India’s first defence industrial park


The Union government’s Department of Industrial Policy and Promotion (DIPP) inJuly 2015 approved a proposal from the Kerala Industrial Infrastructure Development Corporation (Kinfra) to set up the country’s first defence industrial park at Ottappalam.
The proposed park, which will be established as part of the Make in India, Make in Kerala project, will have modern common infrastructure facilities aimed at attracting component manufacturers in the defence industry. The Union government has agreed to bring it under the Modified Industrial Infrastructure Upgradation Scheme (MIIUS).
The total expenditure for the defence park is estimated at Rs.231.25 crore. Kinfra will invest Rs.181.35 crore, while the rest of the amount is being expected as grant from the Union government.
“It is estimated that the defence components manufacturing sector has demand estimated at $700 million a year from India and other countries having friendly relationship with it. In India, there is a 15 per cent gap between demand and supply. The defence park can bridge the gap apart from providing the country an opportunity in defence-related export of products from small- and medium-sized enterprises.
Ottappalam was selected for the defence park keeping in view its strategic location as far as connectivity was concerned. Apart from common facilities such as dedicated power and water supply, the park will have a research and development centre.

Tuesday, 15th Dec 2015, 04:05:36 AM

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