Lok Sabha Question No. 2364 (UNSTARRED), answered on 2018-12-26
Subject: Defence Startups
Ministry: DEFENCE
Asked by: VINAYAK BHAURAO RAUT, Shrirang Appa Barne, SHIVAJI ADHALRAO PATIL, ANANDRAO  ADSUL

## GOVERNMENT OF INDIA MINISTRY OF DEFENCE DEPARTMENT OF DEFENCE

## LOK  SABHA UNSTARRED QUESTION NO.2364

TO BE ANSWERED ON THE 26 TH  DECEMBER, 2018

## DEFENCE STARTUPS

2364.  SHRI VINAYAK BHAURAO RAUT: SHRI SHRIRANG APPA BARNE: SHRI ADHALRAO PATIL SHIVAJIRAO: SHRI ANANDRAO ADSUL:

Will the Minister of DEFENCE j{kk ea=h be pleased to state:

- (a) whether  India  is  currently  the  largest  arms  importer  in  the  world  and  it  is increasing every year;
- (b) if so, whether the Government has launched the Defence India Startup Challenge to strengthen collaboration with defence forces and if so, the details thereof;
- (c) whether the Government has also launched a number of initiatives to support startups working in defence sector and increase their engagement with the Indian forces and if so, the objectives thereof;
- (d) the  extent  to  which  it  will  help  to  meet  the  national  defence  requirements;  and
- (e) whether the Union Government has been developing a plethora of new technology solutions in defence by incorporating the latest technologies and if so, the facts thereof?

## A    N    S    W    E    R

MINISTER OF STATE IN THE MINISTRY OF DEFENCE

(DR. SUBHASH BHAMRE)

र  ा रा य मं ी

(डा. सुभाष भामरे)

(a) to (e):

A statement is annexed.

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## STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (e)  OF  LOK SABHA UNSTARRED QUESTION NO. 2364 FOR ANSWER ON 26.12.2018

## (a) to (e):

No  authoritative and  official  information  on  India  being  the  largest importer  of defence  equipment  is  available  as  no  country  officially  reveals information on import of defence equipment. However, in the report published in February  2017  by  the  Stockholm  International  Peace  Research  Institute  (SIPRI), India has been shown as the largest importer of defence equipment for the years 2012-16.  Capital  procurement  of  defence  equipment  is  undertaken  from  various domestic as well as foreign vendors, as per extant Defence Procurement Procedure (DPP),  based  on  threat  perception,  operational  challenges  and  technological changes and to keep the Armed Forces in a state of readiness to meet the entire spectrum of security challenges. DPP  accords  the  highest  priority  to  Buy  Indian  (Designed,  Developed  and Manufactured) (IDDM). The 'Make' procedure has been simplified with provisions for  earmarking  projects not exceeding  development  cost  of Rs. 10 crores (government  funded)  and  Rs.  3  crores  (Industry  funded)  for  MSMEs;  and  with provisions  for  involving  private  industry  as  production  agencies  and  technology transfer partners. The simplified Make-II procedure has been notified for Industry funded  development  projects.  Government  has  also  promulgated  the  policy  on Strategic Partnership in the Defence Sector to encourage broader participation of the private sector in manufacture of major defence platforms and equipment. The Government has launched the Defence India Start Up Challenge (DISC) in partnership  with  Atal  Innovation  Mission,  NITI  Ayog,  which  aims  at  supporting Startups/MSMEs/Innovators to create prototypes and/or commercialize products/solutions in the area of National Defence and Security. The  Government  has  also  launched  the  Innovations  for  Defence  Excellence (iDEX), initiative with a vision to bring in innovations in defence manufacturing and also to involve the Startups in the defence system. These  initiatives  will  contribute  towards  creation  of  an  ecosystem  to  foster innovation  and  technology  development  in  Defence  and  Aerospace  by  engaging Industries  including  MSMEs,  start-ups,  individual  innovators,  R&D  institutes  and academia  by  providing  them  grants/funding  and  other support  to  carry  out  R&D development  with  good  potential  for  future  adoption  for  Indian  defence  and aerospace needs, thereby reducing the nation's dependence on imports in defence sector.

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