Stressing the need for achieving self-reliance in the defence manufacturing sector, Prime Minister Narendra Modi on Thursday said the Government has taken several steps to unshackle this sector to enable production of equipment here and expansion of the private sector.
Making this point here while addressing the Defence Industry Outreach Webinar organised by Federation of Indian Chambers of Commerce and Industry (FICCI) and the Defence Ministry, he said self-confidence in the defence sector is very important for making an Atmanirbhar Bharat (self-reliant India). Defence Minister Rajnath Singh and Chief of Defence Staff (CDS) General Bipin Rawat also took part in the event.
Noting that for years India is one of the biggest importers of weapons, the prime minister said with new initiatives the size of procurement orders from the domestic industry is going to increase in the coming days.
“For many years, India has been one of the biggest defence importers. When India got Independence, it had a great capability in defence manufacturing and an ecosystem of defence manufacturing established over 100 years. Unfortunately, this subject couldn’t get requisite attention. For making a modern and Atmanirbhar Bharat, there should be a feeling of self-confidence in the defence sector,” he said.
The Prime Minister said the need for appointing a Chief of Defence Staff (CDS) was being felt for a long time but the decision was not made. “The decision (to appoint CDS) is a symbol of the new India’s self-confidence,” he said.
Listing some of the measures, he said allowing 74 per cent foreign direct investment (FDI) in defence sector and corporatisation of Ordnance Factory Boards (OFBs) were aimed at giving a boost to defence manufacturing. A portion of the Defence Ministry’s capital budget has been earmarked for equipment made in India, Modi said.
“The list of 101 equipment for domestic purchase only will be expanded further. The purpose of this list is to boost the industries in the country,” Modi said. The government earlier this month had banned import of 101 weapon systems to give fillip to the local industry. The second tranche of restrictions may come by this year end.
The Prime Minister stressed on the need for research and development in the defence sector at industry and academic institutions also. “Our government has worked on the principle of reform, perform and transform. Decreasing red tape and extending red carpet has been our endeavour,” he said.
General Rawat said India has the capability, capacity and will to produce high-end indigenous weapon systems. With government’s push in the right direction and vision of Aatnirbhar Bharat being promulgated, this is time to see this opportunity to achieve self-efficiency and becoming net exporter of defence equipment, he said.