Major projects of the Bengaluru-based Bharat Electronics Limited had got affected due to global chip shortage, a senior official said, adding that the road ahead is, however, expected to be streamlined with many of the suppliers giving the company a commitment to supply chips for different projects. BEL also faced challenges due to the recent geo-political situation arising out of the Russia-Ukraine crisis as many of the equipment meant for Russia could not be transported and on the other hand the supply of many electronic components which BEL was sourcing from Russia and Ukraine was affected.
“Despite challenges due to the Covid-19 pandemic, global chip shortage and stiff competition, BEL registered a turnover growth of 9 per cent over the previous year. It also achieved an export turnover of 33.30 million USD and achieved market capitalization of Rs. 60,000 crores. Turnover from indigenous technology was 78 per cent and sales from our defence business was 88 per cent. Our order book value was Rs 57,570 crores as on 1st April 2022,” said Anandi Ramalingam, CMD of BEL.
She further informed that during the last financial year (2021-22) BEL’s Armoured Engineer Reconnaissance Vehicle was inducted into Indian Army and the first prototype of the indigenously developed Universal Driver Training Simulator for Rolling Stock (i-UDTS) was also inaugurated during the last financial year. During the year BEL was successful in executing many major orders such as the long range surface-to-air missile, Akash Weapon System, fire control system, Integrated Air Command and Control System, Advanced Composite Communication System, Integrated Electronic Warfare Suite and the Coastal Surveillance System.
BEL also introduced many new products and systems during the year such as the Laser Fence System, IR Jammer for Active Tank Protection System, Drainage Intrusion Detection System, Navigation Complex System, oxygen concentrator and dialysis machine besides many others. During the year BEL also received many significant orders such as the avionics package for LCA, Advanced Electronic Warfare (EW) suite for fighter aircraft, Instrumented Electronic Warfare Range (IEWR), Electronic Voting Machines, Gun electronic upgrade, Electronic Warfare Systems for Ships Weapon Locating Radar, Integrated Observation Equipment etc.
Ramalingam informed that BEL's export performance has been positive and besides an export sales of 33.30 million USD, it had an order book of 269 million USD and acquired orders worth 179 million USD. “We export major products such as coastal Surveillance System, sub-systems of Radar and EW Systems, Cable Looms, Communication Equipment, Radar Finger Printing System, etc. We also signed a contract with Airbus for supply of Radar Warning Receiver (RWR) and Missile Approach Warning Systems (MAWS). We also collaborated with new local partners in Kenya, Chile, Suriname, Malaysia, Nepal and Bangladesh. At the same time we have increased contract manufacturing portfolio by increasing empanelment as global supply chain partner with OEMs,” said Ramalingam.
During the year gone by, BEL also led the expansion of geo-spatial reach and also undertook full scale operationalization of overseas marketing offices in Vietnam, Sri Lanka and Oman. Singapore and New York offices were expanded with marketing cells. BEL has also signed MoU with the Airport Authority of India for Advance Surface Movement Guidance and Control System. “To begin with we have already started the work and are in the process of showing AAI a Proof Of Concept (POC) at Bhubaneswar airport by Dec 2022. Our R&D team is having detailed discussions with the AAI team. Each installation may cost around Rs 100 to Rs 120 crore,” explained Ramalingam.
At the same time BEL is constantly focusing on further developing indigenous technologies. It is focusing more on core areas and R&D to retain IP and all non-core areas are being outsourced to Indian Industries including MSMEs. The procurement from MSMEs contributed around 31 per cent for BEL during the year. BEL is also carrying out import substitution of critical sub-systems through in-house or domestic vendor development and is also providing its test facilities to private vendors.
