In the next 15 years, India will see an investment worth around INR6 lakh crore. This is something that will create numerous jobs, drive economic growth and ensure prosperity for people.
Significantly, of the INR6 lakh crore, at least INR80,000 crore will be spent in the eastern region comprising Bihar, Chhattisgarh, Jharkhand, Odisha and West Bengal. The scale and scope is stupendous, with opportunities bright for sectors such as machineries, electrical items and hulls.
Furthermore, private players, which are currently engaged in the defense industry sector as sub-contractors and ancillary units supplying raw materials, semi-finished products, parts and components to Defense PSUs and ordnance factories, would be stepping up their participation.
By all accounts, it is a win-win opportunity. The challenge, however, is how state governments and the center play their part and create the right ambience to be able to cash in on the opportunities.
Given that the international defense industry has a complex network of supply chains, there is an urgent need for Indian companies, especially the 4,000 SMEs that supply metals, clothes, leather and various semi-finished products to ordnance factories, to integrate themselves into the supply chains of global and domestic defense majors. CII Eastern Region has undertaken a number of initiatives with a clear focus on creating a conducive atmosphere.
This CII - Ernst & Young report on Industry-Defence Linkage is aimed at building a strong platform for the private sector in the Eastern Region and for defense PSUs, and to explore mutual business opportunities.