Defence Procurement: A Serious Business to Give Way to Advocacy

There is ‘understandable rhetoric’ in the media about Indian Defence Procurement. It is unsettling in a sense. Creates confusion all round. It is to the credit of DAC/MOD that it does not let itself swayed in a hurry – after all defence procurements are not be made in a jiffy. We need to be pragmatic, accountable and true to the ‘nation’, personal gains notwithstanding.

India is presently one of the largest arms and systems importers in Defence.

The MOD is likely to release a comprehensive Defense Production Policy (Drip), on the lines of the DPP to strengthen the country’s Defence Industrial Base (DIB). The DPrP and DPP will give a new impetus to indigenisation in line with our goal of near- self-reliance.

As per the DPP, The Govt. is willing to fund up to 80% of the development costs of some systems.

Also, the draft Long Term Integrated Perspective Plan (LTIPP) up to 2022 is under making.

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Consolidated FDI Policy India, Effective 01 Apr 2010

FDI in Defence Industry is permissible up to 26%, under Government route subject to Industrial license under the Industries (Development & Regulation) Act 1951 and the following conditions:

Licence applications will be considered and licences given by the Department of Industrial Policy & Promotion, Ministry of Commerce & Industry, in consultation with Ministry of Defence.

Cases involving FDI will be considered by the FIPB and licences given by the Department of Industrial Policy & Promotion in consultation with Ministry of Defence.

The applicant should be an Indian company / partnership firm.

Government decision on applications to FIPB for FDI in defence industry sector will be normally communicated within a time frame of 10 weeks from the date of ack.

Consolidated FDI Policy India, 2010

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DRDO Launches Aero Programme With Civil Industry

Gas Turbine Research Establishment (GTRE), HQ Bangalore, a DRDO lab, is the nodal agency to spearhead Rs 100 Crores initiative to fund R&D projects in the area of gas turbines. Under this venture, aero R&D projects for investments of Rs 50 lakhs to Rs 5 Crores would be considered for funding. Rs 78 Crores have already been sanctioned. GRTE would support 40 to 45 such projects.

The initiative is expected to fuel "coherent directed research" in the area of gas turbines, DRDO said.

DRDOs Approach takes into account futuristic national programmes. It would support, encourage, nurture, monitor and exploit the design, research, development and manufacturing capability of academic institutions and R&D establishments, industries and other think tanks to carry out frontline work in bringing out next generation gas turbine engine system.

The programme envisages participation of 100 R&D Centres and 1,000 scientists, engineers and technicians.

High-Tech MSMEs should come forward to join the programme.

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Today's Think Tanks

Firstly, Think Tanks should in the normal course aim to influence targeted audience for getting their ‘mind share’. It should take a ‘systems approach’ to an issue with the ultimate objective of sound implementation to achieve the desired outcome. It is not correct to say that the Policy Makers or Others may not ‘heed to the advice, or may not be influenced’ by the Think Tanks. It does in a way. If not, these are not Think Tanks then - their research results may be ‘tainted’, not in line with the democratic values, or totally out of context. Think Tanks need not work in ‘vacuum’ of any kind and should relate to the existing or future course(s). That much for the concept.

Secondly, Think Tanks need to be staffed with practicing managers/researchers and academia of the right kind to tackle real-life situations, and not be pure ‘philosophic’. These should relate to our ‘own’ environments. This would help in looking at their findings from ‘Policy Angle(s)’. Who funds it may not be very important in today’s intellectual scenario; system sees it through and places credibility on the Think Tanks accordingly. There may be hundreds of them but a few are creditworthy.

Thirdly, the subject matter to be tackled could take the form of a 'Chair’, for long life. The Chair could be established in Corporates, Universities, Foundations, etc, provided they operate under the Charter of Think Tanks. Intellect is widely dispersed.

Mr Kanti Bajpai’s Article in today’s TOI on ‘ Think Tanks in India’s Democracy’ puts the subject issue in a perspective, but the 'common notion'.

Click: Think Tanks in Democracy

'Svipja Civil-Military Relations (CMR) Chair' be seen in this context, a faithful delivery to the Indian Democracy and its People in CMR.

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