NEW POLICY TO ENGAGE PRIVATE SECTOR IN MANUFACTURE OF DEFENCE EQUIPMENT IN INDIA
NEW DELHI: TOP DECISION MAKING BODY, THE DEFENCE ACQUISITION POLICY, MET ON SATURDAY UNDER THE CHAIRMANSHIP OF DEFENCE MINISTER ARUN JAITLEY AND FINALISED THE BROAD CONTOURS OF A POLICY WHICH AIMS AT ENGAGING PRIVATE SECTOR IN MANUFACTURE OF HIGH-TECH DEFENCE EQUIPMENT IN INDIA.
THE DAC HELD COMPREHENSIVE DISCUSSION WHILE GIVING FINAL TOUCHES TO THE SHAPE OF THE NEW DEFENCE POLICY.
“The policy is aimed at developing the defence industrial eco-system in the country through the involvement of both the major Indian corporates as well as the MSME sector,” a statement of the Defence Ministry said here.
The policy, which was developed through extensive stakeholder consultations with Indian industry, envisages the establishment of long-term strategic partnerships with qualified Indian industry majors through a transparent and competitive process wherein the Indian industry partners would tie up with global Original Equipment Manufacturers (OEMs) to seek technology transfers and manufacturing know-how to set up domestic manufacturing infrastructure and supply chains.
The policy will give a boost to the Prime Minister Narendra Modi’s pet ‘Make in India’ policy in the Defence sector and set Indian industry on the path to acquiring cutting-edge capabilities which will contribute to the building of self-reliance in the vital sector of national security requirements.
The policy is expected to be implemented in a few selected segments to begin with, namely, fighter aircraft, submarines and armoured vehicles. In future, additional segments may be added. Appropriate institutional mechanisms will be set in place to implement the policy.