Transformative strides in India’s defence ecosystem: A comprehensive overview of 2023 In 2023, the Ministry of Defence (MoD) played a pivotal role in propelling India closer to the government’s vision of a strong, secure, self-reliant, and inclusive nation. Led by Prime Minister Shri Narendra Modi, the year unfolded with unprecedented achievements, particularly in the realms of ‘Aatmanirbharta’ in defence, armed forces modernization, and a steadfast commitment to bolstering the nation’s security.Aatmanirbharta in Defence The release of the Fifth Positive Indigenisation List (PIL) by Raksha Mantri Shri Rajnath Singh marked a strategic move towards enhancing self-sufficiency. Comprising 98 items, including highly complex systems, sensors, weapons, and ammunition, this list outlined a clear path for procuring these items from indigenous sources, aligning with the Defence Acquisition Procedure 2020. Furthermore, according to Ministry of Defence (MoD) defence exports soared to new heights, reaching approximately Rs 16,000 crore in FY 2022-23 – a remarkable increase of Rs 3,000 crore from the previous financial year. This surge, attributed to consistent government policies and the defence industry’s noteworthy contributions, positioned India as an exporter to over 85 countries, showcasing the nation’s prowess in designing and developing defence products. The commitment to ‘Aatmanirbharta’ was further underscored by allocating a record 75 percent (approx. Rs one lakh crore) of the defence capital procurement budget for domestic industries in FY 2023-24. This marked an increase from the previous fiscal year, emphasizing the government’s dedication to supporting and strengthening the indigenous defence sector. A momentous occasion unfolded with the inauguration of the Hindustan Aeronautics Limited (HAL) Helicopter Factory in Tumakuru, Karnataka, by Prime Minister Narendra Modi. This facility, touted as India’s largest helicopter manufacturing unit, is poised to contribute significantly to defence capabilities by initially producing Light Utility Helicopters (LUHs). In another historic event, Prime Minister Shri Narendra Modi took a sortie in the ‘Tejas’ Twin-Seater Light Combat Fighter aircraft. This symbolic flight not only demonstrated the capabilities of indigenous aircraft but also highlighted the Prime Minister’s firsthand witness to the strides made in Indian defence technology. Handing over the first twin-seater Light Combat Aircraft ‘Tejas’ to the Indian Air Force (IAF) marked a significant milestone in advancing India’s defence capabilities. The LCA Tejas, a 4.5 generation aircraft, incorporates contemporary concepts and technologies, showcasing the nation’s prowess in developing cutting-edge defence systems. Additionally, the formal induction of the first C-295 MW transport aircraft into the Indian Air Force further underscored India’s commitment to modernizing its defence fleet. This medium lift tactical aircraft, a result of collaboration between Tata Advanced Systems Limited and Airbus Defence and Space S.A., Spain, is set to replace the aging HS-748 Avro aircraft. The events of this year underscore India’s commitment to being a self-reliant force on the global stage, securing its future in an ever-evolving geopolitical landscape.
Retail inflation in milk was reported at 8.85% in May 2023. The milk inflation has remained elevated at over 6% since August 2022. Despite India being the largest milk producer since 1998, the commodity has been the second biggest factor after cereals such as rice and wheat in driving up retail inflation in the last fiscal.
Milk has the second highest weight in the food and beverages basket of the consumer price index at 6.61%, a notch lower than cereals and products with a 9.67% weight. Organised players, including Mother Dairy and Amul, hiked prices multiple times in the last one year citing higher fodder cost, robust demand and some impact due to reports of lumpy skin disease.
Industry sources said feed cost, which has a share of more than 65% in the cost of production of milk, has increased to Rs 20/kg from Rs 8 a year ago. The finance ministry in April had attributed the elevated milk inflation to a demand supply mismatch and said it could be one of the factors apart from volatile international crude oil prices and constrained supplies of milk would influence the country’s inflation trajectory.
“Milk production has been impacted by a lumpy skin disease infecting millions of cattle in late 2022,” the ministry said in the monthly economic review, adding that the vaccination drive against the disease is expected to curb the spread and immune the cattle against the skin disease.
According to official data, currently India is the world’s largest milk producer, and has a share of 23% in global milk production. For the first time in decades, the country’s milk production is likely to have stagnated in 2022-23 due to Lumpy Skin Disease in cattle across several states and the lagged effect of Covid-19 in the form of stunting of the animals, a senior official with department of animal husbandry and dairying recently had stated. The milk production was estimated at 221 million tonne in 2021-22.