In an effort to give a boost to defence exports, the Union Cabinet chaired by Prime Minister Narendra Modi on Wednesday gave the go-ahead for export of indigenously-developed and manufactured Akash short range surface-to-air (SAM) missile.
The Cabinet also approved the setting up of a committee comprising Defence and External Affairs Ministers, besides the National Security Adviser (NSA), to clear such exports. This committee will also explore various available options, including the Government-to-Government route. It will help in forging stronger strategic and defence ties with various countries all over the world. The aim is to touch the five-billion dollar mark in the next few years by exporting high-value defence platforms.
At present, India is one of the biggest importers of weapons, while the exports are relatively poor. In the fiscal year 2019-2020, the export figure stood at slightly more than Rs 8,000 crore. The Government wants to breach the Rs 15,000 crore mark in the next fiscal.
The Cabinet approval on Wednesday will facilitate Indian manufactures to participate in tenders issued by various countries.
The major decision came against the backdrop of several countries, especially in the Indian Ocean region, keen to procure Indian missile systems, including the supersonic Brahmos and Prithvi. So far, India only exports components and specialised parts.
Moreover, with the Indian industry ramping up its production capabilities and sophistication in the last few years, many countries also want to acquire coastal surveillance system, radars and aircraft and helicopters.
Giving these details, the Defence Ministry officials said in order to fast track exports through quick approvals, a committee comprising of Defence Minister, External Affairs Minister and NSA has been created.
“This committee would authorise subsequent exports of major indigenous platforms to various countries. The committee would also explore various available options including the Government-to-Government route,” the Ministry stated.
Defence Minister Rajnath Singh in a tweet said “The export version of Akash will be different from the system currently deployed with Indian armed forces.”
Highlighting the significance of the decision about exports, he said so far, Indian defence exports included parts and components but the export of big platforms was minimal. “This decision by the Cabinet would help the country to improve its defence products and make them globally competitive,” the Minister said.
The Akash missile, now deployed in some sectors of the Line of Actual Control (LAC) during the ongoing standoff with China, saw many countries expressing interest in it during international defence exhibitions.
Akash has a range of 25 kms and can simultaneously engage multiple targets in all-weather conditions. It has a large operational envelope from a low altitude of 30 metres to a maximum of up to 20 km. The missile was inducted in 2014 in Air Force and in 2015 in Indian Army. “Akash is the country’s important missile with over 96 per cent indigenisation,” Rajnath said.
In August, the Defence Ministry issued a draft ‘Defence Production & Export Promotion Policy (DPEPP) 2020’ for public feedback with the aim to achieve a manufacturing turnover of $25 billion or Rs 1,75,000 crore including exports of $5 billion n in aerospace and defence goods and services by 2025.