Lok Sabha Question No. 81 (STARRED), answered on 2016-07-22
Subject: Export of Defence Equipment
Ministry: DEFENCE
Asked by: VISHNU DAYAL RAM, BHARAT SINGH

## GOVERNMENT OF INDIA MINISTRY OF DEFENCE DEPARTMENT OF DEFENCE PRODUCTION

## LOK  SABHA STARRED QUESTION NO.81

TO BE ANSWERED ON THE 22 ND  JULY, 2016

## EXPORT OF DEFENCE EQUIPMENT

- *81. SHRI  VISHNU DAYAL RAM: SHRI  BHARAT SINGH:

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

- (a) the major defence equipment exported to various countries by the Defence Public Sector Undertakings (DPSUs) and Ordnance Factories along with its value during the last three years and the current year, country-wise; (b) the  extent  of  increase  registered  in  the  export  of  defence  equipment  to  various countries by the DPSUs and Ordnance Factories during the said period; (c) whether any limit has been fixed for export of defence equipment manufactured by DPSUs and if so, the details thereof; and
- (d) the  measures  taken  by  the  Government  to  augment  the  export  capabilities  of various DPSUs and Ordnance Factories?

## 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 laid on the Table of the House.

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## STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (d) OF LOK  SABHA  STARRED  QUESTION  NO.81  FOR  ANSWER  ON 22.7.2016

Some of the major defence equipments exported by  Defence Public  Sector  Undertakings  (DPSUs)  and  Ordnance  Factories (OFs)    are  Patrol  Vessels,  Helicopters  &  their  spares,  Sonars  & Radars,  Avionics,  Radar  Warning  Receivers  (RWR),  Small  Arms, Small Caliber Ammunition, Grenades, Telecommunication equipments etc.  The value of export during each of the last three years  and  the  current  year  as  obtained  from  DPSUs  and  OFs country-wise is at Annexure.

2. To encourage export, DPSUs have been permitted to export upto 10% of their annual production.  For items, where there is a capacity  constraint,  if  DPSUs  export,  they  would  be  required  to ramp up their capacity accordingly in subsequent year.
3. Government has taken several measures to promote export of  defence equipments.  Some of the measures to streamline the export process and enhance the export potential are as under:-
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.

……2/-

(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. (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. (iv) The process of applying for NOC for export of military stores has been made on-line. (v) Specific  time  frame  has  been  prescribed  in  SOP  for issue of NOC for export of military stores. (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.

- (vii) The DPSUs/OFs also participate in International defence  exhibitions  in  major  countries  like  France,  United Kingdom, Brazil, Japan, South Africa, Indonesia, Singapore, Thailand, Germany etc. to showcase their defence products and to explore business opportunities abroad.
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## ANNEXURE REFERRED IN THE REPLY GIVEN IN THE STATEMENT IN  PARTS (a)  TO  (d) OF  LOK  SABHA  STARRED  QUESTION  NO.81 FOR ANSWER ON 22.7.2016

## Country-wise export of defence platforms, equipments and spares by DPSUs/OFs

(Rs. in Crore)

| Country        |   2013-14 |   2014-15 |   2015-16 |   2016-17(upto 30.06.2016) |   Total |
|----------------|-----------|-----------|-----------|----------------------------|---------|
| Mauritius      |      3    |    408.76 |     93.72 |                    136.93  |  642.41 |
| Sri Lanka      |     95.25 |    186.82 |    141.03 |                    144.32  |  567.42 |
| Russia         |    158.84 |    135.12 |    151    |                      4.15  |  449.11 |
| Myanmar        |    112.79 |    132.18 |    154.13 |                     18.79  |  417.89 |
| Israel         |      2.76 |     38.93 |    161.14 |                     12.1   |  214.93 |
| Nepal          |      0.91 |     85.49 |     49.79 |                      0.54  |  136.73 |
| Afghanistan    |      0    |     74.6  |      6.66 |                      0     |   81.26 |
| USA            |     40.65 |     23.56 |      9.56 |                      0.6   |   74.37 |
| Ecuador        |     23.59 |      7.29 |      2.13 |                      0     |   33.01 |
| Suriname       |     18.37 |      0.11 |     12.63 |                      0     |   31.11 |
| Malaysia       |      3.4  |      0.53 |     25.69 |                      0.23  |   29.85 |
| Slovakia       |      0    |      0    |     22.82 |                      0     |   22.82 |
| Italy          |      0.23 |     15.24 |      0    |                      0     |   13.01 |
| Tajikistan     |     13.01 |      0    |      0    |                      0     |   13.01 |
| Indonesia      |      3.22 |      1.62 |      3.33 |                      0.92  |    9.09 |
| Switzerland    |      2.25 |      1.56 |      1.86 |                      0.83  |    6.5  |
| Oman           |      4.3  |      0.28 |      0    |                      0     |    4.58 |
| Seychelles     |      0.52 |      0    |      2.53 |                      0.006 |    3.06 |
| Namibia        |      0    |      1.99 |      0.64 |                      0.33  |    2.96 |
| Egypt          |      0    |      2.7  |      0    |                      0     |    2.7  |
| Botswana       |      2.53 |      0    |      0    |                      0     |    2.53 |
| Romania        |      2.42 |      0    |      0    |                      0     |    2.42 |
| Turkey         |      0    |      1.14 |      0.1  |                      0     |    1.24 |
| France         |      0.61 |      0    |      0.31 |                      0     |    0.92 |
| Sweden         |      0    |      0.8  |      0    |                      0     |    0.8  |
| Bulgaria       |      0    |      0    |      0.73 |                      0     |    0.73 |
| Maldives       |      0    |      0    |      0    |                      0.66  |    0.66 |
| Zimbabwe       |      0    |      0    |      0.05 |                      0.49  |    0.54 |
| Bhutan         |      0    |      0    |      0.01 |                      0.26  |    0.27 |
| Czech Republic |      0.15 |      0    |      0    |                      0     |    0.15 |
| Bangladesh     |      0    |      0    |      0.06 |                      0     |    0.06 |
| Germany        |      0.05 |      0    |      0    |                      0     |    0.05 |
| UAE            |      0.03 |      0    |      0    |                      0     |    0.03 |
| Others         |     15.03 |      1.72 |    122.66 |                     64.88  |  204.29 |
| Total          |    503.91 |   1120.44 |    962.58 |                    386.03  | 2972.96 |

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