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'CORE COMMITTEE" in place to thrash out various issues with private industries manufacturing defence equipment : MANOHAR PARRIKAR
Publish Date : 29-Apr-2015
The Ministry of Defence (MoD) has come up with a decision to spruce up its defence procurement act in a move to set in added transparency and speed to the procedure.
On Saturday, Defence minister Manohar Parrikar inaugurated a day-long seminar on "Make in India for Defence", which was organised by the Confederation of Indian Industry (CII). The minister said that a 'core committee' has been established to thrash out various issues with private industries, which produce defence equipment in the country.
Parrikar said, “The ministry has formed the core group, which would submit its findings on various issues haunting the defence procurement procedure and many other aspects of defence procurement. We have identified the issues and 90 per cent of the work has been done. By the end of June, most of these issues will be on the board.”
According to the minister, the defence procurement procedure should be more friendly and also there is a need to maintain time frame for projects. Major issues that needs to be resolved includes blacklisting, engaging Indian companies, offsets etc. The existing offset rules mandate that any foreign firms which wins a defence contract of over $60 million should spend at least 30 per cent of the total value of the contract to procure services and supplies from Indian companies.
Parrikar said, "I don't agree with people who are opposing AFSPA in Jammu and Kashmir. If people there are facing severe problems with the Act, then 70 per cent votes for it would not have registered in the recently concluded Assembly elections.”
While answering a question raised regarding excess allocation for the defence budget, Parrikar stated that, "We should not depend on other nations for defence equipment like rocket, jets and so on. Indigenous production is a sure way to reduce the budget. Investing in defence is the need of the hour to safeguard our properties."
