Small Arms and Ammunition Story - Response from Sanjay Soni - Director, Hughes Precision Mfg Pvt Ltd

Do you see potential in the Indian small arms and ammunition market? Your comment on recent policy
developments as announced by the government.

Ans. There is a huge potential in the Indian small arms and ammunition market. The recent policy
developments are very positive for the sector and will give a boost to the local defence industry.

Do you use indigenous technology for ammunition manufacturing or it’s through transfer of technology
arrangement with your joint venture partner? Kindly elaborate.

Ans. We do not have a transfer of technology arrangement with a JV partner. However, the technology
we are using is from the USA and is already being used by other manufacturers in the US and in other
countries. The technology lends itself to manufacturing with a high degree of automation and precision.
The setup and changeover time between production runs of different calibres is minimal thus enabling
us to meet demand for a range of calibres from the same machines. The manufacturing technology has
inbuilt quality checks at every step resulting in very high throughput with extremely low rejection rates.
Unlike traditional ammunition manufacturing which is heavily manpower dependent, the technology we
have adopted is highly automated.

What do you think are the biggest obstacles faced by small arms and ammunition manufacturers in
India?

Ans. One of the biggest obstacles is the complicated defense procurement procedure which are
extremely difficult for MSME’s to navigate. Secondly, the DGQA doesn’t have updated specifications and
continue to follow antiquated testing procedures for small arms and ammunition. The procurement
cycles are also very long and can take years. How does a manufacturer sustain in the interim is a
question most entrepreneurs looking to get into this field are faced with.
. Tell us about your current manufacturing capacity, the product range, firm orders and future expansion
plans. Do you plan to export in near future?

Ans. Our current manufacturing capacity is 70 lakh rounds a year. The product range starts from the 9x19
mm and goes upto the 12.7x108mm cartridge which is used in anti-aircraft guns. We also manufacture
different type of bullets such as FMJ, Ball and Armor Piercing. We have received orders from UAE, Russia
and Czech Republic already. In addition, we have bid for the Indian Army tender for 4.34 million rounds
and have enquiries from several other domestic and international customers as well. We will be
exporting a major part of our production and that is the reason for setting up the company as an EOU.
We are producing cartridges to NATO specifications and testing is carried out as per NATO standards.
Therefore, we will be supplying cartridges of the highest international quality to the Indian armed and
paramilitary forces.