Self Reliance in Defence Sector

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Self Reliance in Defence Sector

Ministry of Defense (MoD) has notified positive indigenization list to achieve self reliance in defense Sector manufacturing.

Certain standards have been prescribed for a product to be considered under indigenous system. As per these standards, the items in the positive indigenization list should be the use of technologies designed and developed by the Indian Defense Industry or Defense Research and Development Organization (DRDO). Also, 50% of those items should be indigenously sourced.

The Department of Military Affairs has already notified two positive indigenization lists of weapons/platforms/systems/ammunitions etc.

Significance:

  • दो रक्षा औद्योगिक गलियारों (उत्तर प्रदेश और तमिलनाडु में) की स्थापना की गई है।
  • To build strong research and development facilities, capabilities and capabilities to meet the future requirements of the Armed Forces
  • Opportunities will be available for Micro, Small and Medium Enterprises (MSMEs) as well as ‘Startups’ to get into defense manufacturing.
  • Foreign exchange equivalent to about Rs 3,000 crore will be saved every year.
  • Policy Initiatives For Indigenization Of Defense Sector Initiated – Defense Acquisition Process (DAP), 20201
  • Top priority has been given to BUY INDIAN-IDDM (Indigenously Designed, Developed and Manufactured)] category for procurement of capital equipment.
  • Foreign direct investment in the defense sector has been increased to 74% under the automatic route and up to 100% through the government route.
  • Innovation for Defense Excellence (iDEX) has been launched. It aims to cover related industries including MSMEs, Startups etc.
  • Two Defense Industrial Corridors (in Uttar Pradesh and Tamil Nadu) have been established.

Source – The Hindu

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