Aiming for a faster self-reliance in production of weapons in the country, the Centre on Monday barred the import of 108 military weapons and systems such as next-generation corvettes, airborne early warning systems, tank engines and radars. These items will now be manufactured indigenously.
The Centre approved the second list including these 108 items. It is the second such list with the first one termed “negative” in August last year. It had banned the import of 100 items and directing the armed forces to buy local.
The fresh list also restricts import of notified items but is now called ‘’Second Positive Indigenization List”. Defence Minister Rajnath Singh on Monday gave the nod for the proposal mooted by the Department of Military Affairs of the defence ministry to have such a list.
The restrictions on import will progressively come into effect in the period from December 2021 to December 2025, officials said here.
The second list lays special focus on weapons and systems which are currently under development or trials and are likely to translate into firm orders in the future.
The first negative list of items included towed artillery guns, short-range surface-to-air missiles, cruise missiles, offshore patrol vessels, electronic warfare systems, next-generation missile vessels, floating dock and anti-submarine rocket launchers.
The ‘Second Positive Indigenisation List’ comprises complex systems, sensors, simulator, weapons and ammunitions like Helicopters, Next Generation Corvettes, Air Borne Early Warning and Control (AEW&C) systems, Tank Engines, Medium Power Radar for Mountains, Medium range surface to air missiles(MRSAM)and many more such items.
This will give further boost to indigenisation with active participation of public and private sector for fulfilling the twin objectives of achieving self-reliance and promoting defence exports. All the 108 items will now be procured from indigenous sources as per provisions given in Defence Acquisition Procedure (DAP) 2020.
Like the first list, import substitution of ammunition which is a recurring requirement has been given special focus. Not only does the list recognise the potential of local defence industry, it will also invigorate impetus to domestic Research and Development by attracting fresh investment into technology and manufacturing capabilities.
Officials said the second list was prepared by the ministry after several rounds of consultations with government and private manufacturing industry confederations to assess future capabilities of Indian Industry which will be able to meet requirements of the Armed Forces.
The Defence industry can gainfully utilise this golden opportunity to build robust Research and Development facilities, capacities and capabilities to meet the futuristic requirements of the Armed Forces. This list also provides an excellent opportunity for ‘start-ups’ as also medium and small scale units(MSMEs), officials said.
In order to ensure speedy development, the defence ministry and the Defence Research and Development Organisation (DRDO) besides the Service Head Quarters will take all necessary steps, including hand holding of the Industry.
It will assist in ‘Make in India’ vision and develop the capabilities for defence export in the near future.
In the last couple of years, the government has taken a series of measures to boost the domestic defence industry. The new defence procurement policy projected a turnover of Rs 1.75 lakh crore (USD 25 billion) in defence manufacturing by 2025.
According to estimates, the Indian armed forces are projected to spend around USD 130 billion in capital procurement in the next five years.