How can Indian defence exports be promoted?

Discussion in 'Economy & Infrastructure' started by mayankkrishna, Apr 21, 2013.

  1. mayankkrishna

    mayankkrishna Regular Member

    Joined:
    Dec 25, 2010
    Messages:
    243
    Likes Received:
    326
    The defence industry is the pinnacle of the precision, technical expertise and quality standards. Defence industry promotes research which are immensely benefitted by civilian industry. Defence industry is perhaps the only or one of few which showcased positive growth throughout any financial crisis. And currently due to rising national military expenditures by emerging economies and replacement and up gradation demand from superpower countries, the defence and aerospace industry is set to witness positive growth trends in years to come with guaranteed immunity from any financial criss.

    India currently ranks 38th in terms of exports of defence products whereas China ranks 5th largest exporter. India is heavily import dependent to run its defence establishment whereas Chinese indegious first policy has resulted in rapidly gaining technical expertise and with government support it expanded its defence production industry at a very fast pace.

    India currently has over 5000 MSMEs involved in various kinds of defence products and components. Some even have been able to establish themselves in the niche products market, and are exporting overseas as a leader to many countries.

    Defence products can be very important for enhancing exports which are currently undergoing crisis. With the trade deficit of over 191 billion USD. I would like to invite expert suggestions, how can India increase defence exports and how can defence products be flagship products for 'Made in India' brand shine across the world.

    Suggestions please!
     
  2.  
  3. Bhadra

    Bhadra Defence Professionals Defence Professionals Senior Member

    Joined:
    Jul 11, 2011
    Messages:
    6,687
    Likes Received:
    2,357
    You mean to say export of INSAS ?
    Export of Arjun ?
    Export of LCA ?

    What else ??

    Oh! yes, of HAL Dhruv where there are no profits as most of the components are imported..
     
  4. mayankkrishna

    mayankkrishna Regular Member

    Joined:
    Dec 25, 2010
    Messages:
    243
    Likes Received:
    326
    INSAS, ARJUN, ALH DHRUV might also be sourcing components from indeginous manufacturers. Indian companies are also manufacturing products which are exported worldwide not necessarily complete weapon systems but also accessories, protective armours, logistical equipments etc. I can get there names.
     
  5. Bhadra

    Bhadra Defence Professionals Defence Professionals Senior Member

    Joined:
    Jul 11, 2011
    Messages:
    6,687
    Likes Received:
    2,357
    Why should any one import components from India except a few compamies who establish their bases in India to expolit cheap labour. Import of components can only happen if the third world countries start making their own weapon sytems which is not the case at all. They want finished products which you do not have.. !!

    Even if you want to export foot mats or jute products, that is also not easy..

    Who is imorting Indian Cars ?? USA or Germany ??

    May be we can export Bhoot mirchi !!

    The nation of exporters where the national wealth used to be largely based on exports has been rendered a nation of import beggers by the modern Research fellows... Called D***s...
     
  6. mayankkrishna

    mayankkrishna Regular Member

    Joined:
    Dec 25, 2010
    Messages:
    243
    Likes Received:
    326
    India has 2nd largest skilled pool of engineers and scientists. Whether they are of shopkeeper standard is not an issue. The fact is that 8 out of topt 10 global automobile OEM manufacturers are sourcing key components from India. Hey have established JVs, their R&D centers in India. Globally very few companies might be producing any complete systems at one location. This is a reality in major defence equipments also. Multiple location project based production model is providing cost efficiency and production efficiencies. Unless the Defence systems are of secret priority, the development of such equipments are well sourced and manufactured locally by superpowers.


    Well researched ! But exports are also required where self business driven entrepreneurship caters to large chunk of national income.
     
    Patriot likes this.
  7. JBH22

    JBH22 Senior Member Senior Member

    Joined:
    Jul 29, 2010
    Messages:
    3,620
    Likes Received:
    2,390
    First thing design a really indigenous product then make sure your armed forces use it, automatically this will create export market.

    For LCA no matter how good it appears but if IAF doesn't want it then who will buy this..
     
    LETHALFORCE, arnab maity and Patriot like this.
  8. mayankkrishna

    mayankkrishna Regular Member

    Joined:
    Dec 25, 2010
    Messages:
    243
    Likes Received:
    326
    A request ! Please do not include LCA, ARJUN or INSAS.

    The defence and aerospace industry as a whole includes following sectors:

    1. Aerospace : a) military aviation
    b) commercial aviation
    A single aircraft comprises thousands and thousand of components, from seating chairs, cabinets, cabins to electronics, navigations, engines ( itself very complex), gears, coatings and lists goes on....

    2. Land systems: there are very vast array of systems and equipments used in from complete product to critical components. Here also as a whole it involves thousands and thousand parts and components to set a land warfare machinery on field.

    3. Naval systems: not required to mention how big ad complex a naval platform is. Destroyers, frigates and submarines.

    4. Missile systems
    5. Communication and satellite systems.

    As in India, for any country MSMEs constitutes significant proportion of trade in exports. For 5000 Indian SMEs it is Important to upgrade themselves. HOW??
    Indian industry is known for its quality, skilled labour at competitive prices. How can Indian defence manufacturers expand export markets?
     
  9. drkrn

    drkrn Senior Member Senior Member

    Joined:
    Apr 15, 2010
    Messages:
    2,455
    Likes Received:
    898
    Location:
    visakhapatnam
    insas is already exported to some arab nation.good potential is there for dhruv as its low cost.but there is poor advertisement from our side.
    more over as all of these defense companies are psu's officers give a shit whether they get or loose contract as no incentives nor punishments

    better outsource foreign exports
     
  10. Bhadra

    Bhadra Defence Professionals Defence Professionals Senior Member

    Joined:
    Jul 11, 2011
    Messages:
    6,687
    Likes Received:
    2,357
    How Can Indian Defense Exports be Promoted ?

    Simply by manfacturing quality defense products that stand in compitition internationally and lower in prices...

    For that the Indian Industry must first fulfill huge requirements of Defense of India ....

    DRDO can not and should not be the sole reserch industry / agency in India. R&D needs privitising and decentralising. The DRDO call to give them 7 percent of Defense Budget is rediculious to say the least as DRDO is in business of making money rather than research. Their income should be linked to sales of their weapons / equipment by PSUs to the Defense Forces.

    Defense should be treated as a business activity rather than poodle faking by so many organisations eating their meals in the name of Defense.

    PSUs must be privitised at least to improve their efficiency.
     
  11. p2prada

    p2prada Stars and Ambassadors Stars and Ambassadors

    Joined:
    May 25, 2009
    Messages:
    10,233
    Likes Received:
    3,896
    Location:
    Holy Hell
    We currently do not have many finished products which can be exported.

    Exports will happen only when the product has finished its development stage or if we are able to get some country to invest in our own project.

    Our JVs can be exported. For eg: Brahmos 1, Brahmos 3, Barak-II, IL-214 and FGFA will be major export products which will help us capture a significant share of the world's arms market. Brahmos 1 will be exported once both Indian and Russian contracts are completed. The rest are in development.

    Even with helicopters, ALH comes with too many imported equipment for other countries to buy in significant numbers. With more indigenous components ALH, LUH etc will find buyers. LCH may also find buyers in a decade or so. Most countries want a single point of contact when they buy equipment.
     
  12. AVERAGE INDIAN

    AVERAGE INDIAN EXORCIST Senior Member

    Joined:
    Sep 22, 2012
    Messages:
    2,762
    Likes Received:
    2,718
    Location:
    Detroit MI
    the first priority is boosting our domestic defense industry, spurring innovation and advances in technology and design. Ironically, the quickest way to ensure the industry is capable of producing modern and sophisticated weapons systems thus freeing India from dependence on foreign suppliers appears to be opening up the sector to foreign involvement in the near term.

    WHAT WE NEED?

    Buy and Make Indian means purchase from an Indian vendor including an Indian company forming a joint venture/establishing a production arrangement with an Original Equipment Manufacturer (OEM) followed by licensed production/indigenous manufacture in India. Buy and Make Indian must have a minimum 50 percent indigenous content on cost basis.

    supply order would be placed only on capable Indian companies who in turn will have to negotiate with interested foreign companies for technical and other production arrangement. It is noteworthy that the new category is different from another category, under this category it is the domestic industry which is responsible for all types of negotiation with their foreign counterparts for supplying items to the armed forces. By giving more responsibility to the domestic industry lets hope that the domestic industry will gain in confidence and capability. thus freeing India from dependence on foreign suppliers directly
     
  13. p2prada

    p2prada Stars and Ambassadors Stars and Ambassadors

    Joined:
    May 25, 2009
    Messages:
    10,233
    Likes Received:
    3,896
    Location:
    Holy Hell
    Yeah, we are doing exactly that. Currently foreign investment is 24%, they are looking to expand that to 49%.

    No idea when it will happen though.
     
  14. Bhadra

    Bhadra Defence Professionals Defence Professionals Senior Member

    Joined:
    Jul 11, 2011
    Messages:
    6,687
    Likes Received:
    2,357
    First fulfill the domestic requirements with quality and quantity. That is the yask set out for PSU, OFB and DRDO....
     
  15. Armand2REP

    Armand2REP CHINI EXPERT Veteran Member

    Joined:
    Dec 17, 2009
    Messages:
    10,397
    Likes Received:
    2,314
    India needs to worry about reducing its dependence on imports before it needs to worry about exports.
     
    arnab maity and AVERAGE INDIAN like this.
  16. sayareakd

    sayareakd Moderator Moderator

    Joined:
    Feb 17, 2009
    Messages:
    15,624
    Likes Received:
    11,703
    I think we will export our army guys to start with.
     
  17. Bhadra

    Bhadra Defence Professionals Defence Professionals Senior Member

    Joined:
    Jul 11, 2011
    Messages:
    6,687
    Likes Received:
    2,357
    That is certified world class quality and it does not need your stamp...

    Are others as proven ... ??
     
    mayankkrishna likes this.
  18. sayareakd

    sayareakd Moderator Moderator

    Joined:
    Feb 17, 2009
    Messages:
    15,624
    Likes Received:
    11,703
    you dont get it, some of the guys we will export, as you see our weapons are not worth anything in their hands. May be exporting them would solve so many problems.
     
    pmaitra likes this.
  19. Ray

    Ray The Chairman Defence Professionals Moderator

    Joined:
    Apr 17, 2009
    Messages:
    43,118
    Likes Received:
    23,545
    Location:
    Somewhere
    India is on its way to export defence products

    GRSE ready to explore export scope

    Calcutta, April 16: State-owned Garden Reach Shipbuilders and Engineers (GRSE) Ltd will initiate a dialogue with the government to explore opportunities in the export of defence ships and technology tie-ups with Latin American, African and Gulf countries.

    GRSE is set to become the first Indian defence unit to export an offshore patrol vessel to Mauritius in 2014. The mini ratna PSU, which functions under the ministry of defence, is now looking at similar export opportunities in other countries.

    "We are in preliminary talks with many Latin American, African and Gulf countries and they have expressed interest," Verma said, adding tie-ups can be in both manufacturing and technology sharing.
    GRSE ready to explore export scope - Yahoo! India Finance
     
    arnabmit and pmaitra like this.
  20. AVERAGE INDIAN

    AVERAGE INDIAN EXORCIST Senior Member

    Joined:
    Sep 22, 2012
    Messages:
    2,762
    Likes Received:
    2,718
    Location:
    Detroit MI
    both the statements contradicting each other something like we will do it but don;t know when = this is the problem bro what we are facing , like armand said we needs to worry about reducing our dependence on imports before we worry about exports.
     
  21. Sunder singh

    Sunder singh Regular Member

    Joined:
    Mar 16, 2012
    Messages:
    535
    Likes Received:
    143
    Location:
    FROM NAINITAL NOW IN CHENNAI
    Even our production speed is not st the level to meet our own requirements
     

Share This Page