FICCI State Level Defence MSMEs Conclave highlighted the crucial role of Micro, Small, and Medium Enterprises (MSMEs) in enhancing indigenisation and fostering self-reliance in defence manufacturing. The Conclave, themed “Atmanirbhar Gujarat: Upgrading the MSMEs in Defence,” discussed strategies aligned with the government’s vision to support the domestic defence industry, with a specific focus on the invaluable contribution of MSMEs.
During his Keynote Address, Amit Satija, IAS, Director DIP, Department of Defence Production, Ministry of Defence, underscored the significant role of MSMEs in India’s GDP, manufacturing output, exports, and job creation. Satija highlighted the government’s commitment to promoting MSME growth, particularly in the defence sector. He noted achievements such as reaching a defence manufacturing output of INR 1 lakh crore and record-high exports of INR 16,000 crore.
The government has implemented various reforms, including liberalising the FDI policy, launching the iDEX scheme and SRIJAN portal, and establishing defence corridors, to foster self-reliance and the Make in India initiative in defence manufacturing. In his opening remarks, Rajiv Gandhi, Chairman of the FICCI Gujarat State Council, emphasized the vital role of Micro, Small, and Medium Enterprises (MSMEs) in developing high-quality, precision products for the defense sector.
He highlighted the importance of guidance and support from large-scale system integrators, including Public Sector Undertakings (PSUs), the private sector, and foreign Original Equipment Manufacturers (OEMs), as a foundational step in leveraging MSME support. Gandhi also stressed the need to establish defense MSME clusters to attract significant industry investments, aligning with the government’s Make in India mission.
FICCI aims to collaborate with over 16,000 MSMEs operating in the defense sector to help the country progress significantly towards indigenization. This collaboration includes sourcing components from these MSMEs and enhancing their export capabilities. Sanjiv Mulgaonkar, Vice President and Head of Guns and Armored Systems at L&T Defence, discussed the role of MSMEs in the defense supply chain, highlighting the pride taken in the indigenization of defense manufacturing.
Mulgaonkar emphasized the importance of MSMEs in supplying components and the need for more vendors to enhance their manufacturing capabilities. Hiranmay Mahanta, CEO of iHub Gujarat, outlined iHub’s role in developing an innovation and entrepreneurial ecosystem in Gujarat, creating pathways from “Mind to Market.” He mentioned that iHub supports startups by addressing the three major challenges they face, namely, funding, mentorship, and market access.
Mahanta explained that iHub links students, academia, and industry to support startups from proof of concept to investment opportunities. During her address, Preiti Patel, Chairperson of FICCI Gujarat State Council’s Task Force on Defence, expressed gratitude for the prime minister’s initiative to open up defence manufacturing to the private sector, considering it as the initial stride towards achieving self-sufficiency in defence.
She highlighted the significance of facilitating policies, streamlining procedures, and supporting MSMEs. The State Level Defence MSMEs Conclave convened various stakeholders, including members from the defence ministry, defence industry, MSMEs, and startups. The event featured insightful discussions on opportunities for defence MSMEs, recent policy reforms, positive indigenisation lists, and incentives available in technology development fund (TDF) projects and startups.
Distinguished speakers at the FICCI event included PP Maheshkar, OSD Indigenisation, Department of Defence Production; Unni Raj PS, Joint Director, Export Promotion Cell, Department of Defence Production; Nilesh M Desai, Director, Space Applications Centre (SAC)-ISRO, Ahmedabad; Cdr Gautam Nanda (Retd), Associate Partner, KPMG; Sanjay Gupta, Chief General Manager, SIDBI; Vipin Yadav, Deputy Program Director, iDEX, Department of Defence Production; Rahul Bhokare, Director and Co-Founder; and Col Ashish Pradhan, Secy Make PMU, Army Design Bureau, among others.
