7 New Defence Companies dedicated to the Nation

On October 15, 2021, seven new defence companies were dedicated to the nation by the Defence Ministry.


  • The seven companies that were carved out of the Ordnance Factory Board (OFB), are:
  1. Munitions India Limited (MIL),
  2. Armoured Vehicles Nigam Limited (AVNL),
  3. Troop Comforts Limited (TCL),
  4. Gliders India Limited (GIL),
  5. Armoured Vehicles Nigam Limited (AVANI),
  6. Advanced Weapons and Equipment India Limited (AWE India),
  7. India Optel Limited (IOL) and Yantra India Limited (YIL).

Business Operations

All these companies started business operations from October 1, 2021. Government decided to convert the 200-year-old OFB government department to seven 100 per cent government-owned corporate entities in order to enhance efficiency, functional autonomy, and unlock new growth potential & innovation.

Aim of the move

This move is aims to improve India’s self-reliance in defence preparedness. Government done this restructuring with under stated objectives:

  1. To transform Ordnance Factories into productive & profitable assets
  2. To improve expertise in product range
  3. To increase competitiveness
  4. To improve quality
  5. To enhance cost-efficiency and
  6. To ensure self-reliance in defence preparedness.

What about OFB employees?

OFB employees from Group A, B, and C, belonging to the production units will be transferred to corporate entities. They will be transferred on deemed deputation for two years. There will be no change in their service conditions as the government employees.

Ordnance Factory Board (OFB)

OFB is an organisation working under the Department of Defence Production (DDP) of Ministry of Defence (MoD). There were 41 Indian Ordnance Factories which now have been converted into 7 Defence Public Sector Undertakings (DPSUs).




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