No import of ammo from next year: Army

No import of ammo from next year: Army

The army is aiming to stop all import of ammunition from the next financial year as the domestic industry has ramped up its capacity to meet all demands and is even poised to bag a chunk of the global market, a senior procurement officer has said.

The army, which was heavily dependent on imports to meet annual requirements till a few years ago, has already found indigenous sources for close to 150 of the 175 types of ammunition it uses while it aims to completely cut off imports by 2025-26. “In the next financial year, we will not have any import of ammunition. Other than in cases where the quantity is too low and it is not economical for the industry to manufacture them,” Maj Gen VK Sharma, ADG (Procurement), Indian Army said. The officer, who was speaking at a seminar on Ammunition Production organised by the PHD Chamber, said that the army currently is purchasing ₹6000-8000 crore worth of ammunition annually, all of which will now come from Indian sources.

With gradual curbs on imports through a negative list, as of now just 5-10% of requirements are met from foreign suppliers.

Besides Ordnance factories, which have now been corporatised, several private sector players have entered the field in the last few years, with new ammunition plants coming up in different parts of the country. The army believes that given the upcoming capacity, Indian companies can become a major player in the international market as well. “As far as world demand is concerned, a market worth over $30 billion is available. At present not even 1% is coming from Indian sources. We have the capacity to come to 5-10% in the next 4-5 years and maybe 25-30% in the future,” Maj Gen Sharma said.

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