New Delhi: Foreign procurement under capital acquisition head for modernisation of the defence services has been progressively decreasing since 2018-19, the Rajya Sabha was told here today. This is because the defence acquisition procedure (DAP) 2020 and other policy initiatives have focused on boosting indigenous defence capability, reducing reliance on imports and promoting Aatmanirbhar Bharat.
In a written reply to Priyanka Chaturvedi of Shiv Sena, the Minister of State for Defence, Ajay Bhatt, informed about the policy initiatives taken the the Centre in past few years under ‘Make in India’ Program that brought reforms to encourage indigenous design, development and manufacture of defence equipment, thereby reducing dependence on imports in coming years.
Such initiatives further include according priority to procurement of capital items from domestic sources under Defence Acquisition Procedure (DAP)-2020.
Details of expenditure incurred on foreign procurement under capital acquisition head for modernisation of the defence services from financial year 2014-15 to 2021-22 are as under:
Funds for domestic capital procurement under capital acquisition heads of defence services are also being earmarked from financial year 2020-21. Some of the initiatives taken are:
- Notification of two ‘Positive Indigenisation Lists’ for the Defence Services and one for Defence Public Sector Undertakings (DPSUs) for which there would be an embargo on the imports beyond the timeline indicated.
- Introduction of a new category “Buy (Global –Manufacture in India)” to enable Foreign OEMs to set up Manufacturing facilities in India.
- Make –III (newly introduced in DAP 2020) category to enable indigenisation of spares and import substitution.
- Simplification of Make Procedure, Launch of Innovations of Defence Excellence (iDEX) scheme involving start-ups & Micro, Small and Medium Enterprises (MSMEs).
- Revision of offset guidelines focused towards development of Defence ecosystem while giving incentives to Transfer of Technology (ToT) and Defence Manufacturing, encouraging MSMEs & Defence Industrial Corridors.
- Reservation for MSMEs and small Shipyards on orders upto Rs 100 Cr/year.
- System for incentivising the use of indigenous Military Material and Software to encourage indigenisation of military material and indigenous development of software for military use.
Details of indigenous production of defence and aerospace related items from 2014-15 to 2020-21 are as under:
Make In India
Meanwhile, the Government, in the last three years – from 2018-19 to 2020-21 and current year till December 2021, has accorded Acceptance of Necessity (AoN) to 150 proposals worth Rs 2, 47, 515 crore approximately, under various categories of Capital procurement which promote domestic manufacturing as per DAP-2020, Bhatt said while replying to Loktantrik Janata Dal member MV Shreyams Kumar’s query.
The Minister also listed the projects taken up under ‘Make in India’ initiative. They included:
- 155mm Artillery Gun System ‘Dhanus’
- Light Combat Aircraft ‘Tejas’
- ‘Akash’ Surface to Air Missile system
- INS Kalvari, INS Khanderi, INS Chennai
- Anti-Submarine Warfare Corvette (ASWC),
- Arjun Armoured Repair and Recovery Vehicle
- Bridge Laying Tank
- Bi-Modular Charge System (BMCS) for 155mm Ammunition
- Medium Bullet Proof Vehicle (MBPV)
- Lakshya Parachute for Pilotless Target Aircraft
- Thermal Imaging Sight Mark-II for T-72 tank
- Offshore Surveillance Ship
- Water Jet Fast Attack Craft
- Inshore Patrol Vessel
- Offshore Patrol Vessel
- Fast Interceptor Boat
- Landing Craft Utility
- 25T Tugs
– global bihari bureau
