Uttar Pradesh: DIC signs 154 MoUs with military companies to boost defence production worth Rs 25,000 crores
December 6, 2025
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Home Bharat

Uttar Pradesh: DIC signs 154 MoUs with military companies to boost defence production worth Rs 25,000 crores

In a significant development, the Uttar Pradesh Defence Industrial Corridor (UPDIC) has signed more than 150 MoUs with numerous military companies and organisations including public and private ones to boost defence production and exports and additionally, provide 40,000 jobs opportunities for people in the state all of which are worth Rs 25,000 crores

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Jul 9, 2024, 09:00 pm IST
in Bharat, Defence, Uttar Pradesh
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The Uttar Pradesh government has signed more than 150 defence manufacturing agreements valued at Rs 25,000 crore (around 3 billion USD). This move aligns with India’s record-breaking annual defence production which reached Rs 1.27 trillion in the fiscal year 2023-24 marking 16.7 percent increase from the previous year.

The defence projects are strategically located within the UP Defence Industrial Corridor (UPDIC) spanning six nodes across Lucknow, Kanpur, Jhansi, Aligarh, Chitrakoot and Agra districts. These projects are expected to generate 40,000 new jobs significantly contributing to the state’s economic growth.

The Kanpur node of Uttar Pradesh Defence Industrial Corridor (UPDIC) is rapidly advancing to boost India’s self-reliance in defence manufacturing. With the highest investments among all nodes, Kanpur is set to manufacture a wide range of defence products, including weapons ammunition, artillery, military attire and space related equipment.

Over 218 hectares of land in the Narwal tehsil of Kanpur are being developed as part of the Defence Industrial Corridor. According to the UP Expressway Industrial Development Authority (UPEIDA) officials, 24 companies have expressed interest in investing with five already commencing operations Notably the Adani Group started its ammunition manufacturing factory in February, investing Rs 1500 crore. This projects also aims to produce small, medium and large calibre ammunition.

Modern Material and Sciences Private Limited has begun manufacturing advanced clothing for soldiers with an investment of Rs 38 crores. Netra Global Private Limited will produce artillery shells with an investment of Rs 360 crores and Anant Technologies will manufacture equipment related to Low Earth Orbit (LEO) and GEO satellites with an investment of Rs 35000 crore.

The state government has allocated over Rs 62 crore for infrastructure development in the Kanpur node. According to the UPEIDA officials more than 210 hectares of land have been allotted for the Kanpur Node. So far, the investments totalling more than Rs 1700 crores have been materialised resulting in immediate employment for 2500 youths. Approximately, Rs 33 crore worth of projects exceeding 16 crores.

Tender processes are also ongoing for projects valued at over thirteen crores. Expectations are high for creating over 18,000 jobs from Kanpur node alone. A senior UP government revealed that 154 MoUs have been signed with various companies with an additional 85 deals under evaluation. The UPIEDA is actively acquiring land for allotment to industrial groups having secured 1700 hectares.

Over 40 companies have been allocated land with an expected investment of nearly 8000 crores. Earlier on July 5, 2024, Union Defence Minister Rajnath Singh announced that India has achieved it highest ever growth in defence production value in the fiscal year 2023-24 with significant progress under the Make in India Initiative. The production value surged by the 16.8 percent from the previous fiscal year, reaching 1,26887 crores.

Rajnath Singh, in a post on X, emphasised that the goal of the Indian government is to establish India as a leading global defence manufacturing hub. He credited the Make in India program stating that it continues to surpass the milestones under the leadership of Prime Minister Narendra Modi. The Make in India programme is crossing new milestones year after year under the leadership of PM Modi.

The defence minister extended congratulations to various sectors contributing to this achievement including and Defence Public Sector Undertakings (DPSU) including other PSUs and the private industry. He assured the government’s commitment to creating a supportive regime for developing India as a leading private leading global defence manufacturing hub. Notable companies involved in the UPDIC include Adani Defence and Aerospace, BrahMos Aerospace, Anchor Research Labs, TATA technologies.

Bharat Dynamics Limited (BDL), Delta Combat System SpiceJet Technic Version, HAL Gliders India DRDO and Aeroalloy Technologies. India’s defence exports witnessed a remarkable 32 percent surge reaching 21,083 crores. UP is leveraging its vast MSME (Micro Small and Medium Enterprises) base to propel the Make in UP initiative aiming to move up the industrial values chain and contribute to the growing defence export basket.

A significant milestone has been achieved with the delivery of 35,000 Kalashnikov AK-203 assault rifles to the Indian Army. These rifles were assembled at the Korwa factory in Amethi district a joint venture between India and Russia, the project is expected to produce a total of AK-203 Assault Rifles over ten years.

Further another Indo-Russia joint venture plant is under development in Lucknow spanning 80 hectares dedicated to the manufacturing Brahmos Missile, a supersonic missile developed jointly by India’s DRDO and Russia’s NPOM represents significant advancement in India’s defence capabilities.

UP’s strategic focus on defence manufacturing combined with its robust industrial infrastructure and skilled workforce position’s the state as crucial player in India’s journey towards self-reliance in defence production and a major contributor to the global defence market.

Topics: Indian ArmyDRDOKanpurUPDICUPEIDA
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