IN PARLIAMENT: MoD (finally) shares data on DRDO’s spending; Also says IAF procures max from foreign vendors & army, least





New Delhi: Phalguna 19, 1936

Tuesday, 10 March 2015

India has been importing defence equipment and parts from technologically advanced countries to meet the operational requirements of the Armed Forces.  Over the years, country has established Defence Industrial Base of Defence Public Sector Undertakings (DPSUs), Ordnance Factories (OFs), Small and Medium Enterprises (SMEs), and private sectors, which are engaged in manufacturing of defence hardware.  The licensing procedure for defence industries has been substantially simplified.  So far, 251 Letters of Intent (LoI) / Industrial Licenses (ILs) have been issued to 150 Indian companies till January, 2015 for manufacture of a wide range of defence items such as major weapon systems, armoured vehicles, warships, aircrafts, helicopters, UAVs, Radars, electronic warfare systems, communication and surveillance systems, ammunitions, explosives etc. 49 licenses companies having 75 licenses have reported commencement of production.  Besides, the cap of FDI has been raised from 26% to 49%.

Defence Research and Development Organisation (DRDO) is a Mission Mode Organisation, which is primarily engaged in design and development of strategic, complex and security sensitive systems for the Armed Forces.  DRDO has developed   a number of systems / products / technologies, a large number of   which have already been productionised.  The value of systems / products / technologies developed by DRDO and inducted into Services or in the process of induction stands at over Rs.1,78,000 Crore.  These include combat vehicles; missiles; multi-barrel rocket launcher; unmanned aerial vehicles; radars; electronic warfare systems; sonars; torpedos; bridging systems; combat aircraft; sensors; NBC technologies; parachutes; combat free fall system; propellants and explosives; detonators; communication systems; armaments systems; cyber systems, etc.


:  2  :

Amounts spent by DRDO during the last three years is as follows:-

(Rs. in crore)

Year Actual Expenditure


2011-12 9893.84
2012-13 9794.80
2013-14 10859.04
2014-15 9639.66

(upto January 2015 as per CGDA compilation)

Capital acquisition orders placed on foreign vendors of defence equipment during the last three years is as follows:-

Year Air Force Navy Army


2011-12 15258.11 6700.91 506.07
2012-13 19220.95 6100.38 991.67
2013-14 20927.54 12653.56 1501.00

This information was given by Defence Minister Shri Manohar Parrikar in a written reply to Shri AU Singh Deo in Rajya Sabha today.





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