Press Release

Indian Navy and Indian Coast Guard on massive modernisation drive

Apr 05, 2013 Publisher: Global Energy Pvt.Ltd

The Indian Navy and Indian Coast Guard have ambitious plans for major modernisation of India’s blue water and coastal security capabilities. Whilst the Indian Navy has firmed up plans to have a fleet strength of 150 modern warships and 500 aircrafts by 2027, the Indian Coast Guard is expected to triple its maritime size from 100 ships to 300 ships and its air arm from 50 aircraft to 100 aircraft by 2020. The 130 ship strong Indian Navy is currently having 46 new platforms being developed at various shipyards mostly in India and has approval for the development of another 49 warships. It is estimated that the Navy is expected to spend around $50 billion over the next two decades on its new warships. For Naval aircraft acquisitions Boeing has already started delivering the Poseidon P8I platforms that India contracted for its Navy for Maritime Reconnaissance and Anti Submarine Warfare and Russia has also started delivering the 45 MiG 29Ks. The Indian Navy has also come out with Request For Proposal for various kinds of helicopter platforms ranging from Light Utility Helicopters to Multi Role Helicopter. With the Indian Government planning to bring major changes in the Defence Procurement Procedure thereby making it mandatory to give the ‘first right of refusal’ to Indian companies in case of defence manufacturing and with possibilities of India approving the increase of FDI limit in defence sector to 49% from 26% remaining high, the massive modernisation programme of the Indian Navy and Indian Coast Guard opens up major possibilities for global defence companies to set up joint ventures in India and seize the opportunities opening up here.