procurement of Water Jet Fast Attack Crafts, Fast Interceptor Craft, Electronic Warfare Suite, Next Generation Radar Warning Receiver, Advanced Light Helicopters for surveillance in coastal areas.
Major contracts

  • MoD inked a contract with the US Government for Tri-Service procurement of 31 MQ-9B Sky/Sea Guardian High Altitude Long Endurance Remotely Piloted Aircraft System (RPAS) in October 2024. Another contract was signed with General Atomics Global India Pvt Ltd for Performance Based Logistics for these RPAS through Depot Level Maintenance, Repair & Overhaul in India.
  • Hindustan Aeronautics Limited
    • A contract was signed in September 2024 for 240 AL-31FP Aero Engines for Su-30MKI aircraft at a cost of over Rs 26,000 crore.
    • A contract for procurement of 12 Su-30MKI aircraft along with associated equipment was inked in December 2024, at an approximate cost of Rs 13,500 crore.
    • Two contracts for a combined value of Rs 8,073.17 crore were signed in March 2024 for acquisition of 34 Advanced Light Helicopters (ALH) Dhruv Mk III along with Operational Role Equipment for Indian Army (25 ALHs) and Indian Coast Guard (09 ALHs).
    • A contract for RD-33 Aero Engines for MiG-29 aircraft was inked in March 2024 at a cost of Rs 5,249.72 crore. These aero engines will be produced by the Koraput Division of HAL
    • A contract was signed in March 2024 for Mid Life Upgrade of 25 Dornier Aircraft along with associated equipment for the Indian Navy at a cost of Rs 2,890 crore.
  • Bharat Electronics Limited
  • A contract was inked in February 2024 for procurement of 11 Shakti Electronic Warfare Systems along with associated equipment for Indian Navy under Buy (Indian-IDDM) category at a total cost of Rs 2,269.54 crore.

  • Advanced Weapon Equipment India Limited
  • A contract was signed in February 2024 for manufacturing & supply of a total of 463 indigenously manufactured 12.7 mm Stabilised Remote Control Guns for the Indian Navy & Indian Coast Guard at a total cost of Rs 1,752.13 crore, with Indigenous Content of more than 85%.
  • Mazagon Dock Shipbuilders Limited
  • A contract was inked in January 2024 for acquisition of 14 Fast Patrol Vessels (FPVs) for the Indian Coast Guard. The value of the contract is Rs 1,070.47 crore. These multi-role FPVs will be indigenously designed, developed and manufactured under Buy (Indian-IDDM) Category.

  • Armoured Vehicles Nigam Limited
  • In March 2024, a contract was signed for the procurement of 693 Armament Upgrades of Infantry Combat Vehicle BMP2 to BMP2M. This upgrade includes Night Enablement, Gunner Main Sight, Commander Panoramic Sight and Fire Control System (FCS) with Automatic Target Tracker under Buy (Indian-IDDM) category.

  • BrahMos Aerospace Private Limited
  • Two contracts were inked in March 2024 for procurement of BrahMos missiles at a cost of Rs 19,518.65 crore and Procurement of Ship borne BrahMos system at a cost of Rs 988.07 crore.

  • Larsen & Toubro Limited
  • Two contracts for procurement of Close-in Weapon System at a cost of Rs 7,668.82 crore, and High-Power Radar at a cost of Rs 5,700.13 crore were signed in March 2024.
  • A contract was inked with Larsen & Toubro Limited in December 2024 for procurement of 155 mm/52 calibre K9 VAJRA-T Self-Propelled Tracked Artillery Guns for the Indian Army under Buy (Indian) category at a total cost of Rs 7,628.70 crore.

  • Cochin Shipyard Limited
  • A contract was inked in November 2024 for Short Refit and Dry Docking of INS Vikramaditya at an overall cost of Rs 1,207.5 crore.

  • Chowgule & Company Private Limited
  • A contract was signed in October 2024 for procurement of six Air Cushion Vehicles for the Indian Coast Guard at a total cost of Rs 387.44 crore. These amphibious vessels, also called ‘Hovercrafts’, will be procured under the Buy {Indian) category.

10 Intellectual Property Rights were filed by IA during this year, out of which three have been granted. The remaining IPRs are under progress. Details are as under:
  • Portable Multi Target Detonation Device, developed by Major Rajprasad RS (Engineers) has already entered production and is being inducted in the Indian Army.
  • Hexacopter Tactical Remotely Piloted Aircraft is developed by Major Rengarajan (EME).
  • Full Body Armour Suit, developed by Lieutenant Colonel Anoop Mishra (Engineers) overcomes the limitations of existing Bullet Proof Jackets and provides troops with higher level of protection.
  • MoU with Department of Science and Technology (DST) was signed in March 2024 for the utilisation of their expertise and access to Tech Evaluation & Tech Consultancy from the domain experts of the DST for evaluation of proposals received from the defence ecosystem.
  • MoU with Centre for Development of Advance Computing (CDAC) was inked in May 2024. It will enable IA to utilise the expertise of CDAC to foster focused Research & Development and innovations towards finding solutions to address Indian Army challenges.
  • The following innovations developed by Service personnel have been inducted:
  • Transfer of Technology (ToT) of two innovations developed by service personnel namely ‘Xploder’- IED disposal and room intervention UGV and ‘Agniastra’- Multi Target Portable Detonation Device has been undertaken with two private industries. Both the innovations have extensive utilisation in conventional and sub conventional operations.
  • Another innovation by service personnel named ‘Vidyut Rakshak – Internet of Things Enabled Integrated Generator Monitoring Protection and Control System’, has already been inducted in Northern Command.
  • The ADB has mapped over 1,700 industries, contacted 200+ top academic institutions and 50 top R&D institutes/organisations in the country. The outreach initiatives include Forward Area Tours, facilitating Internal Development Trials, Capability Demonstration (No Cost No Commitment) by providing access to Field Firing Ranges and Equipment and establishment of Regional Technology Nodes.
 
DEPARTMENT OF DEFENCE PRODUCTION

  • In continuous pursuit of self-reliance and to minimise imports by DPSUs, Department of Defence Production (DDP) notified fifth PIL of 346 items in June 2024. These items would be indigenised in the coming years and procured from Indian Industry after the timelines indicated against each of them.
  • DDP has successfully indigenised more than 13,000 items during the period of four years since the launch of Srijan Portal. More than 37,000 items were uploaded by DPSUs and Service Headquarters on the portal for indigenisation by Industry. This includes 5,012 items of DPSUs under PILs being notified by DDP. More than 2,700 items of Srijan Portal including 86 PIL items have been indigenised this year.
  • Codification of Defence inventory & stores is steered and directed by Defence Equipment Codification Committee (DECC). Based on the annual Codification Roll-on-Plan formulated by DECC, codification of defence inventory & stores have been carried out. Over 18,000 lines of inventory & stores have been codified during 2024. Total of 94 Common Use equipment & systems (Tri-Service or Two-Service usage) consisting of 43,379 lines of items have been codified.
  • Department of Defence Production launched a key initiative named MISSION RAKSHA GYAN SHAKTI (MRGS) in April 2018 for creation and management of Intellectual Property Rights of DPSUs. As on 01.11.2024, DPSUs have filed a total of 6,109 IPR applications, of which 2,840 have been granted/registered.
  • The 15th edition of Aero India is scheduled to be held from February 10-14, 2025 at Air Force Station, Yelahanka in Bengaluru, Karnataka. Since its inception in 1996, 14 successful events have been held with participation from across the globe.
  • Indigenous Design & Development of Defence Systems has been undertaken through 'Make Procedure' given at Ch-III of Defence Acquisition Procedure (DAP) 2020. In 2024, 10 projects have been accorded 'Approval-in-Principle' bringing the total tally to 145 projects. Also, five projects have been accorded AoN this year, taking the number of AoN projects to 65.
Defence Exports

  • In FY 2023-24, defence exports reached a record high of Rs 21,083 crore registering a growth of 32.5% over the last financial year. Based on the value of Export Authorisation issued by DDP to private companies and actual export/contract done by DPSUs, the export value during the last six years is Rs 10,746 (2018-19), Rs 9,116 (2019-20), Rs 8,436 (2020-21), Rs 12,815 (2021-22), Rs. 15,920 (2022-23) and Rs 21,083 (2023-24).
  • Standard Operating Procedure (SOP) for Defence Exports was further simplified in May 2024 and made more business-friendly. Provision for export of munitions list items for demonstration and for export of non-lethal items munition list as sample for business development has also been made in the SOP for Export. For Ease of Doing Business, DGFT has authorised DDP to grant export authorisations for items covered under SCOMET sub-categories 6A007 and 6A008. In order to further promote ease of doing business, DDP has promulgated three Open General Export License (OGEL). OGEL is a one-time export license, which permits the industry to export items to the destinations as specified in the OGEL, without seeking export authorisation during the validity of the OGEL. OGEL has been expanded by increasing the number cf countries and items therein.
  • An online facility/EXIM portal for collation and dissemination of export leads received from all over the world has been established. The portal is a repository of Indian defence exporters and the export leads are transmitted instantly to the concerned exporters. A total of 153 leads have been disseminated through the portal since January 01, 2024.
  • To boost defence exports, webinars/seminars are being organised with friendly countries under the aegis of DDP through Industry Associations. Ten webinars/seminars have been organised since January 01, 2024.
  • To promote defence exports, overseas offices are being opened by DPSUs. An SOP has been issued to streamline the process for establishment of overseas offices.
iDEX

  • During the year, 155 winners of iDEX challenges were declared, 88 contracts were signed and nine prototypes were developed.
  • iDEX organised the DefConnect 2024 on in March 2024, during which Raksha Mantri carried out the following launches:
  1. ADITI (Acing Development of Innovative Technologies with iDEX) scheme to provide support to start-ups/MSMEs with grants of up to Rs 25 crore targeting development of cutting edge, critical and strategic technologies.
  2. First edition of ADITI (ADITI 1.0) with 17 challenges.
  3. 11th edition of Defence India Start-up Challenge (DISC) with 22 challenges.
  • iDEX-DIO organised DefConnect 4.0 in October 2024. Following events took place:
  • Raksha Mantri launched the following:
  1. ADITI 2.0 with 19 challenges.
  2. 12th edition of DISC with 41 challenges.
  • A technology showcase was organised by iDEX-DIO with a diverse range of technology start-ups.
  • During Indian Navy’s ‘Swavlamban 2024’ held in October 2024, Raksha Mantri launched the third edition of ADITI (ADITI 3.0) with one challenge and 13th edition of DISC with seven challenges.
  • DIO achieved a significant milestone by signing its 350th contract in June 2024 to design & develop a miniaturised satellite, capable of carrying multiple payloads up to 150 kgs for Indian Air Force.
  • The third edition of INDUS-X (India-US Defence Acceleration Ecosystem) Summit was held in California in September 2024. It featured in the Joint Factsheet/Statement of Prime Minister and US President released on September 21, 2024.
  • Government has established two Defence Industrial Corridors in the country - one in Uttar Pradesh with six nodes viz. Agra, Aligarh, Chitrakoot, Jhansi, Kanpur & Lucknow and another in Tamil Nadu with five nodes viz. Chennai, Coimbatore, Hosur, Salem and Tiruchirapalli. As on September 2024, in both the corridors, arrangements have been made through 249 MoUs, for proposed investment of Rs 50,083 crore. Actual investment of Rs 8,331 has already been made in these corridors.
  • A centralised online Defence Testing Portal has been commissioned as part of Digital DGQA Program for centralised, networked and optimal utilisation of Trial & Testing facilities of labs and firing ranges by industries available in the country. Defence Testing Portal has been made live for Defence Industry to access the portal as service user as well as service provider. Till date, a total of 86 Labs and 15 Proof Ranges of DGQA, DGAQA, DRDO & DPSUs have been on-boarded. 148 Service Providers and 212 Service Users have been registered at DTP with a total of 6,643 Lab tests & 416 Proof Tests which can be requisitioned on DTP.
  • As a test bed model, Hybrid QA 4.0 with remote QA was established by DGQA at BEL Machilipatnam. As per directions of MoD/ DDP, Industry 4.0/ QA 4.0 has also been implemented in respect of 100 products in 100 days. Further, all the Products/ processes at DPSUs are to be covered under Industry 4.0/ QA 4.0 towards implementation of Remote/Hybrid QA in 16xDPSUs in phased manner.
  • Hindustan Aeronautics Limited (HAL) attained the ‘Maharatna’ status on in October 2024, becoming the 14th Central Public Sector Enterprise in India to receive the recognition.
  • HAL has indigenously designed and developed the first 60 KW GTEG-60, the Auxiliary Power Unit for the Military Transport aircraft AN-32. The control unit of GTEG-60 is also designed and developed in house by HAL. It was handed over to IAF by HAL in July 2024.
  • Prime Minister inaugurated the Final Assembly Line Complex for the Airbus C295 Aircraft in Vadodara, Gujarat along with Spanish President.
  • Raksha Rajya Mantri flagged-off the indigenously developed and manufactured Astra Missiles for supply to Indian Air Force in January 2024 at BDL, Kanchanbagh Unit, Hyderabad.
  • Bharat Electronics Limited (BEL) was conferred with SIDM Champion Award for 2024 by Raksha Mantri under the category Import Substitution for the development of Thermal Imager Technology modules for T90 Tanks. BEL is the only DPSU to receive the SIDM Championship Award 2024.
  • Vice President Shri Jagdeep Dhankar presented the SCOPE Excellence Award in Special Institutional category (Digitalisation) to BEL.
  • A historical milestone was achieved as BEL was granted 150th patent, fostering Aatmanirbharta efforts and enhancing the culture of innovation in BEL.
  • MIDHANI developed Indian Advanced High Temperature Alloy for Advanced Ultra-Super Critical Thermal power plants to withstand inlet steam temperature of 700 degrees and pressure of 340 bars.
  • A Tripartite MoU was signed between BEML, BEL and MIDHANI for the Development of Advanced Fuelling and Control System for Engines. A significant step towards self-reliance.
  • Mazagon Dock Shipbuilders Limited (MDL) was conferred ‘Navratna’ status by the DPE in June 2024. MDL is the 21st PSU, first amongst the government owned shipyards and third among DPSUs having ‘Navratna’ status.
  • Midget Submarine Prototype ‘Arowana’ was launched in May 2024 at MDL in the presence of Defence Secretary.
  • GSL launched the following this year:
  • One Missile Frigate for Indian Navy.
  • One Pollution Control Vessel for Indian Coast Guard
  • Two fast Patrol Vessels for Indian Coast Guard.
  • HSL signed a contract with Indian Navy for construction of Five Fleet Support Ships (FSS). Defence Secretary presided over the steel-cutting ceremony of first FSS in April 2024, while the keel laying ceremony was undertaken in November 2024.
  • GRSE designed & built first Survey Vessel Large, 'INS Sandhayak' was commissioned in the presence of Raksha Mantri at the Naval Dockyard Visakhapatnam in February 2024.
  • India’s largest ‘Fully Electric 150 Passenger Catamaran Ferry’ built by GRSE for the Government of West Bengal completed river trials successfully and technical acceptance was given in March 2024. This zero-emission ferry, designed by GRSE, is poised to revolutionize passenger transport across River Hooghly as well as the Movement of vessels along National Waterway-I.
  • GRSE delivered Second Survey Vessel large 'INS Nirdeshak' to Indian Navy in October 2024.
  • GRSE launched seventh Anti-Submarine Warfare Shallow Water Craft ‘Abbay’ in October 2024.
  • Fusion Technology based Driver Night Sight has been developed for the first time in India by IOL, increasing the efficiency of the Armed Forces.
  • Indigenously developed 155x52 cal Towed Gun System was successfully test fired at PXE Balasore by AWEIL, to mark a new beginning in the field of Artillery guns.
  • Indigenisation of Bearing of T-90 Tank Article has been completed by AWEIL. This is an important milestone towards successful completion of indigenisation and a step towards Aatmanirbhar Bharat.
DEFENCE ACQUISITON

Defence Acquisition Procedure (DAP) 2020 has been driven by the tenets of Defence Reforms announced as part of the Aatmanirbhar Bharat Abhiyan by promoting indigenous design, development and manufacturing of defence equipment, platforms, systems and sub-systems. A number of initiatives have been taken in Defence procurement to give a thrust to Atmanirbharta in Defence while also simplifying the procedures. These include:

  • For promoting indigenous defence industry, following amendments were made to DAP-2020: -
  • Import of Defence Equipment from any Foreign Original Equipment Manufacturer has been made only as an exception with specific approvals from Defence Acquisition Council.
  • To reduce financial burden on the Indian Industry whilst maintaining financial safeguards, Integrity Pact Bank Guarantee (IPBG) has been dispensed with. Instead, Earnest Money Deposit (EMD) will be taken as a bid security which will be valid for the selected vendor up to signing of contract and returned to remaining vendors post declaration of selection.
  • Inclusion of provision for minimum 50% Indigenous Content (IC) in the form of indigenous material/ components/ software in the equipment being acquired with an aim at boosting indigenous production and reduce import dependency.
  • Streamlining and improving the procedures for procurement of technologies developed by Indian Startups and Micro, Small and Medium Enterprises (MSMEs) through various schemes like Innovations for Defence Excellence (iDEX) & Technology Development Fund (TDF). Procedure for procurement under TDF and iDEX has been simplified to reduce the procurement cycle, with corresponding resultant reduction in the costs, thus enabling the budding startup talent pool of the country to contribute towards the towards the twin mantras of self-sufficiency and indigenization. in iDEX cases, quantity vetting and scaling will be dispensed with for initial procurement, subject to the procurement value being commensurate with delegated cases.
  • Liberalising the financial parameters of vendor selection criteria for MSMEs and Startups to participate in the Capital procurement cases. For procurement cases where the estimated cost is upto Rs 300 crores, to encourage the Start Ups/ MSMEs and build Industrial ecosystem, the recognized Start Ups/ MSMEs in the relevant fields are considered for issue of RFP without any stipulation of Financial parameters and with General and Technical parameters to be decided on a case to case basis. The same waiver will also be applicable for cases where estimated cost is between Rs 300 and 500 crores, however, on a case to case basis where adequate justification exists, subject to approval by the Defence Procurement Board (DPB).
  • To achieve the goal of Aatmanirbharta, during 2024 (upto November), out of the total 132 defence capital acquisition contracts signed, 126 contracts (approx. 95.45%) have been signed with Indian vendors for procurement of defence equipment.
  • During 2024 (upto November), DAC & DPB accorded AoN for 40 Capital Acquisition proposals amounting to Rs 4,22,129.55 crore.