The Indian Government is working on FDI norms for defence production, where foreign investment more than 49% would be allowed. Earlier investment up to 49% would be allowed via the automatic route and a higher stake would be permitted on a case-to-case basis if a state-of-the-art product was being brought in with access to technology. The expansion presume worthy as French defence major DCNS has approached the government with a 100 % FDI proposal to bring Air Independent Propulsion (AIP) systems in the country. The department of defence has held a few round of consultations with other ministries and also discussed the issue with stakeholders. Shortly a standard operating procedure (SOP) is proposed to be out for cases, where majority foreign ownership is proposed.