Adani Group Unveils ₹3,000 Crore Investment in Mega Ammunition Factories
Two Defense Facilities in Northern India to Boost Self-Reliance in Arms Manufacturing
Uttar Pradesh, 27 February : The Adani Group, led by billionaire Gautam Adani, has initiated a significant stride towards bolstering India’s self-reliance in arms manufacturing with a ₹3,000 crore ($362 million) investment in two defense facilities in northern India. Constructed by Adani Defence & Aerospace, a subsidiary of the Adani Group, these facilities cover 500 acres in Uttar Pradesh’s Kanpur.
The newly established factories are geared to produce small, medium, and large caliber ammunition catering to the needs of the armed forces, paramilitary forces, and police. Karan Adani, the founder’s son overseeing the defense business, revealed that these facilities aim to produce 150 million rounds of ammunition annually, fulfilling approximately a quarter of India’s requirements.
During the inauguration on Monday, Karan Adani emphasized the significance of reducing India’s heavy dependence on imports for defense requirements. Prime Minister Narendra Modi’s push to boost indigenous manufacturing aligns with the Adani Group’s strategic move to contribute to this vision.
The manufacturing facility is anticipated to generate over 4,000 jobs, a substantial boost to employment in the region. Looking ahead, the Adani Group plans to increase its production capacity, aiming to manufacture 200,000 rounds annually of large caliber artillery and tank ammunition by 2025, followed by five million rounds of medium caliber ammunition a year later. The facility will also have capabilities to produce short-range and long-range missiles.
Karan Adani, who also serves as the chief executive director of Adani Ports and Special Economic Zone Ltd, highlighted the constraints posed by India’s heavy reliance on defense imports, emphasizing the impact on both strategic autonomy and economic potential. The conglomerate’s foray into arms manufacturing, which already includes drones, anti-drone systems, light machine guns, assault rifles, and pistols, aligns with the broader national agenda of promoting indigenous defense production.
As India seeks to reduce its reliance on imports and enhance its defense capabilities, the Adani Group’s substantial investment in these mega ammunition factories stands as a significant step towards achieving these goals.
