Lok Sabha Question No. 2102 (UNSTARRED), answered on 2016-07-29
Subject: Manufacturing of Defence Equipments
Ministry: DEFENCE
Asked by: RAKSHA NIKHIL KHADSE

## GOVERNMENT OF INDIA MINISTRY OF DEFENCE

## DEPARTMENT OF DEFENCE PRODUCTION

## LOK  SABHA UNSTARRED QUESTION NO.2102

TO BE ANSWERED ON THE 29 TH  JULY, 2016

## MANUFACTURING OF DEFENCE EQUIPMENTS

## 2102.  SHRIMATI RAKSHATAI KHADSE:

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

- (a) whether the Government has received proposals from Indian Industrial Groups for manufacturing defence equipments;
- (b) if so, the details thereof;
- (c) whether the Government proposes to export defence equipments; and
- (d) if  so,  the  details  thereof  and  the  country  likely  to  receive  Indian  defence products?

## A    N    S    W    E    R

MINISTER OF DEFENCE                                      (SHRI MANOHAR PARRIKAR)

j{kk ea=h

¼Jh euksgj ijhZdj½

(a) to (d): A statement is attached.

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## STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (d) OF LOK SABHA UNSTARRED QUESTION NO. 2102 FOR ANSWER ON 29.7.2016

1. So far, Department of Industrial Policy and Promotion (DIPP) has issued 342  licenses  to  205  Indian  private  companies  for  manufacturing  of  defence equipment such as Artillery guns, Tanks / Combat Vehicles, Unmanned Aerial Vehicle (UAVs), Helicopters, Radars, Warships etc.  Since the beginning of the financial year 2014-15, 128 Industrial Licenses for defence have been issued to 97 Indian private companies.
2. Government does not directly undertake export of defence equipment. However, to encourage export of defence equipment by Indian manufacturing companies, the Government has taken the following measures:-
3. (i) Defence  Export  Strategy  has  been  formulated  and  placed  in  the public  domain.    The  Strategy  provides  for  creation  of  an  Export Promotion Body, engaging Indian Missions / Embassies abroad in export promotion, export financing through line of credit etc., better use  of  offset  policy,  export  of  indigenously  developed  defence systems and streamlining of the export regulation process.
4. (ii) The list of military stores for the purpose of issuing NOC for export has  been  notified  by  the  Government  to  remove  ambiguity  and to make the process transparent.
5. (iii) Standard  Operating  Procedure  (SOP)  for  issue  of  No  Objection Certificate  (NOC)  for  export  of  military  stores  has  been  simplified and put in public domain.  Requirement of Government signed EUC for export of parts and components and other non-sensitive military stores has been done away with.
6. (iv) The process of applying for  NOC  for  export of  military  stores  has been made on-line.
7. (v) Specific time frame has been prescribed in SOP for issue of NOC for export of military stores.
8. (vi) The provision of 'in-principle' approval for export of specific items to specific countries has been incorporated in the SOP to enable Indian companies to explore export opportunities in overseas markets.
3. In the last three years and the current financial year, defence equipment such as Do-228 Aircraft, Offshore Patrol Vessels, Chetak Helicopters, SONARS,  4x4  Vehicles,  Simulators,  Overvests,  Ballistic  Helmets  etc.,  have been exported to major countries like Brazil, Egypt, Israel, Japan, Kazakhstan, Mauritius, Russia, Saudi Arabia, South Korea, Turkey etc.
10. *******