Prime Minister Narendra Modi inaugurated the 14th edition of its flagship aero show in Bengaluru, an event seen to be a great business opportunity when New Delhi is looking to push indigenous products, modernise Soviet-era equipment and as domestic carriers add fleet.
The theme of Aero India 2023 is “The Runway to a Billion Opportunities”.
About Aero India 2023
Aero India 2023, Asia’s largest aero show, will run from February 13 to February 17, displaying locally-produced equipment and technologies to attract partnerships with foreign companies. The event will include aerial displays by aircraft and helicopters, as well as a large exhibition and trade fair of aerospace and defence companies.
About 809 companies from 98 countries are likely to take part in the event.
India’s Defence Indigenisation
- India, which was for decades an importer in the defence sector, is now exporting defence equipment to 75 countries. Defence equipment exports in the last five years have increased six-fold, Modi said in his inaugural address.
- India has crossed $1.5 billion in defence equipment exports in 2021-2022. “Our target is by 2024-2025, the defence exports amount will rise to up to $5 billion,” Modi said.
- India, under its “Make in India” policy, has been keen on manufacturers such as Lockheed Martin Corp, Boeing, and Airbus to make more than parts in the country and share technology.
- The share of domestic procurement in total procurement has been on an uptrend. In 2018-19, domestic procurement stood at 54% of the total procurement, this figure jumped to 59% in 2019-20 and to 64% in 2020-21. This year it has been increased to 68% for domestic procurement, and of this 25% budget has been earmarked for procurement from private industry.
- With the focus of the Government on indigenisation and procurement of defence products from domestic resources, the expenditure on defence procurement from foreign sources has reduced from 46% to 36% in the last four years i.e. from 2018-19 to 2021-22.
- Till October 2022, a total of 595 Industrial Licences have been issued to 366 companies operating in Defence Sector.
- The government has also established two Defence Industrial Corridors, one each in Uttar Pradesh and Tamil Nadu to attract investments in the Aerospace & Defence sector and established a comprehensive defence manufacturing ecosystem in the country.
