The Government of India, on May 19, 2023, said that the value of defence production in the financial year (FY) 2022-23 has crossed the figure of Rs 1 lakh crore for the first time ever.
According to a statement from the Ministry of Defence (MoD), the value currently stands at Rs 1,06,800 crore, and it will go further up once the data is received from the remaining private defence industries.
The current value of defence production in FY 2022-23 saw an increase of more than 12 per cent over FY 2021-22, when the figure was Rs 95,000 crore.
According to the statement, the Government is continuously working with defence industries and their associations to remove the challenges faced by them and to promote defence production in the country.
A number of policy reforms have been taken to achieve the objective of ease of doing business, including the integration of Micro, Small, and Medium enterprises (MSMEs) and startups into the supply chain.
Due to these policies, the industries, including MSMEs and startups, are forthcoming in defence design, development and manufacturing, and there has been almost a 200 per cent increase in the number of defence licences issued to the industries in the last 7-8 years by the government, the ministry said in the statement.
These measures have given a boost to the defence industrial manufacturing ecosystem in the country and generated tremendous employment opportunities.