When Priyanka Singhal stepped into the Defence Research and Development Organisation (DRDO) as a college student scouting for an internship, little did she know that she would leave the prestigious portals with a solid business plan.
What began as a college project soon culminated in 2019 in the birth of a company, Ammunic Systems, focused on developing advanced munitions and electronic fuses.
After successfully demonstrating its products to army and navy authorities, the startup secured significant orders and a thumping entry into the defence manufacturing sector.
Like Ammunic Systems, a host of emerging players in varying sizes are storming the country’s defence manufacturing sector amid efforts to cut import of defence equipment and technology, alongside increasing defence exports to capture a bigger share of the $2.1 trillion global market.
Self-funded start
“The need for self-sufficient defence systems in India, given that most of the existing designs are outdated or imported, was the genesis for my company,” says Singhal.
She bootstrapped the venture using her savings. In the early days of the business, she even traded in electronic components and undertook college projects to generate revenue. Gradually, orders began trickling in from various defence agencies, including the DRDO.
“We secured our first major order in 2023. Recently, we supplied 155 fuses to the Indian Army and are working on the third version of an anti-tank mine incorporating AI and sensors,” she says.
The company manufactures seven to eight defence products, with a projected revenue of $200 million in the current financial year.
“Precision and efficacy in military operations have increased with the use of technology, which is being likened to developing a brain for future defence systems. This change is evidenced by the development and use of advanced weaponry with sensors and GPS capabilities,” she explains.
The company’s supplies include components for aerial warfare systems, including smart fusing systems for umanned aerial vehicles (UAVs). “We are in an era where technology plays a crucial role in warfare. For example, UAVs are used to conduct precision strikes, border patrols, and search-and-rescue missions,” she says.
Winning deals
Ammunic Systems works closely with various user agencies, including army special forces and intelligence agencies. Singhal says the defence manufacturing contracts are secured through tenders and direct procurements, after products are demonstrated to the user agencies for approval.
The company now wants to raise funding as it looks to expand its R&D capabilities. It is in talks with potential investors and startup acceleration programmes to secure funding, and targets increasing its employee count to handle ongoing and future projects.
“The company has developed and delivered four systems for land warfare, with nine under development,” Singhal says.