3 thoughts on “Defence”

  1. FDI reforms in Defence was taken with the view to boost ‘make-in-India” mission. Intent of the same was to take India towards self reliance in defence manufacturing. Post FDI reforms, following were developments in field of defence production:
    1) Preferential treatment given to defence Public sector undertakings have been discontinued to provide level playing field for foreign companies.
    2) Defence procurement procedure was amended to provide new most preferred acquisition category (indigenously designed and manufactured) to encourage indegenous design.
    – Indian manufacturer are allowed to tie up with foreign original equipment manufacturer for transfer of technology
    – Make procedure which is directed at promoting research and development has been revamped- govt. will refund 90% make cost to encourage local development.

  2. Hints : The twins objectives of the policy allowing 100% FDI in the defence sector were to provide impetus to infrastructure and job creation.
    The government reports however don’t show any accomplishment in this regard over the period of last one year.

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