India is taaking steps to become the China of the Defence manufacturing world.
Just as Apple,Samsusng and other electronics manufacturers outsourced their manufacturing to China i fully expect global defence majors to shift part or all of their manufacturing to India. This has two great benefits for them
1)Direct access to one of the Biggest militaries on Earth, for European defence majors this is a great pull as militaries across europe downsize.
2)Cheap manufacturing which will let them compete with the baragain basement products the Chinese are offering to their buyers.
India with it's history of scruplous IPR norms will help them protect their tech as well.
It's already started to some extent for example Tata Boeing outside Hyderabad will be making the fuselauge for all 200 Apache helicopters scheduled to be delivered post 2018.