India to raise 26% cap on foreign investment in the defense industry

India’s Defense Ministry plans to raise the 26% cap on foreign direct investment in the country’s defense industry, a move aimed at attracting global military and aerospace companies to invest in the country. The move will facilitate the development of a multi-role transport aircraft by the state-run Hindustan Aeronautics Ltd, the ministry said in a statement late Wednesday. The government is also keen to encourage the country’s private sector to play an active role in an industry dominated by state-run companies. Indian companies such as Larsen & Toubro and the Tata Group are in talks with global defense companies to establish manufacturing units in the country.

Livemint
http://www.livemint.com/2008/04/24151236/
India-to-raise-26-cap-on-fore.html

It's US Vs Russia over $40 bn India market

The United States is gearing up to battle Russia and Europe for sales of billions of dollars in jet fighters, cargo aircraft and other arms to India. US officials regard sales to India, with a potential $40 billion arms market including missile-defense systems, as a way to cement strategic ties and boost bilateral military cooperation as a hedge against China's growing clout.

Express India
http://www.expressindia.com/latest-news/
bIts-US-Vs-Russia-over-40-bn-India-market-b/254477/