From 2013 onwards 'Indigenous Development' will be first choice, MOD

Discussion in 'Strategic Forces' started by rahulrds1, Apr 13, 2013.

  1. rahulrds1

    rahulrds1 Regular Member

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    Ministry's initiative to push indigenous development.
    From 2013 onwards 'Indigenous Development' will be first & default choice.

    From mid-2013, when DPP-2013 is expected to take effect, the international arms bazaar will no longer be the first choice for buying weaponry and equipment. Instead, it will first have to be established that the required equipment cannot be built in India.

    The Defence Procurement Procedure of 2013 (DPP-2013), which the defence ministry (MoD) has almost finalised, aims to fundamentally change the approach to buying new military equipment. From mid-2013, when DPP-2013 is expected to take effect, the international arms bazaar will no longer be the first choice for buying weaponry and equipment. Instead, it will first have to be established that the required equipment cannot be built in India.

    A senior MoD official involved in framing the procurement procedure tells Business Standard: "So far, the army, navy and air force have gotten away with the presumption that sophisticated weaponry must necessarily be bought overseas. Now, development in India will be the default option. Only after establishing that indigenous development was impossible will we explore the international market."

    Lip service has long been paid to indigenisation but DPP-2013 would back Indian vendors with institutional procedures. After deciding to buy a particular piece of equipment, a process called "categorisation" determines whether it will be bought from Indian or from international vendors.

    Three "categorisation" :-

    1] "Make (Indian)".

    2] "Buy & Make (Indian)"- Indian company partner a foreign vendor,with at least 50% indigenous content with full ToT & license production

    3] "Buy (Global)"-Last option.




    1]"Make (Indian)":
    If the equipment can easily be built in India, or must be because it is so sensitive that no foreign vendor will part with it (e.g. electronic warfare equipment), the procurement is classified "Make (Indian)".

    2]"Buy & Make (Indian)":
    Alternatively, if an Indian company can partner a foreign vendor to build an existing system in India with at least 50 per cent indigenous content, it is classified "Buy & Make (Indian)". Next, if in-service equipment is to be bought overseas and then license-built in India with transfer of technology (ToT), the procurement is categorised "Buy & Make".

    3]"Buy (Global)":
    Finally, if neither indigenous design nor manufacture is feasible, and the equipment must be bought over-the-shelf, the procurement is categorised as "Buy (Global)".


    MoD and DRDO officials complain that the military often cites "urgent operational requirement" to rush through multi-billion dollar arms purchases in the "Buy (Global)," or "Buy & Make" categories. The military has repeatedly argued that the urgency of a threat left no time for Indian developers like the Defence R&D Organisation (DRDO), or Indian public and private sector companies, to go through the time-consuming process of developing a complex weapons system.

    "When the DPP-2013 comes into effect, 'Make' and 'Buy & Make (Indian)' will be the default categories. If they are, for some reason impossible, the second priority will be 'Buy and Make'. The 'Buy Global' category will be the last option," says V K Saraswat, the DRDO chief.

    MoD officials admit this indigenisation drive can succeed only if Indian industry is allowed the time to develop futuristic weaponry. Last year, the military's Long-Term Integrated Perspective Plan (LTIPP) detailed the armed forces' equipment requirement for the 15 years out to 2027. Translating these projections into actual development projects will give Indian industry the lead-time to design and develop the weaponry that has been projected.

    Until recently, a declassified version of the LTIPP was proposed to be put up on the MoD website, so that Indian industry could begin technology development programmes. But this raised security concerns; and so no declassified LTIPP will be posted. Instead, Requests for Information (RFIs) will be sent to Indian vendors and consortiums, effectively inviting them to develop selected equipment.

    The RFI will detail the performance parameters of the equipment that is required. So far, these parameters were listed in a formal document termed the General Staff Qualitative Requirement (or GSQR). The RFI will effectively be an abbreviated GSQR.

    "If the military wants to buy weaponry abroad, it will be required to explain at the categorisation stage why it cannot be made in India. It will have to demonstrate the equipment was conceived well in time and that industry was given enough time to develop the equipment. Only if that was done, and industry still failed to develop the equipment, will a category other than 'Make' be considered, says the MoD official.

    "Along with the LTIPP, the DPP-2013 will give domestic developers the time needed for developing defence equipment. We need to specify what we want to indigenise. Once the industry knows that, market forces will drive investment, development activity, collaboration, joint ventures and help this country to design and develop systems," says Saraswat.

    It is evident this new indigenisation push has been accelerated by the succession of procurement scandals in the MoD, most recently that of the AgustaWestland VVIP helicopters. At a DRDO conference in New Delhi on March 23, defence minister A K Antony make a strong pitch for indigenisation.

    Ministry's initiative to push indigenous development | Business Standard
     
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  3. p2prada

    p2prada Stars and Ambassadors Stars and Ambassadors

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    Hmm, a lot of our current projects fall under the 2nd category of Buy and Make.

    Still, it is a good move. Not that it was any different before. Today it is in the media.
     
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  4. rahulrds1

    rahulrds1 Regular Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    1] "Make (Indian)": First & Default Choice,Priority. (Now its Official)
    2] "Buy & Make (Indian)": No more a First Choice, now second.(military will be required to explain at the categorisation stage why it cannot be made in India)
    3] "Buy (Global)"-very Last option.
     
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  5. arnabmit

    arnabmit Homo Communis Indus Senior Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    So more delays to defence modernization...

    The silver lining would be that maybe this will deter purchase of more and more T-90S/MS and induction of Arjun MkII
     
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  6. SajeevJino

    SajeevJino Long walk Elite Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M


    I know India always goes for Third option ...this is how IAF rejects Kaveri engine


    PS: first scrap Rafale deal and boost Tejas
     
  7. Daredevil

    Daredevil On Vacation! Administrator

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    Excellent. Now Armed forces have to plan ahead their requirements and not make last minute purchases like they used to in order to get bribes. Good policy from MoD but it should be implemented with good intention and not to delay things further and give rise to a situation where we keep buying from foreign vendors without making a situation where indigenous manufacturing is not given impetus.

    At the same time there must also be some reforms in DRDO to make it function in a result oriented and time bound manner but with providing good funding and best human talent.
     
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  8. CrYsIs

    CrYsIs Regular Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    currently option 2 seems to be the best option as India does not have the industrial and manufacturing base to go for option 1....
     
  9. Kunal Biswas

    Kunal Biswas Member of the Year 2011 Moderator

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    I am not sure what you meant by that ..

    Army :
    We use all the fire arms made in India and our AR is designed and made in India, Optics so does many other, All logistics vehicles all kind of gears are mainly Indian, Arjun tank is now operational, 105mm cannon so does 155mm OFB gun will be shortly inducted, MRLS such as Pinaka is service so does PJ-10, Dhruv and Rudra are operating which are design and manufacture inside our country..

    Air-force :
    So does LCA inducted into IAF in its first IOC-1, Dhruv and basic trainers such as Kiran are still in service.

    Navy :
    India fielding its own destroyer and frigates and way to built its first CV..



    You disagree ?

     
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  10. CrYsIs

    CrYsIs Regular Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M


    See, india is still not an manufacturing oriented nation as the govt never pushed manufacturing like in china.At present we can afford option 1 only in case where there is denial of technology,but in other cases option 2 is viable.The tanks,ships,aircraft you mentioned have been built in india but many of it's parts and components are imported.
     
  11. roma

    roma NRI in Europe Senior Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    as long as india can avoid option 3 as far as possible - this policy is a winner - option 2 is still good enough ( although 1 is of course the best - IFFF we have the techno AND can deliver in good time )
     
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  12. Kunal Biswas

    Kunal Biswas Member of the Year 2011 Moderator

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    I see your point, Yes fair enough..

    Though i would like to point out that few good once able to do dispute all what people though was impossible..

     
  13. A chauhan

    A chauhan "अहिंसा परमो धर्मः धर्म हिंसा तथैव च: l" Senior Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    Option 2 : Option 1 = 35% : 65%
    gradually increasing the option 1.
     
  14. SADAKHUSH

    SADAKHUSH Senior Member Senior Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    To achieve the above goals there has to be a blueprint for the next 20 or more years at different levels of Central and State level. I am talking about the education, industrial and R &D in public,private and educational institutions. There has to be a focused vision to achieve the goals in timely way. I hope they are able to achieve what they are visualizing.
     
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  15. Kunal Biswas

    Kunal Biswas Member of the Year 2011 Moderator

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    If i am not mistaking, DR Kalam Sir already made one.. :)

     
  16. Yusuf

    Yusuf GUARDIAN Administrator

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    How is this difference from the current system?

    Again it has to mean private participation US style. Encourage innovation. In the US, many of small but effective force multipliers are never part of any staff requirement of anything. Its developed by private companies and presented to the forces and approved if found very good. We need that kind of encouragement in India. Example can be something as "lowly" for want of better word like Helmets, clothing, BPJ for infantry.
     
  17. Illusive

    Illusive Senior Member Senior Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    1st thing we got a do is build infrastructure so that we can manufacture units at a faster and in larger no. We need more shipyards that build firagates, destroyers and submarines. Current rate of production is very low. When you manufacture something one must ensure that it doesnt get outdated by the time its inducted and that has been one of the biggest down of our defense industry.
     
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  18. Kunal Biswas

    Kunal Biswas Member of the Year 2011 Moderator

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    We need a watchman above all from IAF / IA / IN .. >>

    Army :

    Need better working facility and pay-grade so does discipline in OFB / DRDO units, Need New assemble and maintenance facility for tanks besides Avadi..

    ----------------------

    IAF :

    Need better working facility and pay-grade so does discipline in HAL units, Need New assemble and maintenance facility..

    ----------------------

    Navy :

    Need modernized, better equipped and expanded Ship yards..

    =====================
    =====================

    Workers and Scientist should get proper pay-grade and living facilities to increase moral in them, Every organization should be forcefully apply positive working nature..

    Lot more..
     
  19. Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    i agree we need a complete overhaul of our MIC with focus on indegenization but the current attitude of army,air force(unlike navy) is to go in for more and more imports for decades to come in exchange of bribes.they are more intersested in investing of foreign defence sector rather than our own.also whatever be the DPP army will design the gsqr in such a way that going global is the only option for example citing weight constraint of arjun mbt and vidhwanshak amr these promising projects are stuck.
     
  20. The Fox

    The Fox Regular Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    Untill the govt of india and DOD and CCS does not prepare a long term plan and look into the future requirement any new DPP or any other Peeeee Peeeee would not have effect on indian defence industry or the army or the corrupt leaders and officials
     
  21. SADAKHUSH

    SADAKHUSH Senior Member Senior Member

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    Re: From 2013 onwards 'Indigenous Development' will be first choice, M

    I agree with your view point. We have to be proactive in the private industry, public sector and educational institutions where chosen leaders with determinations and vision should come out of hiding and make public their vision to entire nation than demand necessary positive changes be made to accelerate the implementation of their goals without any compromise. I do not know what our ex President had laid out as in his papers for development of Defense Industry.

    I am going to Google it.
     

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