The government move to provide private sector a bigger role in defence manufacturing has taken a firm step towards fruition, with the Defence Acquisition Council on Saturday approving the broad contours of it.
The DAC, chaired by Defence Minister Arun Jaitley, on Saturday approved the “broad contours of a policy aimed at engaging the private sector in the manufacture of high-tech defence equipment in India,” the Ministry of Defence said in a statement.
Four platforms
Under the Strategic Partnership plan, the DAC has approved four platforms in which the private sector will play a key role in the first stage: fighter aircraft, submarines, armoured vehicles and helicopters.
“The policy is aimed at developing the defence industrial eco-system in the country via the involvement of both the major Indian corporates as well as the MSME sector,” the statement said.
The policy aims to 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 OEMs (original equipment manufacturer) to see technology transfers and manufacturing know-how to set up domestic manufacturing infrastructure and supply chains”.
Self-reliance
The MOD said the policy will give a boost to the ‘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.”
