Revolution in military affairs has made armaments/weapons a major component of defence capability. The exponential growth of technology has resultedin the cutting edge being eroded very rapidly necessitating constant up gradation / replacement of defence hardware. Apart from government policies and capital intensiveness the DIB also has to view production and technology management procedures, research and development base, and human resource development for its sustenance. This book examines the technological life cycle of defence equipment and enumerates the experience and practices followed by some developed countries towards creating a vibrant defence industrial base. This is followed by an analysis of policies with regard to Defence Expenditure, Defence Aquisition and offset clauses for Import. The present status of Indian DIB, Research and Development Infrastructure, Ordanance factories and other Science and Technology agencies too has been elucidated to arrive at what is presently available. The sectoral requirements in terms of capability required by our land, sea and air forces have also been identified to include Electronic and Cyber Warfare domain.