Q-Tech Synergy and Tri Polus Ltd, international business consulting organisations within the Defence and Aerospace sectors with a specialisation within India have joined forces to offer a comprehensive “Market Report on Emerging Opportunities within Indian Defence Acquisition”.
The report analyses the Indian defence industry taking into perspective the growth of the Indian economy and current market dynamics. The Indian defence Industry with its own captive market has a strategic and technological edge in the developing world. The Indian MOD is determined to build a domestic defence industry and is looking for successful tie-ups with major manufacturers to become a significant player in the international market. The changes in Defence acquisition policies and procedures; partnerships between public sector and selected industry leaders from the private sector; receiving technology and undertaking license production with Transfer of Technology (TOT) from overseas sources are some of the healthy signs enhancing the defence capability and creating a sustainable defence industrial base in India. The process is expected to be competitive, fair and transparent to provide best value for money to the Indian services while providing the Indian defence industry an opportunity to grow.
The 2008-2009 Indian defence budget ($26.4 billion) is expected to grow at the rate of 7% to 8% annually over the next five years. Such allocations mostly cater for modernisation and acquisition plans. This will make India one of the biggest markets in the world for defence and aerospace products. The major portion of Indian defence budget (51.3%) has been earmarked for capital acquisition and modernisation of Defence forces amounting to $13.56 billion (with an assurance that additional allotment under this head will be need based and not a constraint). This budget is largely utilised for acquisition of the new equipment and modernisation of the existing hardware. India is one of the topmost importer of defence equipment and is expected to import over $45 billion by 2012, hence an attractive defence markets in the world in terms of business potential.
The Market Report will be of interest to:
§ Defence Original Equipment Manufacturers.
§ Small and Medium Companies from the Defence and Aerospace sector.
§ Corporate India.
§ Banks and financial institutions.