Lok Sabha Question No. 347 (STARRED), answered on 2016-12-09
Subject: Modernization of Ordnance Factories
Ministry: DEFENCE
Asked by: P. KUMAR

## GOVERNMENT OF INDIA MINISTRY OF DEFENCE DEPARTMENT OF DEFENCE PRODUCTION

## LOK  SABHA STARRED QUESTION NO.347

TO BE ANSWERED ON THE 9 TH  DECEMBER, 2016

## MODERNIZATION OF ORDNANCE FACTORIES

## *347.  SHRI  P. KUMAR:

Will the Minister of DEFENCE j{kk ea=h be pleased to state:

- (a) the details of Ordnance Factories in the country along with their turnover during the last two years and the current year, year-wise;
- (b) whether the Government proposes to modernize certain ordnance factories and if so, the details thereof along with its estimated cost; and
- (c) whether  the  Government  proposes  to  export  weapons  and  other  equipment manufactured in ordnance factories and if so, the details thereof, country-wise?

## A    N    S    W    E    R

MINISTER OF DEFENCE                                   (SHRI MANOHAR PARRIKAR)

j{kk ea=h

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(a) to (c): A Statement is laid on the Table of the House.

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## STATEMENT REFERRED TO IN REPLY TO PART (a) TO (c) OF LOK SABHA STARRED QUESTION NO. 347 FOR  9.12.2016

- (a) The details  of  Ordnance  Factories in the  country along  with  their yearwise turnover during the last two years and the current year are at Annexure-I.
- (b) Yes,  Madam.  Government  is  undertaking  modernization  of  Ordnance Factories  which  includes  investment  in  Plant  &  Machinery  and  Civil  Works. Modernization of OFs is under following three major categories:
- Renewal & Replacement (RR) :  For  replacement  /reconditioning of outlived P&M to sustain the original capacity.
- New Capital (NC) : Acquisition of modern technology/manufacturing processes for capacity  augmentation  of  existing  product  mix  or creation of capacity for new product.
- Civil Infrastructure : Civil Infrastructure and services viz. Production & Services of buildings, Power supply, Water supply, Compressed Air supply etc.

Some of the major proposals include:-

- i. Flexible Manufacturing System[FMS] (Rs. 133 Crore) at Engine Factory Avadi (EFA) - for augmentation of capacity of Engines for 'A' vehicle
- ii. Electric Arc Furnace with Ladle Furnace and Vacuum Degassing[LFVD] (Rs. 47 Crore) at Field Gun Factory, Kanpur (FGK) - for modernization of metallurgical facilities
- iii. Forging Press 3000 Ton (Rs. 122 Crore) at Field Gun Factory, Kanpur (FGK)  -  for  augmentation  of  capacity  of  Large  Caliber  Barrels  and Ordnance
- iv. Electro  Slag  Refining  [ESR]  Plant  (Rs.  57  Crore)  at  Metal  &  Steel Factory (MSF) - for augmentation of capacity of Ingots for Pinaka Motor Tube and Large Caliber Barrels
- v. Sintering  Furnace  (Rs.  25  Crore)  at  Heavy  Alloy  Penetrator  Project (HAPP)  -  for  augmentation  of  capacity  of  Tungsten  Carbide  Balls  for Pinaka Warhead
- vi. Automatic Detonator Filling Plant (Rs. 11 Crore) at Ammunition Factory, Khadki (AFK)  for modernization of facility for production of Detonators

Proposed investment in the ordnance factories for Financial Year 2016-17 is Rs. 1461.42 Crore (RE).

……2/-

(c) Export of arms, ammunition and weapon systems by Ordnance Factory Board (OFB) is being done in accordance with broad guidelines laid for export to foreign countries using spare capacity after meeting the Services' requirements and compliance to country-specific instructions issued by Ministry of External Affairs (MEA) from time to time.

The details of exports of weapons and other equipment planned for 20162017 country-wise are as under:

| Year                                            | Country                                         | Nature of Items                                 | Value of Order (USD)   | Value of Export(INR)                  |
|-------------------------------------------------|-------------------------------------------------|-------------------------------------------------|------------------------|---------------------------------------|
| 2016-17 (Planned)                               | Indonesia                                       | General Stores& Clothing                        | 2,36,700               | Exported Rs. 8.38 Crore (upto Nov'16) |
|                                                 | Mauritius                                       | Medium caliber weapon                           | 10,45,742              | Exported Rs. 8.38 Crore (upto Nov'16) |
|                                                 | Maldives                                        | Small Caliber Ammunition                        | 1,10,250               | Exported Rs. 8.38 Crore (upto Nov'16) |
|                                                 | Uzbekistan                                      | General Stores& Clothing                        | 3,785                  | Exported Rs. 8.38 Crore (upto Nov'16) |
|                                                 | Germany                                         | Small Caliber Ammunition                        | 8,800                  | Exported Rs. 8.38 Crore (upto Nov'16) |
|                                                 | Kenya                                           | Large Caliber Ammunition & Signaling Smoke      | 10,45,048              | Exported Rs. 8.38 Crore (upto Nov'16) |
|                                                 | Italy                                           | Large Caliber Weapon                            | 28,22,962              | Exported Rs. 8.38 Crore (upto Nov'16) |
| Total Planned Value of Export in 2016-17 (USD). | Total Planned Value of Export in 2016-17 (USD). | Total Planned Value of Export in 2016-17 (USD). | 52,73,287              |                                       |

## ANNEXURE-I  REFERRED IN THE REPLY GIVEN IN THE STATEMENT  IN PART (a) OF LOK SABHA STARRED QUESTION NO. 347 FOR ANSWER ON 9.12.2016

| *Value of Turnover for Last Two Years &Current Year (Including Issues to Sister Factories) In Rs. Crore   | *Value of Turnover for Last Two Years &Current Year (Including Issues to Sister Factories) In Rs. Crore   | *Value of Turnover for Last Two Years &Current Year (Including Issues to Sister Factories) In Rs. Crore   | *Value of Turnover for Last Two Years &Current Year (Including Issues to Sister Factories) In Rs. Crore   | *Value of Turnover for Last Two Years &Current Year (Including Issues to Sister Factories) In Rs. Crore   |
|-----------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------|
| Sl. No.                                                                                                   | Factory                                                                                                   | 2014-15                                                                                                   | 2015-16                                                                                                   | 2016-1 7 (upto 03/12/2016)                                                                                |
| Ammunition &Explosives (AE) Division                                                                      | Ammunition &Explosives (AE) Division                                                                      | Ammunition &Explosives (AE) Division                                                                      | Ammunition &Explosives (AE) Division                                                                      | Ammunition &Explosives (AE) Division                                                                      |
| 1                                                                                                         | Ammunition Factory, Khadki                                                                                | 896.04                                                                                                    | 901.48                                                                                                    | 486.85                                                                                                    |
| 2                                                                                                         | Cordite Factory, Aruvankadu                                                                               | 154.39                                                                                                    | 185.78                                                                                                    | 128.47                                                                                                    |
| 3                                                                                                         | High Explosives Factory, Khadki                                                                           | 193.39                                                                                                    | 231.86                                                                                                    | 128.69                                                                                                    |
| 4                                                                                                         | Ordnance Factory Khamaria                                                                                 | 1410.40                                                                                                   | 1848.23                                                                                                   | 473.64                                                                                                    |
| 5                                                                                                         | Ordnance Factory Bhandara                                                                                 | 322.93                                                                                                    | 374.31                                                                                                    | 171.45                                                                                                    |
| 6                                                                                                         | Ordnance Factory Varangaon                                                                                | 477.48                                                                                                    | 531.37                                                                                                    | 164.07                                                                                                    |
| 7                                                                                                         | Ordnance Factory Chanda                                                                                   | 1336.61                                                                                                   | 1529.01                                                                                                   | 598.43                                                                                                    |
| 8                                                                                                         | Ordnance Factory Bolangir                                                                                 | 819.82                                                                                                    | 911.60                                                                                                    | 599.71                                                                                                    |
| 9                                                                                                         | Ordnance Factory Itarsi                                                                                   | 223.66                                                                                                    | 274.11                                                                                                    | 110.94                                                                                                    |
| 10                                                                                                        | Ordnance Factory Dehu Road                                                                                | 294.85                                                                                                    | 257.67                                                                                                    | 123.34                                                                                                    |
| 11                                                                                                        | Ordnance Factory Nalanda                                                                                  | 0.00                                                                                                      | 6.02                                                                                                      | 18.11                                                                                                     |
| Sub Total :                                                                                               | Sub Total :                                                                                               | 6,129.57                                                                                                  | 7,051.44                                                                                                  | 3,003.70                                                                                                  |
| Weapons, Vehicles &Equipment (WV&E) Division                                                              | Weapons, Vehicles &Equipment (WV&E) Division                                                              | Weapons, Vehicles &Equipment (WV&E) Division                                                              | Weapons, Vehicles &Equipment (WV&E) Division                                                              | Weapons, Vehicles &Equipment (WV&E) Division                                                              |
| 1                                                                                                         | Gun Carriage Factory, Jabalpur                                                                            | 513.23                                                                                                    | 605.08                                                                                                    | 265.96                                                                                                    |
| 2                                                                                                         | Rifle Factory Ishapore                                                                                    | 303.53                                                                                                    | 295.80                                                                                                    | 169.81                                                                                                    |
| 3                                                                                                         | Gun& Shell Factory, Cossipore                                                                             | 517.48                                                                                                    | 599.15                                                                                                    | 347.38                                                                                                    |

| 4                                    | Ordnance Factory Kanpur                | 561.13                               | 643.07                               | 412.89                               |
|--------------------------------------|----------------------------------------|--------------------------------------|--------------------------------------|--------------------------------------|
| 5                                    | Small Arms Factory, Kanpur             | 149.27                               | 179.89                               | 94.82                                |
| 6                                    | Ordnance Factory DumDum                | 130.78                               | 133.19                               | 74.22                                |
| 7                                    | Ordnance Factory Trichy                | 136.53                               | 101.67                               | 75.80                                |
| 8                                    | Field Gun Factory, Kanpur              | 242.61                               | 275.53                               | 186.83                               |
| 9                                    | Ordnance Factory Korwa                 | 0.00                                 | 7.46                                 | 7.09                                 |
| 10                                   | Vehicle Factory Jabalpur               | 1288.28                              | 977.56                               | 665.06                               |
| 11                                   | Grey Iron Foundry Jabalpur             | 96                                   | 150.11                               | 67.98                                |
| Sub Total :                          | Sub Total :                            | 3,938.56                             | 3,968.52                             | 2,367.84                             |
| Materials &Components (M&C) Division | Materials &Components (M&C) Division   | Materials &Components (M&C) Division | Materials &Components (M&C) Division | Materials &Components (M&C) Division |
| 1                                    | Metal& Steel Factory Ishapore          | 435.09                               | 475.15                               | 311.46                               |
| 2                                    | Ordnance Factory Ambernath             | 567.00                               | 527.78                               | 312.98                               |
| 3                                    | Ordnance Factory Katni                 | 252.00                               | 284.04                               | 131.74                               |
| 4                                    | Ordnance Factory Muradnagar            | 203.35                               | 232.73                               | 162.89                               |
| 5                                    | Ordnance Factory Bhusawal              | 131.94                               | 143.99                               | 114.26                               |
| 6                                    | Machine Prototype Factory, Ambernath   | 164.23                               | 189.11                               | 135.85                               |
| 7                                    | Ordnance Factory Ambajhari             | 740.47                               | 931.93                               | 549.40                               |
| 8                                    | Heavy Alloy Penetrator Project, Trichy | 143.86                               | 164.88                               | 96.37                                |
| Sub Total :                          | Sub Total :                            | 2,637.94                             | 2,949.61                             | 1,814.95                             |

| Armoured Vehicles (AV) Division       | Armoured Vehicles (AV) Division        | Armoured Vehicles (AV) Division       | Armoured Vehicles (AV) Division       | Armoured Vehicles (AV) Division       |
|---------------------------------------|----------------------------------------|---------------------------------------|---------------------------------------|---------------------------------------|
| 1                                     | Ordnance Cable Factory Chandigarh      | 64.13                                 | 58.58                                 | 40.36                                 |
| 2                                     | Ordnance Factory Dehradun              | 130.17                                | 152.82                                | 162.92                                |
| 3                                     | Heavy Vehicles Factory, Avadi          | 1118.13                               | 1357.22                               | 1064.26                               |
| 4                                     | Ordnance Factory Medak                 | 697.53                                | 815.87                                | 378.80                                |
| 5                                     | Engine Factory, Avadi                  | 320.35                                | 396.24                                | 328.2                                 |
| 6                                     | Opto-Electronics Factory, Dehradun     | 222.89                                | 434.97                                | 474.14                                |
| Sub Total :                           | Sub Total :                            | 2,553.20                              | 3,215.70                              | 2,448.68                              |
| Ordnance Equipment Factories Division | Ordnance Equipment Factories Division  | Ordnance Equipment Factories Division | Ordnance Equipment Factories Division | Ordnance Equipment Factories Division |
| 1                                     | Ordnance Equipment Factory Kanpur      | 462.39                                | 548.27                                | 383.18                                |
| 2                                     | Ordnance Clothing Factory, Shajahanpur | 441.22                                | 634.15                                | 436.68                                |
| 3                                     | Ordnance Parachute Factory Kanpur      | 166.49                                | 234.79                                | 162.77                                |
| 4                                     | Ordnance Clothing Factory Avadi        | 222.80                                | 300.29                                | 189.06                                |
| 5                                     | Ordnance Equipment Factory Hajratpur   | 111.46                                | 150.16                                | 114.99                                |
| Sub Total :                           | Sub Total :                            | 1,404.36                              | 1,867.67                              | 1,286.68                              |
| GRAND TOTAL                           | GRAND TOTAL                            | * 16,663                              | * 19,053                              | *10,921.85                            |

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