Latest news with #andAtulyaBharat2047
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First Post
3 days ago
- Business
- First Post
What developed India's defence budget may look like
India's defence budget may rise nearly fivefold to Rs 31.7 trillion by 2047, says a report by CII and KPMG. The country aims for self-reliance by 2032 and top-five exporter status by 2038. Challenges include budget limits, import reliance, and skill gaps. read more India's defence budget is projected to grow significantly over the next two decades. According to a recently released report by the Confederation of Indian Industry (CII) and KPMG India, the budget could rise nearly fivefold to Rs 31.7 trillion (lakh crore) by 2047, up from Rs 6.81 trillion in 2025-26. India aims to enhance self-reliance in defence production by 2032, become a top-five global exporter by 2038, and lead in cutting-edge defence technologies by 2045. However, challenges remain, including budgetary constraints, regulatory hurdles, dependence on imports for critical technologies, and a shortage of skilled manpower. STORY CONTINUES BELOW THIS AD The vision for India's defence industrial sector in a developed India by 2047 is ambitious, aiming for self-reliance, becoming a major exporter, and achieving global leadership in critical niche technologies. It has been outlined in the CII-KPMG India report, titled 'Atmanirbhar, Agrani, and Atulya Bharat 2047'. The percentage of India's total GDP spent on defence is also expected to increase significantly. The report projects that the percentage of total GDP spent on defence will rise from 2 per cent to 4-5 per cent by 2047. This indicates a greater emphasis on defence expenditure relative to the overall size of the economy. Beyond the overall budget, the vision for 2047 includes projections for other key areas of the defence sector: Defence production is anticipated to experience substantial growth, reaching Rs 8.8 lakh crores by 2047, a notable increase from Rs1.6 lakh crores in 2024-25. The document also mentions aspirations to achieve Rs 3 lakh crore in defence production by 2029. Defence exports are projected to see a dramatic rise, reaching Rs 2.8 lakh crores in 2047. This is a significant leap from Rs 30,000 crores in 2024-25, reflecting the ambition to become a major exporter. The capital expenditure of the budget is expected to increase from 27 per cent to 40 per cent by 2047. This suggests a greater focus on investments in modernising the armed forces and developing indigenous military technologies. STORY CONTINUES BELOW THIS AD Total R&D spend is projected to increase from 4 per cent to 8-10 per cent by 2047. This aligns with the strategic vector of achieving global leadership in critical niche technologies and the need for increased investment in defence R&D. The document notes that leading nations spend 10-15 per cent of their defence expenditures on R&D. These projected milestones are linked to the achievement of key strategic vectors outlined in the vision. These are like conditions to be met for achieving the 2047 goals: Achieve enhanced self-reliance in defence capabilities by 2032: This involves reducing dependence on foreign suppliers and fostering indigenous development through R&D and manufacturing. Become a major exporter by 2038: The aim is to be among the top five global exporters of defence equipment and technology through expanding international partnerships and promoting Indian products. Achieve global leadership in critical niche technologies by 2045: This focuses on pioneering advancements in cutting-edge technologies like AI, quantum computing, and cyber defence through collaboration and substantial R&D investments. Achieving this transformative vision requires collaborative efforts from various stakeholders, including government bodies, the armed forces, academic institutions, industry leaders, and global partners. The document emphasises the need to address critical gaps in areas such as R&D, talent development, production capabilities, regulatory frameworks, partnerships, and infrastructure development to realise these goals. The projected defence budget and related milestones for 2047 reflect a strong commitment to transforming India's defence sector into a self-reliant, globally competitive powerhouse.
Hans India
3 days ago
- Business
- Hans India
India's defence production projected to jump 6-fold to Rs 8.8 lakh crore in 2047
The country's defence production is expected to surge over six-fold to Rs 8.8 lakh crore in 2047 from Rs 1.46 lakh crore in 2024-25, according to a report compiled by the Confederation of Indian Industry (CII) and KPMG India. India's annual defence budget could increase around five-fold to Rs 31.7 lakh crore in 2047, from Rs 6.81 lakh crore currently allocated for financial year 2025-26. The report — titled 'Atmanirbhar, Agrani, and Atulya Bharat 2047' — released at the CII annual business summit here, estimates India's defence exports to rise to Rs 2.8 lakh crore in 2047, which represents a nearly 12-fold jump compared to the corresponding figure of Rs 24,000 crore for 2024-25. The report pegs the country's total defence expenditure at 4.5 per cnet of GDP for 2047, up from 2 per cent of GDP at present. The allocation for R&D (research and development) in the defence budget is also expected to from 4 per cent at present to 8-10 per cent as the country pursues the development of cutting-edge technology for military hardware. The report observes that achieving the vision of India as a developed nation by 2047 with a strengthened defence sector, faces some challenges. However, promoting robust public-private partnerships is necessary and incentives are required to encourage the private sector enter and sustain in the defence manufacturing domain. 'Intellectual property (IP) rights and technology-transfer issues with foreign collaborators also present obstacles in achieving self-reliance. Addressing these challenges requires strategic planning, increased budget allocations, streamlined procedures, robust policy frameworks, and fostering a culture of innovation and collaboration between the public and private sectors,' the report states. Highlighting India's aspirations to emerge as a leading nation in the global defence hierarchy, the report identifies 'strategic vectors' with specific timelines to achieve this goal. The vectors include achieving enhanced self-reliance in defence production and capabilities by 2032, by targeting critical areas for comprehensive indigenous development, reducing dependence on foreign suppliers, and fostering innovation through domestic R&D and manufacturing excellence. The report further states that by 2038, India should aim to become one of the top-five global exporters of high-quality defence equipment and technology by expanding international partnerships, meeting global standards, and vigorously promoting defence products in international markets. It fixes a 2045 target for India to become a world leader in developing and deploying cutting-edge niche technologies across the defence sector, by encouraging collaboration between industry, academia, and government, and driving substantial investments in futuristic R&D. By committing to these vectors, India can turn its aspirations into reality, the report added.
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Business Standard
3 days ago
- Business
- Business Standard
India's defence budget may near Rs 32 trillion by 2047: CII-KPMG report
India's defence budget could rise a little under fivefold to Rs 31.7 trillion in 2047 from Rs 6.81 trillion in 2025-26 (FY26), with defence production increasing over sixfold to Rs 8.8 trillion from Rs 1.46 trillion in FY25, suggest the Defence Industrial Sector Vision 2047 report of the Confederation of Indian Industry (CII) and KPMG India. The report — titled 'Atmanirbhar, Agrani, and Atulya Bharat 2047' — unveiled on Thursday at the CII Annual Business Summit in New Delhi, also estimates India's defence exports to rise to Rs 2.8 trillion in 2047, up nearly twelvefold from Rs 24,000 crore in FY25. Similarly, total research and development (R&D) expenditure could jump from 4 per cent of the defence budget at present to 8-10 per cent, and defence spend could increase from 2 per cent of gross domestic product (GDP) to 4-5 per cent. Terming these figures milestones, the report underlines three conditions that have to be met in the coming years to achieve these. The report notes that achieving the vision of India as a developed nation by 2047, particularly through a strengthened defence sector, faces several roadblocks and challenges: 'Budgetary constraints could limit the necessary investments in modernising the armed forces and developing indigenous military technologies. Additionally, regulatory red tape and procedural quagmire often slow down defence procurement and indigenous R&D initiatives, creating inefficiencies. Dependence on defence imports for critical technologies remains a significant challenge, hindering self-reliance and innovation... Furthermore, there is a shortage of skilled manpower to drive advanced technological developments and manage sophisticated defence systems.' Stating that fostering robust public-private partnerships is necessary, the report argues this remains challenging because the private sector needs incentives and support to enter and sustain in the defence manufacturing domain. 'Intellectual property (IP) rights and technology-transfer issues with foreign collaborators also present obstacles in achieving self-reliance. Addressing these challenges requires strategic planning, increased Budget allocations, streamlined procedures, robust policy frameworks, and fostering a culture of innovation and collaboration between the public and private sectors.' Highlighting India's aspirations to emerge as a leading nation in the global defence hierarchy, the report lists 'strategic vectors' that break down this vision into three specific objectives. First, the report calls for achieving enhanced self-reliance in defence production and capabilities by 2032, by targeting critical areas for comprehensive indigenous development, reducing dependence on foreign suppliers, and fostering innovation through domestic R&D and manufacturing excellence. Second, by 2038, the report sees India becoming one of the top-five global exporters of high-quality defence equipment and technology by expanding international partnerships, meeting global standards, and vigorously promoting defence products in international markets. Third, by 2045, it calls on India to become a world leader in developing and deploying cutting-edge niche technologies across the defence sector, by encouraging collaboration between industry, academia, and government, and driving substantial investments in futuristic R&D.
