Shares of this company jump 10% on defense policy overhaul
Premier Explosives Ltd. saw its shares shoot up over 10% to a new yearly high after the Indian defense ministry made it easier for private companies to make missiles and ammunition.
The updated policy, reported in October 2024, drops the old rule that required a no-objection certificate from Munitions India Ltd., making it much simpler for private firms to enter the defense manufacturing space.
Policy shift opens up new avenues for private players
Now, private companies can produce key items like artillery shells and Pinaka rocket systems—products once mostly handled by public sector units.
This move is set to speed up operations, help Indian firms tap into Europe's current ammo shortage, and boost exports.
Investors are clearly excited: Premier Explosives's stock hit ₹668 per share, reflecting rising optimism about fresh opportunities in India's evolving defense industry.