Lok Sabha Question No. 805 (UNSTARRED), answered on 2015-07-24
Subject: FDI in Defence Sector
Ministry: DEFENCE
Asked by: PARAYAMPARANBIL KUTTAPPAN BIJU, NISHIKANT  DUBEY

**GOVERNMENT OF INDIA**

**MINISTRY OF DEFENCE**

**DEPARTMENT OF DEFENCE PRODUCTION**

**LOK  SABHA**

**UNSTARRED QUESTION NO.805**

**TO BE ANSWERED ON THE 24** **TH** **JULY, 2015**

**FDI IN DEFENCE SECTOR**

805.  	SHRI  P.K. BIJU:

SHRI NISHIKANT DUBEY:

Will the Minister of DEFENCE    j{kk ea=h

be pleased to state:

(a)	the details of agreements signed / executed by the Government with other countries relating to Foreign Direct Investment (FDI) in the defence sector;

(b)	the amount of FDI received in the defence sector during the last three years and the current year; and

(c)	the details of defence projects that have been benefited from opening up of FDI, project-wise along with the name of the companies involved in this project?

#### A    N    S    W    E    R

MINISTER OF STATE           			       (RAO INDERJIT SINGH)

IN THE MINISTRY OF DEFENCE

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**(a)		In pursuance to the Inter-Governmental Agreement between India and Russia signed in February 1998, a Joint Venture company BrahMos Aerospace, between the Defence Research & Development Organization (DRDO) of India and NPO Mashinostroyenia of Russia has been formed for design, development, production of a Supersonic Cruise Missile.**

**(b)		FDI amounting to US$ 1.31 million has been received in the defence sector during the last three years and the current year.**

**(c)		Since opening up of FDI in defence sector, 34 proposals involving foreign investment have been approved so far.  The details of the approved proposals along with the items are at Annexure-I.**

***********

**ANNEXURE-I REFERRED IN THE REPLY GIVEN IN PART (c) OF LOK SABHA UNSTARRED QUESTION NO. 805 FOR ANSWER ON 24.7.2015**

**FOREIGN INVESTMENT PROPOSALS APPROVED IN**

**DEFENCE SECTOR [As on 30.6.2015]**

|   **Sl. No.** | **Name of the JV/Implementing Company**          | **Items of manufacture**                                                                                                                                                                                               |
|---------------|--------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|             1 | M/s Multirole Transport Aircraft Ltd             | Co-development & Co-production of a Multirole Transport Aircraft of 15-20 Ton category jointly with Russian partners.                                                                                                  |
|             2 | M/s HAL-Edgewood Technologies Limited            | Development and Manufacture of high technology miniature electronic modules and avionic systems for aerospace applications.                                                                                            |
|             3 | M/s HALBIT Avionics Private Limited              | Design, Development, Market and Support products such as Aircraft Simulators and Services and to subsequently enhance the scope of products to airborne avionics products. Development of State of the Art technology. |
|             4 | M/s Bharat Electronics Ltd                       | Design, Development, marketing, supply and support of civilian and select defence Radars for Indian and global markets.                                                                                                |
|             5 | M/s Alpha-ITL Electro Optics Private Limited     | Manufacture of optical goods and equipment and optical instruments.                                                                                                                                                    |
|             6 | M/s HBL Elta Avionics Systems Private Limited    | Radar, EW Systems, Electronics Communication systems.                                                                                                                                                                  |
|             7 | M/s BF Systems Limited                           | To provide complete support for Light Weight Howitzer and other small & medium caliber weapons programs, inclusive of engineering, design & development, manufacturing services and upgrading.                         |
|             8 | M/s. Alpha Electronica Defence Systems Pvt. Ltd. | Production, assembling, testing, repair and support for EW equipment and systems for land/shipbased/airbased platforms.                                                                                                |
|             9 | M/s Armet Armored Vehicles (India) Ltd.,         | Manufacture of bodies (including Cabs) designed to be mounted on motor vehicles chassis for special purpose motor lorries, armoured cars etc.                                                                          |
|            10 | M/s Samtel Thales Avionics Pvt. Ltd. New Delhi   | Development, Manufacture & selling of helmet mounted sight display.                                                                                                                                                    |
|            11 | M/s Astra Micro wave Products Ltd, Hyderabad     | Design, development, manufacture & supply of  components & sub-systems for wireless communication for application in defence, space & cellular communication.                                                          |

|   12 | M/s Mahindra Defense systems Ltd, New Delhi       | Manufacture & marketing of defence equipment in the land sector.                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|------|---------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   13 | M/s Taneja Aerospace & Aviation limited           | (i) Armour panel for helicopter, (ii) Body armour.                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|   14 | M/s Vyoneesh Technologies Pvt Ltd., New Delhi     | Manufacturing, Designing, Selling, Undertaking Overhauling and Maintenance Activities for all kind of Engg. And Technology Related Equipment and Products including Aircrafts.                                                                                                                                                                                                                                                                                                                      |
|   15 | M/s ICOMM Tele Ltd,  Hyderabad.                   | Engaged in engineering, procurement and construction services in the telecommunication, power transmission and distribution, water and sewerage sectors, manufactures telecommunications and power transmission towers, research, development and manufacture of active telecommunications infrastructure and equipment for a variety of sectors including defence related telecommunications equipment.                                                                                            |
|   16 | M/s Lakshmi Machine Works Limited, Coimbatore     | Manufacturing of entire range of Textile Spinning machinery. Proposed additional activities: manufacturing of parts, components and accessories for aircraft and spacecraft to be supplied to civil and defence sector.                                                                                                                                                                                                                                                                             |
|   17 | M/s Tata Aerostructure Limited, Mumbai            | Design, manufacture, supply procurement and life cycle support of advanced aerospace and aero structures items for defence aircrafts, helicopters, and unmanned airborne vehicles including empennages and centre wing boxes (NIC Code-377.8).                                                                                                                                                                                                                                                      |
|   18 | M/s Larsen & Toubro Ltd, Mumbai                   | Manufacturing, distributing, and marketing of products in the market segments of electronic warfare, military avionics, mobile systems (defence related) and radars (NIC code 359.4).                                                                                                                                                                                                                                                                                                               |
|   19 | M/s ABG Shipyard Ltd, Mumbai                      | Existing Activities: Shipbuilding, ship repair(NIC Code: 3899 & 3402)  Proposed Activities: Defence products: NIC Code:370,359,359.4,365,366,367 & 370.8.                                                                                                                                                                                                                                                                                                                                   |
|   20 | M/s Jubilant Aeronautics Pvt Ltd, Delhi           | Manufacture of different types of Unmanned Aerial Systems and accessories (NIC Code: 3770).                                                                                                                                                                                                                                                                                                                                                                                                         |
|   21 | M/s Maini Precision Products Pvt Ltd.             | Existing activities: Engaged in the business of manufacture and export of high precision parts for automotive, material handling, general engineering purposes. Proposed additional activities: to manufacture parts and accessories of aircraft and spacecrafts (NIC Code:377.8).                                                                                                                                                                                                                  |
|   22 | M/s Park Controls & Communications Ltd, Bangalore | Existing Activities: Engaged in the business of defence Avionics solution provider. Proposed addition activities: activities to manufacture of onboard/data acquisitions systems, avionics, timing products, time code readers, ground based telemetry systems and other electronic aerospace and defence equipment.                                                                                                                                                                                |
|   23 | M/s Rossell Aviation Private Ltd.                 | Proposed Activities: To engage in civil &defence aviation filed with focus on product support services, repair and maintenance facility, providing training solutions in project.                                                                                                                                                                                                                                                                                                                   |
|   24 | M/s Indian Rotorcraft Ltd.                        | To engage in the business of undertaking final assembly of both military and civil versions of Agusta Wesland’s AW119 Kx Helicopters.                                                                                                                                                                                                                                                                                                                                                               |
|   25 | M/s Tara Aerospace Systems Ltd, Mumbai            | Existing: Manufacture of parts for civilian aircrafts.  **Proposed**  : Design, development, engineering, manufacturing, integration, assembly, testing and inspection and fixed-wing aircrafts, including products such as aerospace and aero structures components, kits and accessories in the defence sector.                                                                                                                                                                                   |
|   26 | M/s Larsen & Toubro Ltd, Mumbai                   | Defence Production.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   27 | M/s Space Era Materials and Processes Pvt Ltd.    | Engaged in the business of design, development, manufacture, assembly, repair and overhaul of the equipment of telecommunication and avionics used in aircrafts, radars and other electrical and electronics defence components, aggregates and equipment in India.                                                                                                                                                                                                                                 |
|   28 | M/s Track Systems India Private Limited           | Manufacturing, assembling, marketing, trading, dealing in import and export of tracks and parts thereof and running gear components required for the defence sector.                                                                                                                                                                                                                                                                                                                                |
|   29 | M/s Amertec Systems Pvt Ltd.                      | Manufacturing of advanced electronic systems, test systems, simulators and electronic systems for military applications.                                                                                                                                                                                                                                                                                                                                                                            |
|   30 | M/s Hical Technologies Pvt Ltd.                   | Manufacture of wiring, cable and harness for aeronautics and defence sectors (civil and military) and test benches.                                                                                                                                                                                                                                                                                                                                                                                 |
|   31 | M/s. BF Elbit Advanced Systems Pvt. Ltd.          | Manufacture of Artillery Guns/Howitzers, Mortars, Ammunition, manufacture of Tactically protected vehicles.                                                                                                                                                                                                                                                                                                                                                                                         |
|   32 | M/s SasMos Het Technologies Limited               | Existing: Assembly/Manufacturing of Cable Assembly, interconnection systems, Electrical & Electronic Panels for Aerospace & Defence applications.  **Proposed**  : Manufacturing of Electronic Warfare Sub-systems, Automatic Test Equipment, Avionics & Radar Sub-Systems, Unmanned Vehicle Sub-Systems, Command & Control Systems and Navigational Sub-systems and related parts and accessories for Airborne, Ground & Naval application in addition to existing activities. |
|   33 | M/s Quest Global Manufacturing Private Ltd        | Manufacturing for Indian Defence Sector including defence aerospace and participate in offset program.                                                                                                                                                                                                                                                                                                                                                                                              |
|   34 | M/s Ideaforge Technology Pvt Ltd.                 | Existing Manufacturer of Unmanned Aerial Systems mainly supplied to defence sector.                                                                                                                                                                                                                                                                                                                                                                                                                 |

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