New Delhi: In a landmark policy reform, India’s Ministry of Defence (MoD) has opened the development and manufacturing of missiles and ammunition to the private sector. This historic decision overturns a decades-old government monopoly on a critical defense segment, marking a major acceleration of the ‘Atmanirbhar Bharat’ (Self-Reliant India) initiative to bolster the nation’s defense capabilities.
The core objective of this move is to ensure an uninterrupted and robust supply of essential firepower for the armed forces, particularly during prolonged conflicts. This strategic shift is influenced by lessons from recent military engagements, such as ‘Operation Sindoor,’ which highlighted the escalating importance of long-range conventional missiles and stand-off weapons in modern warfare.
Policy Changes and Their Implications
The MoD has amended the Revenue Procurement Manual (RPM) to simplify the production process for private firms. Crucially, private entities establishing ammunition manufacturing units will no longer be required to obtain a No-Objection Certificate (NOC) from the state-owned Munitions India Limited (MIL).
This liberalization allows private companies to immediately begin producing a wide array of ordnance, including:
- Artillery Shells (such as 105 mm, 130 mm, and 150 mm)
- Pinaka Missiles
- 1000-pound Bombs
- Mortar Bombs and Hand Grenades
- Medium and Small Caliber Ammunition
Furthermore, the Defence Ministry has indicated to the Defence Research and Development Organisation (DRDO) its intent to involve private players in the spheres of missile development and integration—a domain previously restricted to state-run entities like Bharat Dynamics Limited (BDL) and Bharat Electronics Limited (BEL).
Self-Reliance and the Global Context
This policy overhaul signifies a fundamental transformation in India’s defense manufacturing strategy. Amid global supply chain strains, exacerbated by conflicts in Ukraine and the Middle East, promoting domestic production will secure a more resilient supply chain for national security.
The participation of the private sector is expected not only to increase manufacturing capacity but also to drive greater innovation and technological advancement in the defense sector. This decisive step positions India to evolve from a major defense importer to a significant global defense producer, fulfilling the vision of a truly self-reliant nation.
In essence, this new policy is set to usher in a new era for India’s defense industry, where private enterprise will play a pivotal role in strengthening the nation’s military preparedness and achieving the mission of ‘Atmanirbhar Bharat.’
