MoD releases draft defence production and export promotion policy
In order to provide impetus to self-reliance in defence manufacturing, multiple announcements were made under ‘Atmanirbhar Bharat Package’.
In implementing such a framework and to position India amongst the leading countries of the world in defence and aerospace sectors, the Ministry of Defence (MoD) has formulated a draft Defence Production and Export Promotion Policy 2020 (DPEPP 2020). The DPEPP 2020 is envisaged as an overarching guiding document of MoD to provide a focused, structured and significant thrust to defence production capabilities of the country for self-reliance and exports.
The policy has laid out certain goals. Additionally, the Policy brings out multiple strategies including procurement reforms, indigenization & support to MSMEs/Startups, optimize resource allocation, investment promotion, FDI & ease of doing business, innovation and R&D, DPSUs and OFB, quality assurance & testing infrastructure and export promotion.
The policy has laid out following goals and objectives:
- To achieve a turnover of Rs 1,75,000 Crores (US$ 25Bn) including export of Rs 35,000 Crore (US$ 5 Billion) in Aerospace and Defence goods and services by 2025.
- To develop a dynamic, robust and competitive Defence industry, including Aerospace and Naval Shipbuilding industry to cater to the needs of Armed forces with quality products.
- To reduce dependence on imports and take forward “Make in India” initiatives through domestic design and development.
- To promote export of defence products and become part of the global defence value chains.
- To create an environment that encourages R&D, rewards innovation, creates Indian IP ownership and promotes a robust and self-reliant defence industry.
The Policy brings out multiple strategies under the following focus areas:
- Procurement Reforms
- Indigenization & Support to MSMEs/Startups
- Optimize Resource Allocation
- Investment Promotion, FDI & Ease of Doing Business
- Innovation and R&D
- DPSUs and OFB
- Quality Assurance & Testing Infrastructure
- Export Promotion
(Indian PSU: All about Indian Public Sector Undertakings. Follow @IndianPSUs for all the News & Views on PSUs, Corporates, Markets, Bureaucracy, Public Policy)
