STRENGTHENING INDIA'S DEFENCE CAPABILITIES
THROUGH INDIGENOUS INNOVATION

In 2014, with the guidance of the Hon'ble Prime Minister of India, the “Make in India” initiative was launched to make India a global hub for Manufacturing and Innovation, and to encourage foreign investment in India.

In March 2016, the Indian Ministry of Defence introduced a revised Defence Procurement Procedure (DPP) to accelerate the 'Make in India' initiative in the Defence sector. A key highlight of this revision was the introduction of the IDDM (Indigenously Designed, Developed, and Manufactured) category, now the highest priority in procurement. This new category takes precedence over the existing acquisition options— ‘Buy (Indian)’, ‘Buy and Make (Indian)’, ‘Buy and Make’, and ‘Buy (Global)’—to promote indigenous design capabilities and increase localisation across Defence manufacturing. The revised policy aims to streamline procurement timelines and also underscores the Government’s commitment to strengthening domestic industry participation, particularly from the private sector. 

This shift in policy played a pivotal role in solidifying the partnership between L&T and MBDA, leading to the formation of L&T MBDA Missile Systems Limited—a joint venture established to serve the growing need of the Indian Armed Forces for advanced guided weapon systems. L&T, a leader in India’s private Defence manufacturing landscape, brings extensive expertise in high-technology systems; while MBDA brings its global Defence technology leadership and a long-standing commitment to working as a partner to enhance India’s Defence ecosystem.

Building on DPP-2016, the Government introduced the Defence Acquisition Procedure (DAP) in the year 2020, which reaffirmed and strengthened the IDDM category. Also, DAP-2020 further streamlined processes, encouraged technology transfer, and reinforced the focus on self-reliance and indigenisation throughout the acquisition lifecycle. The Govt. of India has ensured that the nation marches towards self-reliance. Aligning with “Aatmanirbhar Bharat” the Indian Defence market is clearly transforming towards indigenous capability building, production and life support.

L&T MBDA Missile Systems Limited is strategically positioned to deliver cutting-edge solutions under the IDDM, Buy (Indian), and Buy and Make (Indian) categories. This approach offers the Indian Armed Forces flexibility, while ensuring access to the world’s most advanced guided weapon systems using the expertise of an Indian private sector major.