India always had defence production under the wraps of government for a long-time and it was under the stricter licence raj. Even after liberalization, very few companies have license to produce defence equipments. Tata Motors, Ashok Leyland and other public sector companies like BEML, BEL, HAL are few producers. Now all that is set to change with ‘Make in India’ initiative.
Mahindra & Mahindra (M&M) forged alliances with two European companies to supply underwater warfare equipment and military helicopters. ADAG group has acquired Pipavav Defence. Hero Group to has tried to buy Pipavav Defence to jump into defence production. Mukesh Ambani group has ventured into defence with Boeing to help build P8I naval reconnaissance aircraft for the Indian Navy and also for Dassault Aviation. Now, DIPP, Department of Industrial Policy and Promotion has granted license to 19 private firms to make defence products.