Aero Freyr, is based out of Gujarat is facilitating the entry of private players in aviation and aerospace manufacturing in India by offering globally competitive aerospace components. Set up under an MoU with Gujarat State Aviation Infrastructure Company Limited, Aero Freyr has established an aircraft manufacturing unit with MRO and flight testing facility, at an investment of ₹150 Crores.
‘Vocal for local’ and ‘Atmanirbhar Bharat Mission,’ made India’s defence relationships with foreign countries multi-directional and diversified. India has been continuously inking many agreements with global defence players such as US, France and Israel to strengthen and empower the fleet of Indian Defence manufacturing.
The defence partnership has been undertaken by diverse defence partners of India in recent years in the form of lucrative investments and joint manufacturing operations. But still, accounting for about 70 per cent of the Indian arsenal, the Russian Arms fleet stands substantially in supplying the military hardware and spares, thus meeting the test of the strategic partnership with India.
Over the last five years, gaining technological advantages over the rival countries, there has been a ceaseless modernization of India’s armed forces, as evident in the reports that India is targeting to export military products worth Rs 35, 000 crore in the next five years.
For the modernisation and operational needs of armed forces, Defence Acquisition Council (DAC) boosting the ‘Make in India’ initiative has directed the Acceptance of Necessity (AoN) for capital acquisition proposals worth Rs. 7,965 crore in November 2021.
Although it is a joint venture in the defence sector, the India-Russia defence tie identifies the energy, technology, innovation and economy to be the focal point of development, thereby leading to the forward movement in numerous manufacturing projects, as seen recently in the form of Defence Technology Centre, Test Centre and BrahMos Manufacturing unit in Lucknow, whose foundation stone was laid on December 26.
Defence partnership: Crucial for R & D base
Military equipment being key to national security requires a well-coordinated and coherent R&D base rather than an isolated national strategy. The defence ties have the potential to establish a related indigenous R&D infrastructure for the future. Defence cooperation activities have also improved prospects in the fields of research and technology.
Therefore, the need for more and more modernization development programmes under Prime Minister Narendra Modi’s Atmanirbhar Vision becomes crucial making India one of the most effective places to set up the business related to defence. Through the joint defence projects, Russia has been ensuring that the technical-military cooperation with dedicated know-how for joint research is making Russia a critical supplier to India.
BrahMos Manufacturing unit in Lucknow, Comprising of Deep-Tech Innovation & Startup Incubation Centre, Design & Simulation Centre, Testing & Evaluation Centre, Centre for Industry 4.0 and Digital Manufacturing, Skill Development Centre, Business Development Centre as subcentres which are going to be milestones in Indgineous Defence Research and Development.
Not only as of the manufacturing unit, the SMEs and MSMEs by starting their venture in defence manufacturing can also emerge as leaders in supporting services such as technical training centres.
Opening doors for the Private sector
The private sector which is eager to manufacture for the defence has been under tremendous growth scope by pumping the substantial investment for the procurement of the defence manufacturing. Co-operation with Russia has made an inevitable contribution to the development of Indian defence potential. It has given India access to sophisticated weapons and advanced technologies, at this time when ‘Make In India’ and empowerment of MSMEs are at the apex.
Driven by the search for low-cost manufacturing options, Missile Technology, Remote Weapon Systems and Advanced Armor Solutions and other high-end development needs creates ample opportunities for SMEs and MSMEs to undertake manufacturing projects for defence. The Defence Technology centre and Brahmos manufacturing unit in Lucknow is expected to accelerate the growth of the defence and aerospace manufacturing clusters in the Uttar Pradesh Defence Industrial Corridor (UP DIC).
“The two units will play a vital role in bringing the MSMEs of Uttar Pradesh together and bring the state at the forefront in the field of defence and aerospace manufacturing as well as bolstering national security, defence production as well as the economy of Uttar Pradesh,” remarked Rajnath Singh, Defence Minister, while laying the foundation stone of BrahMos Manufacturing Unit which is expected to commence production of 80-100 BRAHMOS-NG missiles per year.
From the year 2016 to 2020, India’s defence manufacturing sector witnessed a steady CAGR of 3.9%. Defence cooperation, being one of the most important features of the Indo-Russian bilateral ties is continuously inculcating a high sense of mutual trust and broad compatibility of interest in defence manufacturing. Witnessing evolution in context to modern market reforms and globalization, Russia, at least for forecast future of defence sector will remain India’s major defence partner.
