Hyderabad would get Defence orders worth over ₹1 lakh crore over the next 4-5 years, says Satheesh Reddy
Defence Research and Development Organisation (DRDO) Chairman G. Satheesh Reddy on Thursday sought to highlight how Hyderabad is well poised to consolidate its position as a defence research and production hub in the backdrop of the Centre’s emphasis on boosting indigenous defence manufacturing.
Addressing the inaugural session of a virtual, two-day Make in Telangana conference organised by Confederation of Indian Industry (CII), he said the recent decision to ban the import of 101 defence items is an important step towards self-reliance as well as for the Defence institutions and Defence manufacturers in Hyderabad. Another decision bound to boost Defence production is to design, develop and produce 108 items only in the private sector. “It is a self-imposed negative list of DRDO that industry only should do,” he said, adding that necessary technical help and also test support will be provided. The Defence Acquisition Council had also cleared some more electronic systems, he said.
More items will be added to the list, the Secretary to Department of Defence R&D said, adding “we are taking industry [along] as development cum production partner”. Free access to its patents, handholding, transfer of technology, shortening trials, and creation of technology development funds are some other facilitating measures.
Mr. Reddy said the contribution of defense laboratories here was immense. “Most of my budget goes to Hyderabad only today. They have been developing a lot,” he said. On the role played by the private sector, he said, “Out of 2,000 tier I and II industries [into Defence manufacturing in the country], 1,000 [units] are in Telangana.”
Recalling that three years ago he had told Industries and IT Minister K.T. Rama Rao that Hyderabad would get Defence orders worth over ₹1 lakh crore over the next 4-5 years, Mr. Reddy said about 50% of the orders had been issued to Defence laboratories and units like Bharat Dynamics. “In one to two years this number may get doubled,” he said, appreciating Telangana government’s policy initiatives for industrial development.
Inaugurating the conference, Mr. Rao said the State government was focused on all-round, inclusive development as evident from more acreage brought under cultivation, faring well in export preparedness index, measures to boost manufacturing, especially by improving the ease of doing business and encouraging technology innovation as well as women entrepreneurship. Make in Telangana will go a long way towards a self-reliant India, he said, referring to how the State was focused on bringing economies of scale with facilities such as the Hyderabad Pharma City and Warangal Textile Park and reducing the cost of doing business for industries. The Minister released the Nizamabad District Development Plan brought out by CII.
British Deputy High Commissioner for Western India and Her majesty’s Trade Commissioner for South Asia Alan Gemmell, Director General of Korea Trade-Investment Promotion Agency Keunhyung Park, Chairman, and CEO of ALPLA Group Guenther Lehner, Industries and IT Secretary Jayesh Ranjan and CII leaders Satish Reddy and Krishna Bodanapu spoke.