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India's Defence Industry Challenges - DSA

Unravelling the Indian Policy by Major General Mrinal Suman

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Author: Major General (Dr) Mrinal Suman AVSM, VSM (Retd)
India has abrogated its right to select offset programmes in favour of the vendors, rendering its own needs inconsequential. The Indian policy quite unequivocally permits foreign vendors to choose methodology, areas and Indian partners to fulfill their offset obligations. Needless to say, foreign vendors would always opt for programmes that are easy to implement and cost the least.

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India’s Defence Offset Policy by Dr Rajiv Nayan

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Author: Dr Rajiv Nayan
Undoubtedly, all the stakeholders need to have a coordinated approach to optimally use the offset policy and contract. The ultimate objective should be to strengthen futuristic combat capability requirements and the defence industrial base of the country.

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Opportunities For Win-win Solutions by Air Marshal Anil Chopra

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Author: Air Marshal Anil Chopra PVSM, AVSM, VM, VSM (Retd)
Ministry of Defence’s key objective of the Defence Offset Guidelines was to leverage capital acquisitions to develop Indian defence industry, improve defence research and encourage development of synergistic sectors like civil aerospace and internal security. What constitutes a legitimate offset, is a question still searching for answers. The physical valuation of offsets is complex.

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Leveraging FDI: National Aerospace And Defence Industry by Cmde Sujeet Samaddar

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Author: Cmde Sujeet Samaddar NM (Retd)
For OEMs to set up plants and be organic to the national defence and industrial complex the FDI norms must be further liberalised. One method is to consolidate acquisition proposal of the three Services and group them towards providing the economies of scale that make for a viable business case to establish manufacturing facilities in India. The alleged apprehension that FDI in the aerospace and defence sector is a security hazard, that the country would be held ransom to the foreign OEMs.  In the recent past, orders for 258 Mi17 helicopters and for 123+20 AJT Hawk and 272 Su-30 deals a licensed production facility at HAL has been created. In effect, the country is at the mercy of the foreign OEMs

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China Leads Global Shipbuilding Industry by Dr Vijay Sakhuja

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Author: Dr Vijay Sakhuja
China has excelled in several maritime sectors and is a global leader in a number of them. It ranks first in global shipbuilding industry with a 45 per cent share (154 million dead weight ton). By comparison the share of Indian shipbuilding industry in the global shipbuilding market is quite small. Further, the Indian shipyards have not been able to achieve global standards to compete in the international market due to a number of reasons such as inefficiency and cost escalation due to delayed delivery etc.

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