The benchmark price could be different from the initial cost estimate because, in many cases, the negotiation stage is reached several years after in-principle approval.
MoD can leapfrog many of the 11 stages in the procurement programme by taking the measures outlined to fulfil the urgent requirements of the Air Force.
Adhering to the RTI Act in letter and spirit will lead to more responsible decision-making, greater accountability, and more credibility to the actions of the MoD.
Foreign collaborations optimised for profit, risk-sharing and a common goal of achieving technological superiority could well enable India to break into the global market in select areas.
Achieving the intended outcomes of the 13th five-year defence plan is critically dependent on the ability of the Ministry of Finance to increase the defence budget by at least 100 per cent from next year onward.
It would be a bold gesture if MoD decides to categorise all development projects under Make-II. This will send a strong message to the industry and to the nation about MoD’s earnestness to promote private sector participation.
It behooves both HAL and ADA to work in synergy to meet the target of 16 aircraft per annum and ensure the successful and prompt completion of the Tejas Mk.1A project.
Problems of Costing in Defence Procurements
The benchmark price could be different from the initial cost estimate because, in many cases, the negotiation stage is reached several years after in-principle approval.