Jayant Patil, senior VP, Defence & Aerospace, L&T, shares with BW his group’s plans in this space. Edited excerpts:
On India as a producing baseThe steps initiated by the current administration can transform India, cut dependence on imports and progressively build exports to make the defence sector import neutral in less than a decade.
On make in IndiaIt is important that Make in India in defence focuses on developing technologies in the long term rather than limiting its mandate to just boost the manufacturing segment.
On India boosting arms exports 20-fold in a decade to $3 billionPresently, L&T is pursuing multiple defence export prospects in S-E Asia, the Middle East, Bangladesh, Sri Lanka, Africa, besides a few other friendly nations, based on the government’s clearances for export of some systems. These promise to build volumes progressively.
On the possibility of the private sector picking a 25 per cent share in defence production
Of the 17 systems indigenously designed and supplied by L&T to MoD, indigenous component is at least as much as 70 per cent, and in a few specific programmes it is around 90 per cent. But, as a nation, we still have a long way to go. The example only substantiates that the new policy initiative is the right process to meet our defence requirements.
On products L&T is seeking to manufactureWe have 17 systems today in serial production and the number is growing. We are today capable of building ‘system of systems’ — say for instance, a submarine, a ship, a complete communication solution; or a FICV and a whole variety of weapon turrets.
L&T has participated in a large number of the Global RFPs for complex weapon systems, radar systems and platforms. To give you an example, the K9 Tracked SP Gun System jointly developed by L&T in collaboration with Samsung Techwin (Hanwa) of S. Korea emerged as the only gun system to qualify the user evaluation trials meeting the stringent technical requirements with no non-conformities, a first in many decades in India. Another example is the Towed Gun Programme where we partnered with Nexter Systems to co-develop a new towed gun system with clear work share and joint system integration.
On the group’s business targetsWith the current policies under implementation, we hope to see order inflow of up to Rs 50,000 crore over the next 3-4 years with revenues close to Rs 8,000 crore to Rs 10,000 crore. We expect some major programmes to fructify soon, including the Tracked Gun System, Military Communication Station Project, Akash missile propulsion airframes and launchers for the Air Force, Army Bridging Systems, naval weapon systems. On the ship building front, some of the major programmes which are likely to be ordered during the next two years include the Landing Platform Dock, ASW Corvettes, large survey vessels, multi-purpose vessels, diving support vessels. We are also looking forward to major refits of submarines and warships.
BW Reporters
Suman K Jha was the deputy editor with BW Businessworld
