The Defence Acquisition Council (DAC), apex body for approving procurement for the three Services, on Monday approved the much awaited guidelines for implementing the Strategic Partnership Policy. It came into being in May last year but could not take off due to lack of an implementation road map.
Chaired by Defence Minister Nirmala Sitharaman, the DAC also gave the nod for buying 8 fast patrol vessels for the Indian Coast Guard worth over Rs 800 crores to enhance maritime security day and night.
The Strategic Partnership model envisages involving the Indian private sector in manufacturing big ticket items like warships, submarines and helicopters within the country in collaboration with foreign vendor. The policy also aimed at making India the hub of defence manufacturing and officials said with the DAC approving the guidelines the last hurdle was removed for speedy take off the ambitious programme.
The guidelines lay emphasis on incentivisation of transfer of niche technology and higher indigenous content, officials said. All procurement under Strategic Partnership model will be executed by a specially constituted empowered committee to provide focused attention and ensure timely execution of projects.
The model aims to revitalise defence industrial ecosystems and progressively build indigenous capabilities to design, develop and manufacture complex weapon systems for future needs of the armed forces. The Strategic Partnership policy has four segments including submarines, single engine fighter aircraft, helicopters and armoured carriers or main battle tanks. The Indian private sector can now vie for making these platforms within the country.
Under this policy one Indian private company will be selected in each of the four segments which would tie-up with shortlisted local Original Equipment Manufacturers (OEM) to manufacture the platforms in India under technology transfer.
The DAC also approved platform specific guidelines for procurement of Naval Utility helicopters (NUH). Similar guidelines for the other categories under the SP model will be issued soon, they said.
As regards clearance for fast patrol vessels, officials said the boats will be designed and manufactured in India for undertaking missions like anti-sabotage, anti terrorist, and anti-smuggling operations.