Indian Army Urges MoD to Address Explosive Manufacturing License Challenges
The Indian Army is requesting the Ministry of Defence to intervene in converting approximately 40 inactive explosive licenses into operational manufacturing facilities to enhance ammunition self-sufficiency. With only 15-17% of license holders progressing to manufacturing, financial and logistical barriers hinder the indigenisation efforts critical for national defense.
Theia Market Signal Identification - AI Assisted
The Army has highlighted that out of 40-46 explosive licenses, only 15-17% have resulted in active manufacturing. Key issues include financial constraints, land and water requirements, and policy bottlenecks, as reported by multiple sources.
The Ministry of Defence is encouraging private sector participation in ammunition production while facing challenges in the procurement cycle due to domestic limitations. The Army has achieved 91% self-sufficiency in ammunition, indigenising 159 out of 175 variants.
Industry representatives stress the need for financial support to establish new plants and revisit the 60% indigenous content requirement. The market for military ammunition in India is projected to exceed ₹7,000 crore, driven by increased demand and a shift towards self-reliance.
Comments