Michael Lima, D.B.A., is an Ammunition Warrant Officer and has served 21 years in the United States military.  He can be found on Twitter @Mike_k_Lima and provides pro bono consulting in munitions and explosives safety on MikeLimaConsulting.org.  Divergent Options’ content does not contain information of an official nature, nor does the content represent the official position of any government, any organization, or any group.


Title:  Assessing How India’s ‘Fourth Arm of Defence’ Decreased the United States’ Munitions

Date Originally Written:  April 16, 2020.

Date Originally Published:  June 1, 2020.

Author and / or Article Point of View:  The author believes in India’s growing military-industrial complex. The article’s point of view is from India towards the United States’ defense security cooperation programs.

Summary:  India has a growing military-industrial complex that includes state-owned enterprises, and has been less reliant on the United States and Russia for munitions production. This complex simultaneously builds political ties with other nations and builds partners and allies in the world. Surround by hostile nations and increasing its industrial base, India increased its internal strength and therefore its influence.

Text:  Mohandas Gandhi said that “Democracy necessarily means a conflict of will and ideas, involving sometimes a war of the knife between different ideas.” He is one of India’s most famous leaders who believed in non-violence, and successfully lead independence from the British without using a gun.

When the discussion of a nation’s industrial base for arms production comes around, three countries come to mind, the United States, China, and Russia. One country that is not associated with arms production in the world stage is the Republic of India. But in 2017, Indian companies ranked in the Top 100 categorized by Stockholm International Peace Research Institute as an emerging producer nation[1]. The achievement in production was due to a combination of defense production facilities and state-owned enterprises. The ‘Make in India’ nation-building initiative has transformed India into a global manufacturing hub[2]. India has shown the ability to produce and export at an international level, but its efforts are concentrated towards internal ordnance production known as its ‘Fourth Arm of Defence.’

At the heart of the Indian ordnance production is the Ordnance Factory Board, under the direction of the Department of Defence Production. This government organization is responsible for vertical integration of munitions with 41 factories, nine training institutes, three regional marketing centers, and four regional Controllers of Safety[3]. The board is one of the oldest and dates to the 1775 colonial period, with the East India Company of England and British authorities’ establishment of Board of Ordnance[4]. Along with the defense facilitates, additional facilities are run by state-owned enterprises such as Hindusthan Aeronautics Limited, Bharat Electronics Limited, and Bharat Dynamics Limited. These enterprises make up most of India’s arms production. With this amount of production, it is difficult to understand why India needs the United States’ armament.

The United States is the second-largest arms supplier to India, and Russia being the first[5]. Through the Defense Security Cooperation Agency, the United States supports India with major aircraft programs such as AH-64E Apaches and C-17 Globemaster III[6], and sales of armament as the AGM-84L Harpoon Block II air-launched missiles[7]. The Federal Service for Military and Technical Cooperation of Russia assists India with larger weapon systems such as the T-90S tanks[8] and Russian S-400 surface to air missile systems[9]. The Indian government, with an impressive military-industrial complex, does not yet have the same capabilities as its two leading importers. The Republic of India does a balancing act of building relationships with both the United States and the Russian government while having contested borders with China. Also, of note politically is India’s near war with its main rival Pakistan over the Jammu and Kashmir region[10]. These circumstances have driven India to be independent and less reliant on external support.

The United States arms exports to India decreased by 51%, and Russian arms exports to India were reduced by 47% between the periods of 2010–14 and 2015–19. [11] The ability for India to have major ownership of the supply chain of the military-industrial complex, allows India to produce munitions systems comparable to the United States and Russia. This, in turn, brings about the success required to decrease import sales from both countries. Between 2010–14 and 2015–19, India’s overall arms imports decreased by 32%, which aligns with their stated objective to produce their own major arms, but still have plans for the imports of major systems[12].

Even with an overall decrease in imports, India continues to increase arms imports from other major powers like Israel and France by 175 and 71%, respectively, in the same time frame. Simultaneously reducing dependency on world superpowers and building political ties with other strategic and critical partners throughout the geopolitical spectrum. Additionally, India managed to have an increase of 426% of arms to smaller countries such as Myanmar, Sri Lanka, and Mauritius[13]. Showing the capability of their industrial complex to produce and export.

The United States and India have a partnership based on shared values, including democratic principles, and the U.S. supports India’s emergence as a leading global power to ensure regional peace in the Indo-Pacific[14]. With the acknowledgment of India’s advancement as a superpower, the United States will eventually concede that its partner has a military-industrial complex that can rival its own. State-owned enterprises increased the capacity of India’s defense production and technical expertise. While the United States is a leading arms exporter to India, working with India to use both U.S. and Indian arms exporting as an instrument of influence within the Indo-Pacific, will likely be required to offset China’s rise.


Endnotes:

[1] The SIPRI Top 100 Arms-producing and Military Services Companies, 2017. (2018). Retrieved April 15, 2020, from https://www.sipri.org/publications/2018/sipri-fact-sheets/sipri-top-100-arms-producing-and-military-services-companies-2017

[2] Ordnance Factory Board. About Us. (n.d.). Retrieved April 15, 2020, from https://www.makeinindia.com/about

[3] Ordnance Factory Board. OFB in Brief. (n.d.). Retrieved April 15, 2020, from https://ofbindia.gov.in/pages/ofb-in-brief

[4] Ordnance Factory Board. https://ofbindia.gov.in/pages/history

[5] Pubby, M. (2020, March 10). In a first, India figures on arms exporters list. Retrieved April 15, 2020, from https://economictimes.indiatimes.com/news/defence/in-a-first-india-figures-on-arms-exporters-list/articleshow/74557571.cms

[6] The Official Home of the Defense Security Cooperation Agency. India. (n.d.). Retrieved April 15, 2020, from https://www.dsca.mil/tags/india

[7] Ibid.

[8] The Moscow Times. (2019, April 09). India to Buy Over 450 Russian Tanks Worth $2Bln – Reports. Retrieved April 15, 2020, from https://www.themoscowtimes.com/2019/04/09/india-to-buy-over-450-russian-tanks-worth-2bln-reports-a65146

[9] The Moscow Times. (2019, September 05). India’s Russian Arms Purchases Hit’ Breakthrough’ $14.5Bln, Official Says. Retrieved April 15, 2020, from https://www.themoscowtimes.com/2019/09/05/indias-russian-arms-purchases-hit-breakthrough-145bln-official-says-a67153

[10] Kugelman, M. (2019, December 31). India and Pakistan Are Edging Closer to War in 2020. Retrieved April 16, 2020, from https://foreignpolicy.com/2019/12/31/afghanistan-taliban-nuclear-india-pakistan-edging-closer-war-2020

[11] Wezeman, P. D., Fleurant, A., Kuimova, A., Lopes da Silva, D., Tian, N., & Wezeman, S. T. (2020, March). Trends in International Arms Transfers, 2019. Retrieved April 16, 2020, from https://www.sipri.org/publications/2020/sipri-fact-sheets/trends-international-arms-transfers-2019

[12] Wezeman, P. D., Fleurant, A., Kuimova, A., Lopes da Silva, D., Tian, N., & Wezeman, S. T. (2020, March). Trends in International Arms Transfers, 2019. Retrieved April 16, 2020, from https://www.sipri.org/publications/2020/sipri-fact-sheets/trends-international-arms-transfers-2019

[13] Wezeman, P. D., Fleurant, A., Kuimova, A., Lopes da Silva, D., Tian, N., & Wezeman, S. T. (2020, March). Trends in International Arms Transfers, 2019. Retrieved April 16, 2020, from https://www.sipri.org/publications/2020/sipri-fact-sheets/trends-international-arms-transfers-2019

[14] U.S. Relations With India – United States Department of State. (2019, June 21). Retrieved April 16, 2020, from https://www.state.gov/u-s-relations-with-india