No import of ammunition from next financial year, says Army

The Indian Army has made a notable announcement that it will cease to import ammunition, apart from specific instances where quantities are unviable for the domestic industry. About 150 of the 175 types of ammunition that the army uses, are already being procured domestically.

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The army plans to cease importing ammunition from the next financial year. According to a senior procurement officer, the domestic industry has increased its capacity to meet demand and is even prepared for capturing a portion of the global market.

Maj Gen VK Sharma, ADG (Procurement), Indian Army said, “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 Sharma informed that the army currently is purchasing Rs. 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 by foreign suppliers.

Until a few years ago, the Army relied heavily on imports to meet annual requirements of ammunition. However, about 150 of the 175 types of ammunition that the army uses, are already being sourced domestically and by 2025–2026, it aims to zero out ammunition imports.

In addition to the now-corporatized Ordnance factories, a number of private sector companies have entered the market in recent years. New ammunition plants are coming up across the country. Given the upcoming capacity, Indian enterprises have the potential to become global players in the sector, according to the army.

Maj Gen Sharma stated, “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.”