Market Potential

Both the Federal and State Governments in India face serious challenges in countering internal problems in the Country. The Naxalite movement combined with militancy in Punjab, terrorism in Jammu and Kashmir plus insurgency issues in the North-East pose formidable tasks for Police and internal security forces throughout the country. The attack on two luxury hotels in Mumbai in November 2008 reminded everyone that the threats to peace and security in the country remain very real.

In an effort to ensure security and para-military forces are able to handle any future threats, the Federal and State Governments have increased their security budgets by many folds. For example, the Central Reserve Police Force was allocated US$1.44 billion in 2009 against US$1.1 billion in 2008 an increase of US$340 million, whilst the Border Security Force was allocated an additional US$231 million in 2009 over their 2008 budget of US$1.07 billion.

The Homeland Security budget, for both Federal and State for this year alone has been increased by 35% to US$28.34 billion. The projections for the next 5 years are anticipated to be several folds more.

Some details of the spending on Homeland Security can be gleaned from the extracted April 2009 Ernst & Young Report on “Eye On Defence”.

Advertisers