Adani Group has allocated Rs 7,000 crore to enhance its presence in India’s ammunition sector. Their focus is on a 500-acre facility near Kanpur, where Adani Defence is producing small caliber ammunition. Currently, the facility has a production capacity of 150 million rounds annually, with intentions to increase this capacity to 500 million rounds per year.
The Kanpur facility plays a crucial role in Adani Defence’s strategy for ammunition manufacturing. The company is enhancing its production capabilities to better meet the needs of the domestic market, as reported by Moneycontrol.
The 500-acre Kanpur site is the manufacturing base for Adani Defence’s small caliber ammunition, featuring a scalable design intended to support an increase in production volume in the future.
Adani Defence is currently engaged in the manufacturing of small caliber ammunition, showcasing its capability to produce various dimensions of rounds, thereby positioning the company to satisfy diverse requirements within the sector. The facility has an impressive annual output of 150 million rounds, underscoring Adani Defence’s established role in the industry. To further its growth ambitions, the company has outlined a scalability plan aimed at enhancing production capacity to 500 million rounds annually, which represents a strategic goal to triple its output in the near future.
Ashok Wadhawan, the Group head of land systems, defence, and aerospace, announced that the firm intends to manufacture medium and large caliber ammunition at its facility. The large caliber production is anticipated to commence in the next few months, while the medium caliber plant is projected to be operational by January 2027.
The primary issue concerning explosive materials in India is the monopoly of Munitions India Ltd., the sole significant supplier, which is a public sector undertaking (PSU). This company faces constraints due to its limited production capacity and existing export obligations. Wadhawan highlighted that the shortage in energetics is a contributing factor to the Group’s decision to pursue further integration of its products.
There is a significant shortage of energetics, with international order deliveries potentially delayed until 2027. To mitigate this issue, capacities have been booked with various suppliers abroad. However, some regions, particularly in Europe, face challenges in exporting due to prioritizing their internal supply needs. In response to the refusal of supply from several countries, a product was developed in India over a nine-month period, as articulated by Wadhawan.
The firm recently highlighted the urgency for advanced offensive technologies, citing conflicts like Operation Sindoor, Gaza, and Ukraine. To meet this need, they are developing drones in Hyderabad and collaborating with Israel’s Elbit Systems. The company has also established a design-cum-production partnership with the Defence Research and Development Organisation (DRDO) and is seeking additional international partnerships for technology transfer and production. They are actively engaging with firms from countries such as France, Israel, and Russia, emphasizing partnerships that will facilitate technology production within India.
