PTI reported that BHEL is working with the government on plans to identify a technology partner for manufacture of defense equipment including making bigger guns for the Navy.
BHEL, which is all set to become a Maharatna company, is already manufacturing guns for the Indian Navy.
Mr BP Rao CMD of BHEL said that "We are working with the Defense Ministry to identify a technology partner for increasing the size of the gun other areas also, we are working with the Defense Ministry, they have identified BHEL for other areas."
Without disclosing specific details, Mr Rao said that defense sector is a major diversification area for BHEL.
According to Mr Rao, about 2 years ago, the company was nominated by the Defense Ministry for some defense products.
He said that "We have already been manufacturing some products for defense. We have been identified by the Defense as an agency which is nominated for some of the products, which means they will take it only from BHEL."
He added that once nominated for a particular product, the Ministry would ask technology providers to tie up with BHEL.
The increased focus on defense segment comes against the backdrop of the company facing challenges in the power business, the mainstay of the state run major.
Multiple power sector woes, varying from lack of finances to land acquisition issues and fuel shortages, are affecting the overall business performance of BHEL.
Apart from defense, the public sector enterprise is also focusing on transportation, renewable among other areas.
