How to start a defense contracts company in India ?

527 votes

Honestly I did not get the question so I am answering it based on the guess which I can make out of it.
1. If you want to have a company which will be engaged in manufacturing of defense equipments - you need to get your company registered with MCA, have to get the Tax registration done of the company, have to comply with the Labour and industrial laws, and environmental laws. Moresoever you are also required to take special permission from the Government of India particularly with the Ministry of Defense as in India defense it totally owned by the government and any business is allowed only if you have the permission from the defense ministry.
If you want to establish a security agency company - you to follow all the above steps sans the compliance required under environmental laws and the permission required by the Ministry of Defense. Rather you are required to take another permission for starting a security providing company.

Advocate Pulkit Prakash LawRato

987 votes

The defence procurement is governed by the Defence Procurement Procedure (DPP 2016). The key objectives of the defence offset policy is to leverage capital acquisitions to develop the domestic defence industry. Mandatory offset requirements of a minimum of 30% for procurement of defence equipment in excess of USD 307.69 million have been envisaged. The initial validity period of industrial licenses has been increased from 3 years to 15 years with a provision to grant extension for a period of 3 years. Guidelines for the extension of validity of industrial licenses have been issued. Partial commencement of production is treated as commencement of production of all the items included in the license.

LawRato LawRato

836 votes

Dear Sir
I would like to inform you that the registration of the company for defense contracts can be done in Registrar of companies with proper documentation and carefully drafting of the MOA ( memorandum of association) and AOA (article of Association) but you would require to get the approval or licence from the ministry for commencement of your production as it is restricted by the government to produce defense items.

Thank you

Advocate Tarundeep Singh LawRato