As an introduction a few general points may be made regarding defence offsets. Firstly, offsets as a policy has been widely practiced all over the world. In fact most of the countries have offset policies in some form or the other whether they are developed countries or developing countries. The second point is that there is a cost to offsets. It is not something which has only positives. The common debates against offsets are that it is inefficient, distort and the defence procurements should be based on the quality of the product, cost, affordability and the delivery schedules.