Fourteen Tata Group companies operating in the Defence and aerospace sector have a combined order book in excess of $1.6 billion.
“All these 14 companies having both Indian and foreign collaborative programmes have seen a revenue of $400 million this fiscal,” said Mukund G Rajan, brand custodian and Chief Ethics Officer, Tata Sons.
“These numbers are higher than the cumulative FDI the segment received in the whole country. In the last few years, the country has received $4.94 million FDI inflow into the Defence and aerospace sector,” he added.
In 2013-14, these companies, including TAL Manufacturing, Tata Power SED, Tata Technologies and Tata Advance Systems, invested around $50 million in the Defence and aerospace sector.
“On the export front, we are taking small but promising steps. So far we have made inroads into the US, the UK and Germany,” said Rajan. TAL Manufacturing Solutions, a 100 per cent subsidiary of Tata Motors, has been delivering manufacturing solutions to customers in aerospace, automotive, heavy engineering and Defence.
According to Rajesh Khatri, ED and CEO, TAL, the total order book of the company is at ₹2,310 crore.
The company has commenced supply of advanced composite floor beam to Boeing 787-9 Dreamliner, making it the only supplier outside the US to do so. The order is worth ₹1,200 crore.
The company has also received orders from RUAG Aerostructures for supply of components and assemblies for A320. Tata Power SED (Strategic Engineering Division) has emerged a prime aerospace and Defence contractor in India with a focus on control over technology. The company has an order pipeline of ₹2,300 crore, said Rahul Chaudhry, CEO.
“By 2025, we are targeting to cater to 70 per cent of overall combat force of India and 97 per cent of the Army’s combat force,” said Chaudhry.
Tata Technologies, another group firm, has a heavy footprint in the aerospace sector right from concept design to manufacturing.
According to Aditya Roy Choudhury, president global delivery, Tata Technologies, the company’s investments in the last six years are on high performance computing systems, a joint venture with HAL and an aerospace delivery centre in Bengaluru.
Tata Advance Systems focuses on seven areas – missiles radars, aerospace, optronics, UAV, homeland security, and command and control.
According to Sukaran Singh, CEO, Tata Advance Systems: “The company’s revenue for FY2013-14 stood at ₹430 crore and for FY 2014-15 it is estimated at ₹800 crore. Order book is around ₹4,500 crore.”