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GS-III : Economic Issues Defense industry

09 June, 2021
5 Min Read

Defense Corridors in India

Defence Corridors in India

In pursuance to the budget announcement (2018-19), it has been decided to set up two Defence Industrial Corridors in the Country, one in Uttar Pradesh and another in Tamil Nadu.
Subsequently, six nodes in Uttar Pradesh Defence Corridor viz. Agra, Aligarh, Chitrakoot, Jhansi, Kanpur and Lucknow have been identified.
Similarly, for Tamil Nadu Defence Corridor, five nodes viz. Chennai, Coimbatore, Hosur, Salem and Tiruchirappalli have been identified.
Investments of approximately Rs 3,700 crore were announced by Ordnance Factory Board (OFB/Defence Public Sector Undertakings (DPSUs) & Private Industries for Uttar Pradesh Defence Corridors and investment of approx Rs 3,100 crore were announced by OFB/DPSUs & private industries for Tamil Nadu Defence Corridor.
Further, Government has also appointed a consultant for the preparation of policy and Detailed Project Report (DPR) for these two Defence Corridors. Incentives to private players and foreign companies are provided under the respective state policies.
Setting up of Defence Industrial Corridors would catalyse indigenous production of defence and aerospace-related items, thereby reducing our reliance on imports and promoting the export of these items to other countries.
This will lead to achieve India’s goal of self-reliance in defence, generation of direct/indirect employment opportunities and growth of private domestic manufacturers, Micro Small and Medium Enterprises (MSMEs) and Star-ups.

Source: PIB

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Defense Corridors in India

Defence Corridors in India

In pursuance to the budget announcement (2018-19), it has been decided to set up two Defence Industrial Corridors in the Country, one in Uttar Pradesh and another in Tamil Nadu.

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