Defence Sector Poised For Growth AMID Global Geopolitical Shifts
STORIES, ANALYSES, EXPERT VIEWS
There has been a surge in defence spending globally, fuelled by the ongoing geopolitical tensions, said Adani Defence and Aerospace Chief Executive Officer (CEO) Ashish Rajvanshi. In an interaction with Business Today at the launch of two mega facilities to manufacture ammunition and missiles in Kanpur, Rajvanshi last Monday said that Germany allocates 3% of its GDP, Poland 2% and France 4% towards defence, reflecting a collective urgency for bolstering security measures.
“Amidst this scenario, all eyes turn towards India, perceived as a potential ally in providing defence support. This presents a significant opportunity for India’s defence sector, which stands poised for growth amidst changing geopolitical dynamics,” Rajvanshi said.
Largest integrated ammunition manufacturing complexes in South Asia: Spread over 500 acres, the Kanpur facility is going to be one of the largest integrated ammunition manufacturing complexes in South Asia. It will produce high-quality small, medium and large-calibre ammunition for the armed forces, paramilitary forces and police. The facility has started rolling out small calibre ammunition, starting with 150 million rounds estimated at 25% of India’s annual requirement.
Rajvanshi further said that the establishment of these ammunition and missiles complexes represents a leap forward in our quest for self-reliance. With a planned investment of over Rs 3,000 crore, its impact extends far beyond the defence sector.
“It will create over 4,000 jobs, with five times the multiplier effect on MSMEs and the local ecosystem benefiting from it indirectly. We are committed to ensuring that our efforts are inclusive and sustainable, fostering growth while preserving the environment for generations to come,” he said.
Speaking on the occasion, Uttar Pradesh Chief Minister Yogi Adityanath said, “Adani Defence & Aerospace has made the largest investment in the Uttar Pradesh Defence Corridor, which will play a crucial role in developing a vibrant defence ecosystem. It is encouraging to see the commencement of operations within 18 months of allocating land. It will be a proud moment when ammunition and missiles produced in these facilities will help in securing the nation.”
