Government & private sector partnership for defense equipment production

New Delhi, dt. 12 (PTI) – Serious efforts are being taken for the indigenization of defense equipment manufacturing. Considering the limitations of the Government mechanism and the opportunity for business growth, Central Government is stressing to have defense related equipment manufactured in India, by formalizing a Government & Private sector partnership. Consequently Defense Minister Manohar Parrikar, had a discussion with Indian private sector industrialists in order to understand their issues and comments. Based on the comments and objections of this sector, Central Government will be finalizing its policy for the manufacture of defense equipment in India.

Defense Minister has had a discussion with group of Industrialists who are aspiring to manufacture defense equipment in India. During this discussion, the Industrialist groups have presented their plans related to the manufacture of defense equipment. The Defense Ministry is going to study in detail all the comments and objections that have arisen during the business presentation. Based on the study analysis, further talks between the Defense Ministry and Industrialists will take place. Through this the policy of Government and Private sector partnership for the manufacture of Defense equipment will be formalized.

Meanwhile during the meeting of the industrialists with Defense Minister Manohar Parrikar, mass production of armed vehicles, planes, helicopters, submarines, arms ammunition and other facilities were discussed primarily.

Former Head of D.R.D.O,Mr V.K.Atre earlier in his report to Central Government had mentioned about considering the assistance of Private Sector for the manufacture of Defense equipments in India. In this report V.K. Atre had recommended to formalize a policy for the manufacture of Defense equipments in India with the help of Indian Private sector companies.

Although Indian companies have shown their interest in the manufacture of Defense equipment, many companies doubt that such policies will prove profitable only for large scale industries, while few large scale industrial groups fear that their investments and plans will be at stake if very limited scope is provided to them in the manufacture of Defense equipment. However in order to mobilize the aims of Defense equipment manufacturing, the Defense Minister has had periodic meetings with the Indian Industrial entities. India which is known to be the largest Defense equipment importing nation, will soon formalize its policy of indigenous manufacturing of Defense equipment, through the new rounds of discussions that are completed.