Defence Economics & Industry: Publications

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  • “Make In India” in Defence: Embedding Industry-wide Dialogue and Consultation

    “Make In India” in Defence: Embedding Industry-wide Dialogue and Consultation

    For the mantra to become an all-pervasive reality in defence acquisitions in India will be to multiply manifold the onsetfrequencyrange and depthof its industry engagements.

    November 07, 2014

    Avro-replacement programme hits air pocket

    Avro-replacement programme hits air pocket

    Replacement of the Avro is an approved requirement. Scrapping the on-going process could delay acquisition of the transport aircraft by at least a year or two as it would inevitably involve revisiting the qualitative requirements (QRs) before restarting the tendering process.

    November 25, 2014

    Rejig of Defence Budget 2014-15?

    Rejig of Defence Budget 2014-15?

    If reports about the diversion of INR 13,000 crore from the capital segment of the defence budget to the revenue heads are true, it is an indication of the growing strain on the revenue budget.

    January 23, 2015

    LUH Acquisition Programme: Which Way is it Headed?

    LUH Acquisition Programme: Which Way is it Headed?

    It is difficult to visualise how the Russian offer to make LUH in India could be actualised unless the government invokes ‘strategic considerations’ for making it in India or signs an inter-governmental agreement for that purpose.

    December 15, 2014

    Of Agents and Agency Commission in Defence

    Of Agents and Agency Commission in Defence

    Of Agents and Agency Commission in Defence

    December 31, 2014

    Strategising India’s Defence Exports

    What the Strategy for Defence Export tries to achieve is to create institutional mechanisms and establish clear-cut procedures within the overall ambit of the Foreign Trade Export for facilitating arms exports through export promotion/facilitation and export regulation.

    September 17, 2014

    India’s Revised Defence FDI Policy

    India’s Revised Defence FDI Policy

    Under the earlier policy, the foreign portfolio investment in Indian defence industry was either banned, or capped at an arbitrary level for certain companies, causing a lot of dissatisfaction among several listed Indian companies which had pleaded their genuine helplessness in controlling such investments given their nature of flow.

    September 01, 2014

    Indo-US Cooperation in Defence Production: Hagel’s visit to India

    There now seems to be greater recognition of India’s concerns on transfer of technology and not just about co-production but also co-development of next generation weapons. The larger objective for India, however, must be to reduce its dependence on import of foreign equipment and modernize its armed forces in the quickest possible timeframe.

    August 13, 2014

    Reviewing Defence Offset Guidelines: A Recap

    The Guidelines of 2012 have been under review for some time. While a drastic shift in the policy is unlikely, some changes in the policy, clarity about some of the existing provisions and simplification of the procedure seem necessary to make the policy work better.

    July 17, 2014

    Takeaways for Defence in the Union Budget 2014-15

    There are speculations whether the present budget is sufficient to meet expenditure on big ticket items but one has to bear in mind that it is only the advance payment – generally 15% of the contract value – that becomes payable on signing of a new contract. Even if new contracts are signed for say INR 50,000 crore, MoD will require just about INR 7,500 crore for those schemes.

    July 11, 2014

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