Defence Minister Rajnath Singh on Tuesday invited Swedish defence majors to set up manufacturing bases in India as he showcased the country as an attractive destination for investment to produce military equipment and platforms.
In an address at a conference on India-Sweden defence industry cooperation, he said the government has rolled out reforms to help the defence industries serve not only Indian requirements but meet global demands.
Singh invited Swedish firms to invest in the defence corridors in UP and Tamil Nadu, saying they can take advantage of the unique incentives being offered by the state governments and the availability of a highly skilled workforce in India.
He mentioned allowing up to 74% FDI through automatic route and up to 100% through government route in the defence manufacturing sector. An MoU was signed between the Society of Indian Defence Manufacturers and Swedish Security and Defence Industry Association to promote and strengthen the bilateral defence industrial relations.
Singh said the technology-centric FDI policy will enable Indian industries to collaborate with Swedish industries in the field of niche and proven military technologies. “Over the past few years, the Indian defence industry has been galvanised through progressive policy and procedural reforms which have catapulted the industry to serve not only Indian requirements but also meet global demand,” Singh said.