With the Union Budget for 2023 set to be announced soon, there is a lot of anticipation about whether it will provide the necessary impetus to speed up the momentum for Make in India in defence.
The Make in India initiative, launched by the Indian government in 2014, aims to boost the country's manufacturing sector and make it a global hub for manufacturing and design. One of the key focus areas of this initiative is the defence sector, which has the potential to drive economic growth and create jobs.
BUDGET 2023: FULL COVERAGE
One of the main challenges facing the defence sector in India is the lack of a robust domestic defence industry. Despite being one of the largest importers of defence equipment in the world, India's defence production capabilities are limited. This has led to a dependence on imports, which not only puts a strain on the country's finances but also undermines its strategic interests.
The government has been taking several steps to address this issue, including the issuance of the Defence Procurement Procedure (DPP) 2016, which aims to promote indigenization and encourage the participation of the private sector in defence production. The government has also set up a number of defence production corridors, such as the Uttar Pradesh Defence Industrial Corridor and the Tamil Nadu Defence Industrial Corridor, to promote the development of a strong domestic defence industry.
ALSO READ: Budget 2023: What do common people EXPECT from central government this fiscal year?
However, there is still a long way to go before India can truly become self-reliant in defence production. The Union Budget for 2023 will be a crucial opportunity for the government to provide the necessary support to the defence sector, and to give a boost to Make in India in defence.
There are several steps that the government could take to achieve this. For instance, it could increase the allocation for defence research and development, which is essential for developing new technologies and capabilities. It could also provide tax incentives for companies that invest in defence production, and make it easier for them to access funding. Additionally, the government could encourage the participation of the private sector in defence production by simplifying the procurement process and providing a level playing field for domestic and foreign companies.
ALSO READ: India's defence allocation in focus as Budget 2023 aim to modernise armed forces amid LAC tensions with China
Latest Business News
