FUNDING CRUNCH, LONG PROCUREMENT DELAYS
According to the Stockholm International Peace Research Institute’s arms transfer report, India was the world’s largest arms importer from 2018 to 2022, accounting for 11 per cent of global arms imports.
But when it came to the ranking of top arms exporting nations last year, India was ranked 41th.
India’s Defence Ministry said it will now spend three-quarters of its procurement budget to buy from local manufacturers.
However, analysts noted that the country’s private defence players may have to cross a few hurdles, including a funding crunch and long procurement delays.
Even for companies that already have government contracts, generating revenue can take a while, they added.
“I have sat on the defence acquisition council myself. Our procedures, our defence acquisition procedures are very painful, very tedious,” said Lt Gen (Ret) Dua.
“But that’s another way of saying it. It’s also a backhanded compliment, because they are also very thorough.”
For now, the Indian government has launched start-up incubators to help with the funding.
It has also set up a fast-track procedure to cut down acquisition times from a year to just two to three months.