Defence Industry

The Draft Defence Production Policy 2018, which aims to promote the Make in India initiative in the defence sector and create a world-class arms manufacturing base, faces a number of challenges, which, if left unaddressed, may limit its usefulness.

The promises contained in the recently released draft are so intertwined that a comprehensive action plan would be required to implement all of them almost simultaneously for achieving the policy objective.

The new system of classifying enterprises based on annual turnover will be more reliable, transparent and objective as the qualifying criteria will be verifiable with reference to the data available in the Goods and Services Tax network.

Additive manufacturing (AM), also popularly known as 3-D printing, is revolutionising the global manufacturing landscape. The proliferation of AM technology has had a huge impact on the design and production capability of the manufacturing industry. At the same time, the technology to mimic and print real parts has huge implications for a country’s defence capability and security.

Sector-specific micro parameters that have a bearing on the ease of doing business need to be identified and quantified.

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.

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.

Indian industry, which is the intended beneficiary of this preference policy, needs to play a proactive role in facilitating the smooth implementation of the order.

Why the objective sought to be achieved through the strategic partnership scheme could not be attained by resorting to an existing provision in DPP 2016?