Advantage Assam 2.0: Can Assam’s Defence Corridor Dream Turn Into Reality?

Assam’s Advantage Assam 2.0 summit saw companies pledge Rs. 4.91 lakh crore in defence manufacturing, but the extent of investment remains uncertain, with no major foreign companies participating.

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Advantage Assam 2.0: The recent Advantage Assam 2.0 summit brought exciting news for the state. Companies promised to invest a huge amount of Rs. 4.91 lakh crore in different areas. One of the most important areas discussed was defence manufacturing. However, there is still a big question mark over how much of this investment will happen. Even though defence was a key focus, no major defence companies made solid promises to invest.

A defence source, who did not want to be named, said that the Union Defence Minister’s absence at the summit shows that Assam’s defence corridor is still just an idea and not a solid plan yet. While some small defence startups signed agreements, no big foreign companies, like those working in Uttar Pradesh’s defence corridor, joined the event.

Advantage Assam 2.0: What Happens Next?

To make the defence corridor a success, experts suggest forming a special team to lead the project. This team should not just include government officers but also army officials who have experience in defence manufacturing. Retired military personnel could also help guide the plan. The team should visit other defence corridors in Uttar Pradesh and Karnataka to learn from their experiences. This will help Assam create a strong plan and work better with the Ministry of Defence and international defence companies.

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Another important step is to sign a three-way agreement between the Assam government, the Ministry of Defence, and a country known for defence manufacturing. According to Guwahati Plus, this agreement would ensure that the Ministry of Defence buys the products made in Assam’s defence corridor. The state government needs to send this proposal to the Ministry of Defence for approval. Once approved, Assam can start building the necessary infrastructure with help from the Ministry and a foreign partner.

Building the Right Environment for Defence Manufacturing

For a defence corridor to work, Assam needs to provide good land, offer tax benefits, and create a skilled workforce. The state has land in every district, but it needs to decide exactly where the defence units will be set up. The government must also provide tax breaks and build the right infrastructure to attract investors. Partnering with countries that have advanced defence technology will be very important.

Assam also needs to set up training centres and technical institutes to teach people the skills needed for defence manufacturing. Right now, India has two defence corridors—one in Uttar Pradesh and one in Tamil Nadu. These corridors were set up in areas that already had industries related to aerospace and defence. Assam should follow a similar approach and choose locations that already have industrial infrastructure and good transport links.

Assam’s New Defence Policy: A Step Forward

Assam has recently drafted a new Defence Policy, which is expected to clear up questions about investment opportunities and infrastructure needs. An official from the Industry and Commerce department said the government is still figuring out the best locations for defence manufacturing units. Air Chief Marshal (Retd.) Rakesh Kumar Singh Bhaduria, speaking to GPlus, said he is hopeful about Assam’s potential in defence manufacturing. He pointed out that even though no big foreign companies came to the summit, the event helped create a foundation for future investments.

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Dr. Sarag Saikia, who leads Spacefaring Technologies Private Limited, announced that his company will invest Rs. 100 crores in Assam. His company makes Radomes, which are special covers that protect radar equipment. He said the state government will give his company land for a manufacturing unit in the next few months.

Challenges Ahead

Despite the positive steps, there are still many challenges. The defence corridor needs clear plans and faster decision-making from the government. Without big defence companies joining, the project might not move forward quickly. The Ministry of Defence’s support and commitment to buying products from the corridor are very important. Assam also needs better roads, transport, and power supply to support large defence factories. Since Assam is close to international borders, keeping the defence units safe will also be a big task.