Aerospace and defense market in India 2022
Aerospace and defense market in India 2022
Abstract
The Aerospace and Defense market offers an appealing and significant opportunity for both, Indian and foreign, companies throughout the supply chain. The ordnance factories and defense public sector undertakings (DPSUs) have been continuously modernizing, upgrading, and expanding their product range with the goal of achieving self-sufficiency in defense production. The aerospace industry in India is expanding rapidly, owing to increased activity in both, the defense and civil aviation, sectors.
Market insights:
The Ministry of Defence (MoD) develops defense and security policies and oversees their implementation by the armed forces (that is, the Army, the Navy, and the Air Force). The MoD invested INR 4856.81 Bn for defense spending in FY 2021, up from INR 3551.50 Bn in FY 2017, an expansion at a compound annual growth rate (CAGR) of 8.14%. This includes expenditures for armed forces and civilian salaries, pensions, armed forces’ modernization, production establishments, maintenance, and its research and development organizations
Impact of COVID-19:
During the first and second wave of COVID-19, the Indian military aerospace and defense (A&D) industry witnessed a slew of policy decisions being made and implemented. The government raised the automatic route limit for foreign investment in the sector and imposed a ban on the import of certain defense items. Companies in commercial aviation were experiencing production disruption and decelerating demand as employees return home, passengers stop travelling, and people halted their travel plans.
Market drivers:
The robust pipeline of new aircraft models and ramp-up of old model production put financial and operational strain on the existing supply chain. Private sector companies showed interest in aerospace as a result of simplified offset norms, changes in defense procurement procedures (DPP), and easing of FDI restrictions. To move up the value chain, the government and private sector collaborated to make strategic investments in technologies such as advanced materials, stealth technologies, avionics, sensors, and cybersecurity.
Key deterrents to the growth of the market:
India has been unable to attract significant private sector investments in the defense manufacturing industry. Boeing, Airbus, and Lockheed Martin, the powerhouses of A&D industry are responsible for most of the businesses or contracts awarded to A&D OEMs, resulting in fierce competition and industry rivalry.
Content
Table of Contents
Chapter 1: Executive Summary
Chapter 2: Socio-economic Indicators
Chapter 3: Introduction
3.1. Market definition and structure
Chapter 4: Aerospace and Defense Market – An Overview
4.1. Aerospace and defense market – An Overview
4.1.1. Market size (FY 2017 – FY 2021)
Chapter 5: Aerospace and Defense Market – Segmentation
5.1. Aerospace and defense market – Segmentation
5.1.1. Budget of the armed forces (FY 2020 – FY 2021)
5.1.2. Defense budget allocation (FY 2020 – FY 2021)
Chapter 6: Impact of COVID-19
6.1. Impact of COVID-19
Chapter 7: Trade Analysis
7.1. Trade analysis
7.1.1. Export
- Value-wise
- Volume-wise
- Country-wise
7.1.2. Import
- Value-wise
- Volume-wise
- Country-wise
Chapter 8: Government Initiatives
8.1. Government initiatives
Chapter 9: Market Influencers
9.1. Market drivers
9.2. Market challenges
Chapter 10: Impact of Russia-Ukraine war
10.1. Impact of Russia-Ukraine war
Chapter 11: Competitive Landscape
11.1. Bharat Dynamics Limited
- Company information
- Business description
- Products/Services
- Key people
- Financial snapshot
- Key ratios
- Key financial performance indicators
- Key business segments
- Key geographical segments
Note: Financial information covered only for public companies.
11.2. Bharat Electronics Limited
11.3. Reliance Naval and Engineering Limited
11.4. BAE Systems India Services Private Limited
11.5. Boeing India Private Limited
11.6. Brahmos Aerospace Private Limited
11.7. Kalyani Strategic Systems Limited
11.8. L&T Defense
11.9. Tata Advanced Systems Limited
11.10. Tata Power Strategic Engineering Division
Chapter 12: Recent developments
12.1. Recent developments
Chapter 13: Appendix
13.1. Research methodology
13.2. About Netscribes
13.3. Disclaimer
The Aerospace and Defense market offers an appealing and significant opportunity for both, Indian and foreign, companies throughout the supply chain. The ordnance factories and defense public sector undertakings (DPSUs) have been continuously modernizing, upgrading, and expanding their product range with the goal of achieving self-sufficiency in defense production. The aerospace industry in India is expanding rapidly, owing to increased activity in both, the defense and civil aviation, sectors.
Market insights:
The Ministry of Defence (MoD) develops defense and security policies and oversees their implementation by the armed forces (that is, the Army, the Navy, and the Air Force). The MoD invested INR 4856.81 Bn for defense spending in FY 2021, up from INR 3551.50 Bn in FY 2017, an expansion at a compound annual growth rate (CAGR) of 8.14%. This includes expenditures for armed forces and civilian salaries, pensions, armed forces’ modernization, production establishments, maintenance, and its research and development organizations
Impact of COVID-19:
During the first and second wave of COVID-19, the Indian military aerospace and defense (A&D) industry witnessed a slew of policy decisions being made and implemented. The government raised the automatic route limit for foreign investment in the sector and imposed a ban on the import of certain defense items. Companies in commercial aviation were experiencing production disruption and decelerating demand as employees return home, passengers stop travelling, and people halted their travel plans.
Market drivers:
The robust pipeline of new aircraft models and ramp-up of old model production put financial and operational strain on the existing supply chain. Private sector companies showed interest in aerospace as a result of simplified offset norms, changes in defense procurement procedures (DPP), and easing of FDI restrictions. To move up the value chain, the government and private sector collaborated to make strategic investments in technologies such as advanced materials, stealth technologies, avionics, sensors, and cybersecurity.
Key deterrents to the growth of the market:
India has been unable to attract significant private sector investments in the defense manufacturing industry. Boeing, Airbus, and Lockheed Martin, the powerhouses of A&D industry are responsible for most of the businesses or contracts awarded to A&D OEMs, resulting in fierce competition and industry rivalry.
Table of Contents
Chapter 1: Executive Summary
Chapter 2: Socio-economic Indicators
Chapter 3: Introduction
3.1. Market definition and structure
Chapter 4: Aerospace and Defense Market – An Overview
4.1. Aerospace and defense market – An Overview
4.1.1. Market size (FY 2017 – FY 2021)
Chapter 5: Aerospace and Defense Market – Segmentation
5.1. Aerospace and defense market – Segmentation
5.1.1. Budget of the armed forces (FY 2020 – FY 2021)
5.1.2. Defense budget allocation (FY 2020 – FY 2021)
Chapter 6: Impact of COVID-19
6.1. Impact of COVID-19
Chapter 7: Trade Analysis
7.1. Trade analysis
7.1.1. Export
- Value-wise
- Volume-wise
- Country-wise
7.1.2. Import
- Value-wise
- Volume-wise
- Country-wise
Chapter 8: Government Initiatives
8.1. Government initiatives
Chapter 9: Market Influencers
9.1. Market drivers
9.2. Market challenges
Chapter 10: Impact of Russia-Ukraine war
10.1. Impact of Russia-Ukraine war
Chapter 11: Competitive Landscape
11.1. Bharat Dynamics Limited
- Company information
- Business description
- Products/Services
- Key people
- Financial snapshot
- Key ratios
- Key financial performance indicators
- Key business segments
- Key geographical segments
Note: Financial information covered only for public companies.
11.2. Bharat Electronics Limited
11.3. Reliance Naval and Engineering Limited
11.4. BAE Systems India Services Private Limited
11.5. Boeing India Private Limited
11.6. Brahmos Aerospace Private Limited
11.7. Kalyani Strategic Systems Limited
11.8. L&T Defense
11.9. Tata Advanced Systems Limited
11.10. Tata Power Strategic Engineering Division
Chapter 12: Recent developments
12.1. Recent developments
Chapter 13: Appendix
13.1. Research methodology
13.2. About Netscribes
13.3. Disclaimer
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