Indian government is introducing new set of guidelines for those startups who are working for the development of military department. The defense ministry of India will be supporting those startups which are going to work in favor of military by providing most upgraded weapons and this will decrease the import of weapons from other countries.
The new set of rules stated that those startups who are registered with the Department of Industrial Policy and Promotion (DIPP) under a particular category are automatically eligible to be the part of defense project. Defence Ministry has various categories that need to be work upon such as nanotechnology, things related to virtual reality for renewable energy, aeronautics, green technology on how to work better for environment, Internet of Things (IoT) and robotics.
From 2016 to 2016, India has contributed 13% in imports of global arms and weapons which is actually have the worth of $3.5 billion just to upgrade their Soviet-era military equipment. In a recent report of ET, Indian Govt.has made easy rules for small and big homegrown startups those are supporting defense research project. They had regulated all the rules just to benefit the noble work of startups.
“The project for the development of arms and weapons is not asking a financial backbone of 3 crores not even a separate technology. This is done to encourage participation of other startups.
These rules are going to specify, the three services to shortlist the project that can be beneficial to Defence Ministry of India under a particular category. The Army, Air Force, and Navy have got there 53 projects confirmed by the Defence Ministry under the new rules and regulations.
Till 2011 the production of equipment for defense was totally under the supervision of Government of India but after 2016 it’s was made open for foreign investors to invest to 49% from 26% directly.
Defense Procurement Procedure (DPP) 2016 is focusing on “Making in India” campaign of Narendra Modi and giving most the spotlight to Indian Design, Developed, and Manufactured (IDDM).
They have a large number of startups working for Medtech which is an artificial intelligence and virtual reality/ Augmented reality for helping Defence Ministry of India by providing most updated information about weapons and arms.
This year in January, a Medtech startup named Axio Biosolutions is providing medical information to army had raised USD $7.4 million in Series B funding from India’s most trust name Ratan Tata.