DOI: https://doi.org/10.32515/2663-1636.2024.12(45).47-54

Military and Economic Policy of India: Preconditions of its Formation and Prospects for the Development

Iryna Shapoval

About the Authors

Iryna Shapoval, PhD in Economy, Leading scientist of scientific-methods center, Evhenii Berezniak Military Academy, Kyiv, Ukraine, ORCID: https://orcid.org/0000-0001-8462-9815, e-mail: i.shapoval.2019@gmail.com

Abstract

The theoretical foundations of India's modern military and economic policy formation are surveyed in the paper. It is determined that the formation of modern military and economic policy of India began after the liberation of the state from British colonial dependence and the state's gaining of its independence in 1947 and is divided into five historical stages. Considering the above mentioned, the following main preconditions for the formation of modern military-economic policy of India are highlighted: designation of self-sufficiency as a general economic direction of industrial development of the state (1947 - mid-1960s); taking into account the approach of self-sufficiency, tending to transition to self-reliance in the needs necessary for its own defense production (mid-1960s - 1980s); the insufficiency of own production capacities to meet the growing needs of the national Armed Forces and the respective need to involve domestic state defense enterprises in co-production of military products with foreign companies (1980s - early 2000s); the need to attract flexible and reliable partners to fulfill offset obligations while setting up their own defense production (2000-2014); the need to find a cooperation model acceptable for simplifying doing business for the private sector in order to expand public-private partnership in the defense industry (2014 - until now). In order to expand the participation of the private sector in defense production, the government has introduced a number of measures to simplify doing business. This indicates that the private sector, which has so far been marginalized, will play no less important a role in India's defense production sector than the state-owned one. It has been determined that the further trend in the development of India's military-economic policy will be the expansion of public-private partnerships in the national defense industry.

Keywords

military and economic policy of India, defense industrialization, self-sufficiency approach, defense industry, co-production

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Copyright (c) 2024 Iryna Shapoval