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With the impetus for made in India defence projects, the government has set an ambitious target of achieving USD 22 billion worth of defence production by the year 2025.

Making this declaration at the ongoing DefExpo 2022 at Gandhinagar, the defence minister Rajnath Singh stated that encouraging reports suggests that investment in India’s defence sector from overseas in including from Foreign Original Equipment Manufacturers (OEMs) is to achieve target of USD 22 Billion by 2025.

is in for a major that from domestic industry and Foreign Original Equipment Manufacturers (OEMs) in the Indian defence sector and asked them to take advantage of the opportunity to integrate into the global supply chains, during the ‘Invest for Defence’ investor outreach event organised as part of 12th DefExpo in Gandhinagar, Gujarat on October 20, 2022.

He said that this is a golden period for Indian Defence Industry, which will be a sunrise sector in the years to come. Sharing the government’s future plans for the defence sector, he said that the target is to increase defence production from USD 12 billion to USD 22 billion by 2025.

This provides unparalleled opportunities for growth to the industry in the coming years, he added.

Rajnath Singh observed that it is natural for investors to look for profit and offered a value proposition. He said the country has skilled human resources and a healthy population and the government has taken several steps to further enhance this aspect.

He referred to the financial measures that have enabled banks to extend loans, boost capital availability and led to establishment of a venture capital funding culture.

The government has reserved 68% of the defence capital acquisition for domestic procurement for the year 2022-23, which is approximately Rs. 85,000 crores and 25% of this has been reserved for domestic private industry”, he said.