A total of 584 Industrial Licenses have been issued to 358 companies for manufacturing various defence items. Defence industry sector was opened up to 100 percent for Indian private sector participation in May 2001.

Minister of State for Defence Ajay Bhatt said this in a written reply to a question in Lok Sabha today. He said, the initial validity of the industrial license granted under the Industries (Development and Regulation) Act has also been increased from three to 15 years. Mr. Bhatt said, in order to give a push to domestic defence industry, government has taken several policy initiatives in the past few years and brought in reforms to encourage indigenous design, development, and manufacture of defence equipment in the country.