The Government on Friday maintained that armed forces were fully equipped to face any contingency and any shortage of arms and ammunition will be increasingly made up by the participation of private companies in the defence sector.
The Government also said that it was not closing any of the Ordnance factories
and none of the 90,000 employees would be rendered jobless.
Replying to questions during the question hour, Union Defence Minister Arun Jaitley said ammunition was manufactured by Public Sector Units and much of it was being imported but gradually the indigenous production is increasing.
Asserting that any shortage in terms of arms and ammunition would be expeditiously made up, the Minister said the observations by the Comptroller and Auditor General (CAG) about ammunition supplies was for a particular period.
last week, the CAG had slammed the Ordnance Factory Board (OFB) for critical deficiency in availability of ammunition to the Army.
In a report, the apex auditor had also criticised the OFB for inadequate quality of ammunition supplied to the Army since March 2013.
According to the report, despite serious concerns highlighted in a high-level report on ‘Ammunition management in Army’ in 2015, no significant improvement took place in the critical deficiency in availability of ammunition and quality of ammunition supplied by the OFB.
Referring to the report, members asked whether the Government would be taking action in the light of CAG observations.
The Defence Minister said that as per procedure, after tabling in Parliament, they go to the Public Accounts Committee (PAC) and if the latter makes some recommendations, then action would be taken.
“If any action is to be taken, it will be taken,” Jaitley said in response to queries on whether any action would be taken against officials.
A member wanted to know about the ammunition required and other details, Jaitley said it is better in public interest not to make any such disclosure.
On strategic partnerships in the defence sector, Jaitley said it is intended to institutionalise a transparent, objective and functional mechanism to encourage broader participation of the private sector in the manufacture of defence platforms and equipment.
This apart, the government has approved a proposal for manufacturing of ammunition for the Indian Army by the Indian industry, he said.
In this regard, Jaitley said Request for Proposal (RFP) under open tender enquiry was issued in March.
Earlier, Minister of State for Defence Subhash Bhamre said 25 Indian companies have been identified for the defence production and stressed that now onwards private sector would be encouraged. He said earlier private sector was not entering the defence sector as “it does not have a level playing filed.”
Answering a question, he assured the House that no Ordnance factory would be closed down and no one would be rendered unemployed.