No plans to hike FDI cap in defence sector-min

NEW DELHI: India has no plans to raise the foreign direct investment ceiling in the defence equipment sector, Defence Minister A.K. Antony told parliament in a written reply on Tuesday.

In May the trade ministry had suggested the cap in the sector be raised to 74 per cent from the present 26 per cent, a change which would crowd out many local companies from the lucrative defence equipment market.
India has the world's tenth largest defence budget but imports 70 per cent of its needs.