Introduction
Concept of “Atmanirbhar Bharat” (“Self-Reliant India”) has been a clarion call for fostering economic resilience and strategic autonomy. Defence and Aerospace are prime sectors amongst numerous other sectors targeted by this initiative. Indigenization of components used in defence applications and production of complete platforms is crucial not only for reducing dependence on imports but also for ensuring strategic autonomy, strengthening National Security, fostering innovation and bolstering the domestic manufacturing ecosystem. The ongoing Russia Ukraine war has once again highlighted the necessity to be self-reliant in the eventuality of a War with any adversary. Reliance on imported warlike material during a conflict leaves any nation vulnerable to exploitation both financially and strategically.
Launched by the Government of India in 2020, the Atmanirbhar Bharat Abhiyan emphasizes self-reliance across various industries. In the defence sector, this vision is driven by India’s urgent need to reduce reliance on imported military equipment as well as give impetus to import substitution. Historically, India has been one of the largest arms importers in the world, sourcing advanced technology from countries like Russia, the United States, Israel and France. This dependency creates vulnerabilities, including supply chain disruptions during geopolitical tensions, delayed procurement timelines and inflated costs.
Indigenization, the process of developing and manufacturing components and systems domestically, lies at the heart of achieving self-reliance in defence. It involves a combination of research and development (R&D), technology transfer, skill development and policy reforms to enable domestic industries to design, produce and sustain critical defence systems.
Why Indigenization Matters
National Security: Indigenization ensures that critical defence systems are not reliant on foreign suppliers, reducing vulnerabilities during conflicts or embargoes. A self-reliant defence sector is better equipped to adapt to the unique strategic challenges of India’s security environment.
Economic Growth: The development and manufacturing of defence components locally stimulate the economy by creating jobs, fostering innovation and enabling technology transfer. This not aligns with India’s aspiration of import substitution but also contributes towards achieving the target of becoming a USD 5 trillion economy.
Cost Efficiency: Domestic production reduces the exorbitant costs associated with imports, including transportation, taxes and middlemen’s fees. Over time, economies of scale can make indigenously developed components more affordable.
Technological Advancements: Indigenization drives R&D, enabling the domestic industry to innovate and develop cutting-edge technologies. Such cutting edge technologies and innovations invariably have dual use applications helping the industry in sectors such as automobiles, power, electronics and healthcare to list a few. Such synergetic developments add immensely to India’s National Power.
Strategic Autonomy: A robust indigenous defence manufacturing base enhances India’s strategic autonomy, allowing it to take independent decisions during international crises without being constrained by external dependencies.
Progress in Indigenization
India has made significant strides in indigenization under the Atmanirbhar Bharat initiative. Key developments include:
Defence Production Policy 2020: This policy sets a target of achieving a turnover of Rs 1,75,000 Crores, including Rs 35,000 Crore in exports, by 2025. It emphasizes the indigenous design, development and manufacturing of defence equipment.
Positive Indigenization Lists: The Ministry of Defence has issued multiple positive indigenization lists, banning the import of certain defence items and mandating their local production. These lists include equipment such as artillery guns, missile systems and drones.
Make in India in Defence: Initiatives like the “Make in India” programmes have attracted foreign direct investment (FDI) and encouraged partnerships between domestic and international defence firms. The government has increased the FDI limit in defence manufacturing to 74% through the automatic route and 100% through the government route.
Defence Corridors: The establishment of defence corridors in various parts of India aim to create hubs for defence manufacturing. These corridors provide incentives for industries to set up manufacturing units and engage in R&D.
Public-Private Partnerships (PPP): Collaborations between public sector undertakings (PSUs) like Hindustan Aeronautics Limited (HAL), Bharat Electronics Limited (BEL) and private players have accelerated the indigenization process.
Key Success Stories in Indigenization
Light Combat Aircraft (LCA) Tejas: The LCA Tejas, developed by HAL, is a testament to India’s indigenization efforts. With over 50% indigenous components, it represents a major milestone in the production of fighter aircraft.
INS Vikrant: India’s first indigenous aircraft carrier, INS Vikrant, showcases the capability to design and manufacture complex naval platforms domestically.
Pinaka Multi-Barrel Rocket Launcher System: Developed by the Defence Research and Development Organisation (DRDO), the Pinaka system is a fully indigenized solution for artillery needs.
BrahMos Missile: The BrahMos supersonic cruise missile, developed in collaboration with Russia, has a significant percentage of indigenous components, demonstrating successful technology transfer and domestic integration.
Arjun Main Battle Tank: The Arjun tank is another example of India’s ability to design and manufacture advanced military platforms indigenously.
Challenges to Indigenization
Despite its progress, India faces several challenges in achieving complete self-reliance in defence:
Technological Gaps: Many critical technologies, such as advanced avionics, jet engines and semiconductors, remain out of reach for domestic manufacturers.
Lack of R&D Investment: India’s expenditure on defence R&D is relatively low compared to global standards. This limits innovation and the development of indigenous technologies.
Dependence on Foreign Collaborations: While joint ventures and technology transfers have enabled progress, they also perpetuate dependence on foreign suppliers for key components.
Complex Procurement Processes: Bureaucratic red tape and slow decision-making hinder the timely execution of indigenization projects.
Skill Deficits: The defence sector requires a highly skilled workforce capable of handling advanced technologies. India’s skill development initiatives need to align with these requirements.
Fragmented Industry Base: India’s defence manufacturing ecosystem is fragmented, with limited coordination between large PSUs, MSMEs and private players.
Role of Indigenization in Defence Applications
Aerospace: Indigenization in aerospace involves the development of fighter jets, transport aircraft, helicopters and UAVs. Efforts like the Advanced Medium Combat Aircraft (AMCA) program and indigenous UAV development exemplify progress in this domain.
Naval Systems: The design and manufacturing of warships, submarines and naval systems like sonar and radars are critical for maritime security. Indigenous programs like the Scorpène-class submarines and the P-15B destroyers reflect India’s growing capabilities.
Land Systems: Indigenization of tanks, artillery and armoured vehicles is essential for ground operations. The Arjun tank and Dhanush artillery gun underscore domestic achievements in this field.
Electronic Warfare (EW): EW systems are crucial for modern warfare. Indigenization in this domain involves the development of radar systems, communication jammers and cyber defence technologies.
Missiles and Munitions: The development of indigenous missile systems, such as Akash, Nirbhay and Agni, highlights India’s capabilities in producing advanced weaponry.
AI and Autonomous Systems: Artificial intelligence and autonomous technologies are the future of warfare. India’s focus on developing AI-based systems for surveillance, reconnaissance and combat applications is a key component of indigenization.
Roadmap for Enhanced Indigenization
Strengthening R&D: Increasing investment in defence R&D and fostering collaboration between academia, industry and research institutions is crucial. Establishing innovation hubs and providing grants for start-ups in defence technology can accelerate progress.
Skill Development: Upskilling the workforce through specialized training programs in advanced manufacturing and engineering will bridge skill gaps.
Encouraging MSMEs: MSMEs play a vital role in the defence supply chain. Providing financial incentives, technical support and market access can boost their participation.
Policy Reforms: Simplifying procurement processes and ensuring timely approvals will streamline the indigenization process.
Technology Acquisition: Strategic technology acquisitions through offsets and joint ventures can fill critical gaps while enabling domestic industries to assimilate and innovate.
Export Promotion: Promoting the export of indigenously developed defence systems can enhance competitiveness and generate revenue for further investments.
Conclusion
Atmanirbhar Bharat is not just a vision but a necessity for India’s Strategic and economic aspirations. The indigenization of components used in defence applications is a cornerstone of this initiative, promising enhanced national security, technological self-sufficiency and economic growth. While challenges persist, a concerted effort involving policy support, industry collaboration and innovation can transform India into a global leader in defence manufacturing. The journey towards self-reliance is arduous but essential for a Nation aiming to assert its position as a major global power.
Colonel Prashant Thotapalli (Retd) was commissioned in Dec 2002 into the Corps of Electronics and Mechanical Engineers. The officer is an M Tech in Electronics and Telecommunications engineering and has served in almost all operationally challenging sectors of the country. The officer has been an Instructor both abroad and in India and has rich technical experience in niche domains such as Embedded systems, FPGAs, Drone technology, hardware based cryptography, AR/VR and stabilisation servo systems engineering.
