The Indian manufacturing industry has been a significant contributor to India’s GDP and has displayed impressive growth in the last ten years. However, the sector’s 16 percent share in GDP is among the lowest compared to other the rapidly growing developing economies and recently released National Manufacturing Policy has articulated an aspirational objective to increase this share to 25 percent over next ten years.
A vibrant domestic defence manufacturing sector can be a vital peg to help realize this vision. The Defence Production Policy 2011 has reiterated the strategic and economic importance of self–reliance in the area of defence.
This joint CII-BCG report looks at best practices across defence manufacturing countries to understand key success factors, different ecosystem management and regulatory approaches used and examines these for their relevance in the Indian context. The study also suggests a way ahead towards achieving self reliance and indigenization in Defence Production.