Lok Sabha Question No. 545 (UNSTARRED), answered on 2019-11-20
Subject: Import of Defence Equipments
Ministry: DEFENCE
Asked by: H. Vasanthakumar

## GOVERNMENT OF INDIA MINISTRY OF DEFENCE

## DEPARTMENT OF DEFENCE

## LOK SABHA UNSTARRED QUESTION NO.545

TO BE ANSWERED ON 20 th  November, 2019

## IMPORT OF DEFENCE EQUIPMENTS

## 545. SHRI VASANTHAKUMAR H.:

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

- (a) the action taken by the Government to reduce imports of defence equipments;
- (b) whether it is a fact that India is the largest importer of defence equipments and if so, the details thereof; and
- (c) whether the Government is encouraging production of domestic defence equipments and R&D works in the field of defence and if so, the details thereof and fund allocation made in this regard during the last three years?

## A    N    S    W    E    R

MINISTER OF STATE IN THE MINISTRY OF DEFENCE

(SHRI SHRIPAD NAIK)

रक्षा राज्य मंत्री

( श्री श्रीपाद नाईक )

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- (a)  The  Government  has  taken  the  following  steps  to  reduce  imports  of  defence equipment and encourage production of domestic defence equipment in the country:-
- i. A new category of procurement 'Buy [Indian-IDDM (Indigenously Designed, Developed and Manufactured)]' has been introduced in DPP-2016 to promote  indigenous  design  and  development  of  defence  equipment.    This category has the highest priority for capital acquisitions.  Besides, preference is accorded to 'Buy (Indian)', 'Buy and Make (Indian)' & 'Make' categories of capital acquisition over 'Buy (Global)' & ' Buy & Make (Global)' categories.

ii.    Strategic  Partnership  model  has  been  introduced  in  DPP  2016  with  the overall aim to progressively build indigenous capabilities in the private sector to  design,  develop  and  manufacture  complex  weapon  systems  for  the  future needs of the Armed Forces.

iii.    The  'Make'  Procedure  has  been  simplified  and  projects  not  exceeding development cost of ` 10 Crore (Government funded) and ` 3 Crore (Industry funded) have been reserved for Indian MSMEs.

iv.    Separate procedure for 'Make-II' sub-category has been notified wherein a  number  of  industry  friendly  provisions  such  as  a  minimal  documentation, provision for considering suo-moto  proposals  by  industry/individual  and assured order on successful prototype  development have been introduced.

(b)  There  is  no  authoritative  and  official  information  on  India  being  the  largest importer of defence  equipment as no country officially reveals information on import of defence equipment.

(c)  During the last three financial years (2016-17 to 2018-19), 149 contract have been concluded  for  procurement  of  defence  equipment,  of  these  91  contracts  have  been concluded with Indian vendors.

Defence Research and Development Organisation (DRDO), is involved in design and development of strategic, complex and security sensitive systems in the fields of missiles, unmanned aerial vehicles, radars, electronic warfare systems, sonars combat vehicles,  combat  aircraft,  sensors  etc  for  the  Armed  Forces  as  per  their  specific Qualitative Requirements for enhancing the national security of the country.  Value of systems/products/technologies  developed/upgraded  by  DRDO  and  inducted  into  the Services or in the process of induction stands over Rs.2.75 Lakh Cr.

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