Schedule a Call Back
India's defence sector holds prospect of $138 billion from FY24-32
Industry News- May 13,24
This growth is owing to escalating defence budgets, modernisation initiatives, and the government's emphasis on indigenous manufacturing through programs like ‘Make in India’.
As per ANI's report, India's anticipated defence capital expenditure is projected to reach nearly 37% of the total budget by FY30. This represents a substantial increase from the 29% projected for FY25, translating to a total capital outlay of Rs 15.5 trillion over the period spanning FY24-30, marking significant growth compared to previous periods.
The report underscores promising prospects within India's defence sector across various segments. Particularly, the defence Aerospace sector emerges as a lucrative opportunity, estimated at $50 billion. This encompasses investments in aircraft, helicopters, unmanned aerial vehicles (UAVs), avionics, and associated systems. Additionally, Defence Shipbuilding emerges as another focal point, with a potential worth of $38 billion, aimed at bolstering maritime security through naval vessels, submarines, patrol boats, and support ships.
The report also highlights Bharat Electronics, which boasts a potential upside of 32%, driven by increased order inflows, confidence in margin delivery, and enhanced returns ratios. Notably, over the past year, HAL shares have surged by 156 % to Rs 3877, while Bharat Electronics shares have seen a 109% rise to Rs 227.
The Indian government's proactive stance towards the defence industry, marked by policy reforms and incentives, creates a conducive environment for companies operating within this sector. Furthermore, there is a growing emphasis on expanding the global footprint of India's defence industry through exports, technology transfer, and collaborative ventures. Companies specialising in defence manufacturing and technology development stand to benefit from export opportunities, enabling them to diversify revenue streams and extend their market reach, as emphasised in the report.
(Source: India Blooms)
Related Stories
Automation & Robotics
Danfoss, PowerNEU Launch JV to Drive Decarbonisation in Metals Sector
New Danfoss PowerNEU JV in Jamshedpur strengthens local execution and decarbonisation solutions for India’s metals industry.
Read morePolicy Regulation
ICC, Maharashtra Government Sign MoU to Deepen Industry–State Engagement
Indian Chamber of Commerce (ICC) and the Maharashtra Government ink an MoU to boost investment facilitation, policy dialogue and ease of doing business.
Read morePlastic, Packaging & Printing
Germany's Barnes Molding Solutions Opens $30 Mn Greenfield Facility in Pune
New Chakan plant strengthens Barnes Molding Solutions’ Asia strategy with local manufacturing and service capabilities.
Read moreRelated Products
Troop Comforts revolutionises military gear with indigenous innovations
Aerospace & Defence
Troop Comforts Ltd (TCL), a state-owned defence corporation, has recently received a request for proposal (RFP) from the Northern Command of the Indian Army for its indigenously developed military gea Read more
latest News
Subscribe to iNoW
For Industry News on WhatsApp, Give a Miss Call on: +91 84228 74016
