Starting in 1997 as a dairy equipment manufacturer, Krishna Defence & Allied Industries Limited (KDAIL) has evolved into a key player in India’s defence ecosystem. Under the leadership of Ankur Shah, the company has leveraged its engineering expertise to develop indigenous naval components, armoured materials, and advanced defence communication systems through its subsidiary, Waveoptix. In this interview with Machine Edge Global, Shah shares insights on KDAIL’s growth journey, defence collaborations, and its contribution to India’s Atmanirbhar Bharat mission.
KDAIL began its journey in 1997 as a dairy equipment manufacturer. What inspired the transition to defence manufacturing, and what were the key turning points in this transformation?
KDAIL started as a dairy equipment manufacturer in 1997, then they shifted to defence manufacturing. The shift to defence production was motivated by the desire to use this expertise to meet broader national concerns. When KDAIL began manufacturing shipbuilding steel parts for the Indian Navy domestically in 2006, it marked a significant turning point. Previously, these components were imported. This accomplishment showed how the business could support India’s defence independence.
The company’s continuous investment in R&D, prototyping, and field testing, which aided in the development of strong inspection and quality control procedures, was another significant turning point. KDAIL’s standing in the defence environment was further enhanced by partnerships on specialised projects with DRDO. The Hon’ble Prime Minister’s Defence Technology Absorption Award and DRDO recognition confirmed the company’s transition and solidified KDAIL as a reliable partner in India’s defence indigenisation journey.
With an order book of ₹2,686 Mn and a target of 30–40% CAGR over the next 3–5 years, how confident are you about sustaining this growth trajectory?
We are very confident about sustaining this growth trajectory because of the strong foundation. Today, with an order book of ₹2,686 Mn and a target of 30–40% CAGR over the next 3–5 years, it is realistic. First, our expanded Halol facility and international certifications (ABS & DNV) open new opportunities in both defence and commercial shipbuilding. Second, we are diversifying into new areas like composites, defence electronics, and secure communication systems through Waveoptix, India’s first indigenously made bi-directional RF-over-fibre communications. By making such advanced technology, we can allow long-distance, highly secure radio communication for the armed forces, reduce dependency on imports, and add a new strong growth.
Additionally, the government’s focus on Make in India initiatives and growing defence budgets is conducive to sustainable, long-term growth and innovation in smart advanced defence technology.
As a first-generation entrepreneur and a materials engineer, how has your personal vision shaped the company’s evolution?
Our vision has always been to use engineering skills to solve meaningful problems for the country. When KDAIL was started in 1997 with dairy equipment, the company focus was on building reliable products with strong metallurgical foundations. Over time, we realised that the same expertise in steel alloys, fabrication, and precision engineering could be applied to a much larger national priority: defence indigenisation. This belief inspired our entry into the defence sector in 2006, when we developed shipbuilding steel sections for the Indian Navy, reducing import dependence.
Our future vision has been to create a company that thrives on R&D, innovation, and self-reliance. That mindset has guided our diversification into naval products, armoured vehicle steel, composites, and now defence electronics through Waveoptix. At every stage, our goal has been to align our growth with India’s Make in India and Atmanirbhar Bharat mission while ensuring ethical and sustainable progress.
KDAIL has partnered with the Indian Navy for the development of India’s largest Autonomous Underwater Vehicle (AUV Jalkapi). Could you share what this collaboration means for India’s naval capabilities and KDAIL’s innovation journey?
KDAIL’s collaboration on AUV Jalkapi, India’s largest autonomous underwater vehicle, marks a significant milestone in both the nation’s defence capabilities and our innovation journey. This partnership aligns with India’s push towards self-reliant, autonomous underwater systems, enhancing surveillance, mine countermeasure operations, and overall strategic readiness in Indian waters. For KDAIL, this project represents an important step in our evolution as a defence technology partner. As the selected industry collaborator, we contribute design expertise, material innovation, and advanced fabrication support, leveraging our high-grade marine steel and state-of-the-art in-house R&D facilities. Upgrades at our Baroda facility ensure precision manufacturing and simulation capabilities for deep-sea deployment, optimising structural integrity and stealth performance.
Beyond being a technological milestone, AUV Jalkapi reflects the maturity of India’s defence ecosystem and KDAIL’s transformation from a component supplier to a collaborative, design-led solution provider. Looking ahead, this project strengthens India’s indigenous capabilities, reduces import dependence, and positions KDAIL to contribute to future autonomous naval platforms and advanced defence systems, showcasing how innovation and industry-government collaboration are shaping India’s naval power.
Your Halol facility expansion is a key milestone. How will the ABS & DNV certification enhance your role in India’s shipbuilding ecosystem?
These ABS and DNV certifications are a key milestone in KDAIL’s journeys with India’s shipbuilding ecosystem. These certifications not just validate the quality of our steel and fabricated components but also make us a trusted partner for both defence and commercial shipbuilding projects. With the certifications, we can supply components that meet international standards for safety, performance, and durability, enabling the Indian Navy, Coast Guard, and private shipbuilders to rely on indigenous solutions. This enhances self-reliance, reduces import dependence and supports the Make in India mission.
Moreover, the upgraded Halol facility allows us to scale production, integrate advanced fabrication techniques and invest further in R&D, ensuring that our products meet evolving naval and commercial requirements. Ultimately, these certifications strengthen our role as a key contributor to India’s growing shipbuilding ecosystem and reinforce our commitment to innovation, quality, and strategic national priorities.
Your subsidiary Waveoptics has developed India’s first bidirectional RF-over-Fibre module. How does this breakthrough change the landscape for secure military communications?
Waveoptics India’s first bidirectional RF-over-Fibre module is a breakthrough that significantly strengthens secure military communication. Traditional systems often lack signal degradation over long distances and are vulnerable to electromagnetic interference. RFoF overcomes these obstacles by transferring radio frequency signals through optical fibres and provides ultra-low latency, long range and interference-resistant communications.
The bidirectional capabilities allow simultaneous transmission and reception on the same fibre, which is crucial for modern command and control systems, especially in naval and aerospace applications. It also reduces cabling complexity and weight, making it ideal for aircraft carriers, remote radar installations, and other strategic platforms.
KDAIL is able to support the development, scaling up, and indigenisation of this core technology thanks to its growing stake in Waveoptix. This development represents a significant step towards independent military technology and puts India in a position to develop robust, network-centric communication systems, enhance electronic warfare capabilities, and further our larger defence electronics roadmap.
KDAIL has received recognition from the Ministry of Defence and DRDO for indigenisation and the Defence Technology Absorption Award from the Hon’ble Prime Minister. How do such recognitions impact your team and business momentum?
The recognition from the Ministry of Defence and DRDO for indigenisation, along with the Defence Technology Absorption Award from the Hon’ble Prime Minister, is an incredible affirmation of KDAIL’s commitment to self-reliant defence manufacturing. Such recognition validates prior investments and inspires ongoing R&D and investment in technology development and manufacturing in India with world-class quality and performance. It also encourages our engineers and scientists to aspire to the same level of effort and creativity on every project and to push the envelope and explore new solutions.
From a business perspective, these awards add credibility with government and commercial partners, accelerate the process for partnership and will enhance the opportunity in defence and strategic areas. Overall, such awards help strengthen the ambition to provide innovative world-class solutions with new products focusing on India’s defence self-reliance and business momentum.
In your view, what are the biggest challenges still facing India in its quest for defence self-reliance, and how can companies like KDAIL contribute further?
Although there are still obstacles to overcome, India has made some strides towards defence self-reliance. Since the start of the “Make in India” campaign, India’s defence production has increased at an unusual rate, hitting a record ₹1.27 lakh crore in FY 2023–2024 and reaching an all-time high of ₹23,622 crore in FY 2024–2025 for defence exports. Critical technologies like high-performance sensors, stealth materials, and sophisticated propulsion systems continue to be dependent despite these advancements.
Although the 2025 Defence Procurement Procedures (DPP) handbook aims to streamline procedures and expedite revenue procurement for the services, implementation issues still exist. Private sector participation contributes 21% to total defence production. Businesses such as KDAIL are essential in closing these gaps. KDAIL is improving secure military communications by assisting in the development of domestic technologies like RF-over-Fibre modules through collaborations with organisations like Waveoptix. Furthermore, KDAIL’s proficiency in materials engineering and fabrication aids in the creation of high-strength materials for use in armoured vehicles and ships, lowering reliance on outside vendors.
In addition, KDAIL’s involvement in initiatives like SRIJAN and the Positive Indigenisation Lists shows its commitment to reducing imports and enhancing indigenous capacities. By promoting private sector engagement, working with government initiatives, and continuing to invest in R&D, KDAIL can play a meaningful role in India’s move towards complete defence self-reliance. India has set a target of achieving ₹3 lakh crore in defence production by 2029 to strengthen India as a global self-reliant defence manufacturing ecosystem.
What role do you envision KDAIL playing in India’s “Atmanirbhar Bharat” defence ecosystem over the next decade?
Over the next decade, we see KDAIL playing an increasingly important role in India’s Atmanirbhar Bharat in defence. Our focus will be on some core areas, like first deepening R&D and indigenisation across advanced materials, naval systems, and secure communication technologies to reduce reliance on imports in critical domains where gaps still exist. Second, in order to guarantee that India’s defence ecosystem gains from quicker, more flexible product development cycles, we want to expand our partnerships with DRDO, the military, and commercial entrepreneurs.
India’s self-sufficient capabilities in shipbuilding, electronics, and sophisticated materials will be reinforced by our strategic initiatives, which include scaling up Waveoptix for RF-over-fibre communications and partnering with VABO for composite naval constructions. With strategic investments such as our stake in Conceptia and capacity expansion at Halol, KDAIL is well-positioned to develop into a full-spectrum, internationally competitive defence solutions provider, enhancing India’s technological independence.