5 defence companies along with Uttar Pradesh Expressways Industrial Development signs a joint venture with Ministry of Defence

The main objective of this joint venture is to provide a significant boost to indigenous research, development, and manufacturing in the Indian defence sector.

A consortium of five companies along with Uttar Pradesh Expressways Industrial Development signed a joint venture agreement to establish a Section 8 Company under the Companies Act, 2013. This company will be formed under the Defence Testing Infrastructure Scheme (DTIS) implemented by the Department of Defence Production, Ministry of Defence. The five companies involved are:

Mishra Dhatu Nigam Limited (MIDHANI)

Mishra Dhatu Nigam Ltd (MIDHANI), a Government of India enterprise founded in 1973, manufactures critical metals for defence and other strategic sectors like aerospace and energy. They are the sole producer of titanium in India and offer a wide range of products including superalloys, special steels, and titanium alloys. The company’s order book stands at Rs 1,750 crore.

Bharat Dynamics Limited (BDL)

Bharat Dynamics Limited (BDL), a Government of India enterprise founded in 1970, manufactures guided missiles and other defence equipment for the Indian Armed Forces. Established under the Ministry of Defence, BDL is the country's sole manufacturer of missiles and torpedoes and has played a key role in successful defence projects like the Prithvi missile. The company’s order book stands at Rs 20,007 crore as of January 31, 2024.

Hindustan Aeronautics Limited (HAL)

Hindustan Aeronautics Limited (HAL) is a crucial player in India's defence sector, specializing in the design, development, manufacturing, repair, and maintenance of a wide range of aircraft and helicopters for both military and civilian use. The company’s order book stands at Rs 81,784 crore as of March 31, 2024.

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Yantra India Limited

Yantra India Limited is a Indian major state-owned defence production PSU, headquartered in Nagpur, India. Established in 2021 as part of the government’s restructuring and corporatisation of the Ordnance Factory Board into seven different Public Sector Undertakings - the company consists of eight defence manufacturing factory units indigenously catering to the needs of supplies, arms, explosives, artillery and munition for the Indian Armed Forces.

PTC Industries Limited

PTC Industries Ltd, founded in 1963, is a leading Indian manufacturer of metal components for critical applications in defence, oil & gas, and other demanding industries. They specialize in castings, machined parts, and fabricated components using a variety of alloys including titanium, stainless steel, and heat-resistant steel.

The proposed name for the new company is "Advanced Materials (Defence) Testing Foundation," though a similar name might be chosen upon registration with the Ministry of Corporate Affairs. The main objective of this joint venture is to provide a significant boost to indigenous research, development, and manufacturing in the Indian defence sector. There will be a particular focus on encouraging the participation of small and medium-sized enterprises (MSMEs) and startups by providing them with access to advanced testing facilities.

Disclaimer: The article is for informational purposes only and not investment advice.