Describing the Aero India Show 2023 as a great success, Defence Minister Rajnath Singh announced on Wednesday that to provide impetus to the Indian defense industry, 75 percent of procurement for the armed forces will be made from indigenous defense companies.

Addressing a gathering at the valedictory ceremony of the Aero India Show here, Singh said that in the last few years, the respect for the Indian defense industry is increasing.

"The goodwill is so much that the cap of reservation of 68 percent for FY 2022-23 for Indian defense vendors will be increased to 75 percent in FY 2023-24. I repeat that three-fourth of procurement will be from Indian defense vendors. It will amount to Rs 1 lakh crore," Singh said.

"If you take one step towards strengthening the security of the country, the government promises that it will come forward to take 10 steps. The industry has asked for land, we have given the vast sky with full confidence," he said.

In the initial years, the defense industry was given 58 percent of procurement in the Budget. But, exceeding the limit, the procurement reached 64 percent in 2021-22. The government faced flak and criticism for this. In 2022-23, the share was increased to 68 percent," he explained.

Singh also said the Aero India Show will go a long way in strengthening the Indian defense industry.

"This is a new beginning. It has showcased that the Indian defense industry is ready to collaborate with other countries of the world. As many as 1,500 MoUs have been signed in the show, DRDO technology transfer agreements have been made, and important decisions have been taken regarding manufacturing in private and public sector industries. The show has given a push to the defense industry at the global level," the minister said. (KB/IANS)