Indian defence industry exports watch

abingdonboy

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Naval vessels
MCIWS
TATA and Ashok Leyland Trucks/Mine protecting vehicles
Sonar/Radars
Brahmos
Barak 8

IMO these have a lot of potential for export in future.
-Akash also given that it is already in service and proven
-ASTRA
-NAMICA/NAG could be attractive to some African nations
-LCH and LUH are potentially very attractive exports products
 

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-Akash also given that it is already in service and proven
-ASTRA
-NAMICA/NAG could be attractive to some African nations
-LCH and LUH are potentially very attractive exports products
I doubt Akash would ever found a customer reason being its largely based on SA 6.

Our best hope for Akash was Vietnam but they went for Spyder ER with 50 ~ km range and possibly Barak 8.

But i think NAG/Helina has a lot of export potential since its only 4 or 5 ATGM in the world with Top Attack feature.

Chinese are still testing their HJ 12.
 

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What exactly did we export this year?

Did we export any complete systems? not just components or sub-assys.... I guess at least some trucks
 

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What exactly did we export this year?

Did we export any complete systems? not just components or sub-assys.... I guess at least some trucks
between 2010-11
We exported worth $17 million defence equipment
Between 2011-12, we exported $167 million.
It is said to have reached $300 million between 2014 and 15.
Let's see when it crosses $1 billion. :peace:

We export generally complete Radar and Surveillance systems, Rifles, warships, avionics etc.
 

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Indian Communication Firm Himachal announces move into defense manufacturing

Mumbai-based telecommunications firm Himachal Futuristic Communications (HFCL) has announced a move into the defence manufacturing sector in a bid to meet Indian requirements for locally sourced material.

HFCL, which has previously provided communications networks for the Indian military, said in a filing to the Bombay Stock Exchange on 21 March that it has already received industrial licences from the Indian government that permit the company to manufacture a range of defence articles.

These, it said, include the production of electronic fuses, electro-optical devices, communications equipment, electronic warfare systems and radars, as well as the design, development, and manufacturing of aircraft, including helicopters.

Source>>
 

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See $3 billions defense order; Eying Govt as Strategic Partner : L&T

L&T works closely with defence research organisations to develop and manufacture weapon and missile systems

Engineering and Construction major L&T is eyeing an increase in order inflows, says JD Patil, Senior VP, Defence & Aerospace. Taking on new orders, Patil added, will depend on completing the current pipeline.

Hoping this current financial year will remain positive, L&T expects USD 3 billion in defence order inflows. Patil is hopeful of the order book crossing Rs 80,000 crore for the Indian industry. Patil estimates about 15 percent of the pie to be spent on payments, putting the figure roughly at Rs 10,000-Rs 12,000 crore in the first year.

L&T is interested in taking on the government as a strategic partner. But since it is a non-competitive process, the process might need approvals, feels Patil. The defence procurement policy is a step in the right direction, especially for long-term private players such as L&T, believes Patil, calling it a 'differentiator'.

Below is the verbatim transcript of JD Patil's interview with Latha Venkatesh & Reema Tendulkar on CNBC-TV18.

Latha: How positive is the new defence procurement policy. I believe there is going to be a push for the Make In India, what you call Indian designed, developed and manufactured (IDDM) products. Is that a big deal for your company?

A: It is not only a big deal for L&T but for a lot of long-term players in Defence because this is a differentiator which essentially says that Indian companies can design, develop, manufacture military goods which in the past had always been only reserved for the government sector.

Reema: How soon will the orders come through under the new defence procurement policy and what could we expect for L&T defence in particular?

A: It should by a normal cycle of about two-two-and-a-half years but the minister clearly said that he is reviving the fast track procedure and fast track procedure can make it happen in about one-one-and-a-half year.

Latha: You mean the orders come in one-one-and-a-half year?

A: Absolutely.

Reema: FY18, since it will take one-one-and-a-half year at the earliest, so we shouldn't expect any order inflows for the industry in FY17?

A: FY17 is what will happen based on what is in the pipeline right now.

Reema: What is the pipeline, if you could quantify that?

A: As of now the pipeline of L&T is healthy because the current government is making a lot of indigenous buying decision, so we see this current financial year starting from April 1, to be quite positive. We expect about USD 3 billion of order inflow.

Latha: For the industry itself, how much do you think? Will be the orders floating for Indian industry as a whole by end of FY17?

A: I think Indian industry order should at least cross about Rs 70,000 crore to Rs 80,000 crore because that's a room which the minister would have within the current budget.

Latha: How much would get spent in the first year, FY18?

A: Typically first year is about 15 percent because when you sign up about Rs 70,000 crore to Rs 80,000 crore, you only need Rs 10,000 crore to Rs 12,000 crore to pay.

Reema: We understand that one Chapter still needs to be cleared and that is chapter VI, which deals with the appointment of strategic partners in the private sector - a) by when can we expect a clarity on this Chapter VI and b) would you be interested in getting in a strategic partner?

A: Absolutely sure, in fact the process involved for strategic partners would mean a cabinet committee approval, so very rightly the minister hasn't rush through. He wants to take his time and go through a proper process in getting this thing through because this is non-competitive process and since it is non-competitive it certainly would require proper approval.

Second, this is a game changer because instead of importing the minister is saying that I would want to buy preferentially from someone who genuinely has those capacities, capabilities in place. Therefore, to answer what you said, certainly L&T would be one who would be looking to be a strategic partner.

Latha: The relaxation of blacklisting norms, is that material?

A: Not for Indian companies. We never have been using any agent, so to that extent it's for the foreign companies.

Source>>
 

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India targets 60% Indigenous Defense Procurements

Israel's Elbit System's technicians evaluating the Automatic Gun Control System of the Kalyani Group's Bharath-52 Futuristic Towed Artillery Gun. The Bharat-52 is a long-range 155mm/52 caliber gun. It is the first indigenous solution of its kind designed and developed in India

India is targeting to increase the share of totally indigenous content in its procurement to 60 per cent in the next four to five years. Though at present 60 to 65 per cent defence procurement was done from Indian companies but net indigenous content was only 40 per cent after imported element in Indian products was counted, Secretary (Defence Production) AK Gupta said here today.

He was answering questions at a briefing about the 9th edition of the Defexpo India, a biennial exhibition of Land , naval, Internal Homeland Security and Defence System, being organised by the Ministry in Goa from March 28 to 31.

Mr Gupta said the exhibition was important in the backdrop of the push being given by the Government to the 'Make in India' program.


Ordnance Factory Board's Dhanush Towed Howitzer

He said India's defence prowess would increase considerably if it enhanced manufacturing, designing and exporting in the defence sector.

The Secretary said the government was looking at both transfer of technology and collaboration in production in India, adding that one could go for foreign technology where the need was more immediate and in other cases, one could wait for indigenous development.

He said the Defexpo India would provide an important platform for India and foreign companies to explore possibilities of collaboration, export and import.

This time a record number of 1030 companies from 47 countries, half of which were Indian, were participating. During the show, for the first time there will be two 'live demos' which was not possible at the Pragati maidan here, the usual venue of the expo.

DRDO, and only Indian companies including Tata and Barat Forge will participate in the demo. The Defexpo will showcase Aakash missiles, Dhanush guns.

Source>>


@Illusive @sorcerer @Superdefender @Gessler @Chinmoy @garg_bharat
 

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BEL to spotlight its Indigenization efforts during DefExpo 2016


Defence public sector Bharat Electronics Ltd (BEL) is to showcase its capabilities to design, develop and manufacture products and systems for the armed forces as well as its indigenisation efforts in line with the Government’s ‘Make in India Initiative’ at Defexpo India 2016, the biannual Land, Naval and Internal Homeland Security Systems Exhibition to be held from March 28-31, 2016, at Naqueri Quitol in Quepem Taluka of South Goa.

BEL will exhibit a wide portfolio of products and systems which address the needs and expectations of its major customers: the Indian Army, Indian Navy and Indian Air Force, along with the para-military forces.



The display will include land and naval radars for surveillance, navigation, weapon location and fire control; multi-band tactical radios, ship and airborne tactical data link, IP gateway; a range of communication encryptors supporting different interfaces and speeds; portable Unit Level Switch Board Mk III and SRAX; Land, Naval and Airborne Electronic Warfare systems and avionics products such as Jammers, DF systems, Light Weight ESM systems, latest generation Radar Warning Receivers, heliborne protection suites and different LRUs of UAVs; XD4 and XR5 II Tube-based night vision devices and weapon and tank sights, thermal imagers, laser range finders, Laser Warning Systems, electronic fuses and a variety of batteries for various applications.

The upgraded L-70 gun, upgraded electronic systems for the 155 mm/52C artillery gun, a model of the upgraded Schilka Weapon System, Tank Intercom System, Integrated Fire Detection and Suppression System (IFDSS), CoMPASS and other customised displays for tanks. Models of various elements of the indigenously designed and developed Akash Missile System, Sonars and IAC MoD C along with Lynx U2 Tracker Mount will also be on display.

Source>>
 

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To ensure ₹3,000-cr projects take off, HAL plans to rope in more vendors

Going digital The company is working on a new web portal, which will showcase all projects available for indigenisation
Hindustan Aeronautics Limited (HAL) is selecting more vendors for some its indigenisation programmes in the aerospace sector.

“Currently, the company is working with over 2,000 vendors in the MSME segment,” said A Selvaraj, Head, Indigenisation Cell of HAL.

“This is required as we have to hasten the indigenisation efforts. In future, we will focus on design and development of aircraft, and the role of the private sector will be significant as programmes totalling over ₹3,000 crore are to be executed,” he added.

The company is working on a new web portal, which will showcase all projects available for indigenisation. Speaking at an interactive session on business opportunities in ‘Defence Indigenisation’, organised by Engineering India Foundation and ProSIM R&D, Selvaraj re-iterated that HAL’s policies were to make it conducive for private sector participation.

In components such as nuts, bolts, fasteners alone, a new business of import substitution to the tune of ₹2,500 crore will be made available to the private sector and MSMEs.

CP Suresh, General Manager (Technology Planning) at BEL, highlighted various indigenisation programs that are currently ongoing at (Bharat Electronics Limited) BEL. He mentioned that about 358 items have been reserved for MSMEs.

Role of private sector
Speaking in favour of participation of private companies, especially the MSMEs in defence indigenisation, S Shamasundar, Managing Director of ProSIM R&D, said: “Indigenisation is needed to achieve self-reliance, reduce foreign exchange outflow, develop technologies, and also create business opportunities for export.”

“Due to the policies of current government, there seems to be an increased thrust on this indigenisation. The ‘Make in India’ initiative is giving further fillip to this strategic need of indigenisation,” he added.

Business opportunities worth several billions of dollars (estimated to be excess of $30 billion in defence imports) are squandered due to lack of proper policy frame work, political will, and institutional mechanisms.

Shamasundar said that Engineering India will create a core group consisting of all stake holders – armed forces, DRDO labs, private sector, MSMEs, academic institutions, to push the agenda for indigenisation.
 

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Rafael in JV talks with Bharat Forge For Spike Missiles Production in India


Rafael is discussing a joint venture with Bharat Forge to produce Spike Anti-Tank Guided Missiles (ATGM) in India.

Rafael has completed all preparatory work with Bharat Forge for the collaboration, President and CEO of the company Yoav Har-Even told Vayu in an interview.

Rafael is also in talks with Bharat Dynamics Limited (BDL) – a prime integrator of the missile, to become a Tier 1 supplier to BDL and to help in indigenous manufacturing of systems by supplying subsystems to BDL.

Spike is a third generation, fire-and-forget, man-portable, anti-tank missile. In all, about 40,000 missiles are required to equip the Army’s 382 infantry battalions and 44 mechanised regiments.

In October 2014, the Defence Acquisition Council chaired by then Defence Minister Arun Jaitley had cleared the Spike ATGM deal worth Rs. 3,200 crore deal for 8,000 plus missiles, 300 plus launchers and requisite transfer of technology to an Indian firm.

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Kalyani Group Likely to tie up with Humvee : Baba Kalyani


Almost a year after the government introduced the Make in India programme, Kalyani Group has four artillery platforms that are fully designed and manufactured in the country, says Group's Chairman & Managing Director, Baba Kalyani.

Speaking from the sidelines of Naval and Homeland Security Exhibition, Defence Expo 2016, Kalyani says the company will be launching new products including American company AM General’s Humvee for the domestic market.

The industrial group will tie up with AM General, he says, adding: ”We need to produce it at a price point, which is suitable for the Indian market.”

The 2016 Defence Procurement Policy (DPP) is a good policy platform to work with, says Kalyani. The newly-introduced Indigenously Designed, Developed & Manufactured (IDDM) category is a certain positive move, he added.

The major challenge for the Defence Ministry is adopting the new framework quickly, he said. The company is keen on joint ventures (JVs) and will announce atleast 2-3 JVs this year, he added. The company will also target an opportunity of 4,000 guns needed by the Army in next 20-25 years, Kalyani said.

Below is the transcript of Baba Kalyani’s interview with CNBC-TV18's Rituparna Bhuyan:

Q: It has been about one year of Make in India. What is the Kalyani Group doing as far as defence is concerned? Why don't you start with this platform which is at display?

A: First of all as a company hardly any company hardly any company has done what we have been doing. We believe in Make in India, we have now four artillery platforms that are 100 percent designed and manufactured in India.

You can see all of them including the Ultra Light Howitzer and we have some newer products which is the famous American HUMVEE which AM General wants to now manufacture in India for the armed forces in India as well as for exports. So, yes, there is a lot of excitement.

Q: Will you be tying up with HUMVEE for their platforms in India?

A: Yes, certainly. It is their product, it is not our product. But we need to produce at a price point which is suitable for the Indian market and for the South East Asian markets. I think we can make that happen.

Q: If you can also give us some idea about the kind of platforms that is under development as of now because indigenous design development and manufacturing (IDDM) that is a new category which has been introducing Defence Procurement Procedure (DPP). What is your comment on DPP and IDDM?

A: We are very happy that we have a category called IDDM. Designed and developed and manufactured in India. We have four platforms right there, we have the 105 light gun which is 100 percent indigenous. We have the Ultra Light Howitzer which is 100 percent indigenous.

We have the 52 calibre 155 millimetre gun which we made out of the first platform we made and even exhibited during the last defence expo which is 100 percent indigenous. Now that platform has undergone firing trial and firing test and come out with flying colours.

Now we will give a product to the army for field trial. So, this is what the new category will provide us and if what is written in the DPP that indigenously designed and developed products they are talking about 40 percent indigenous content, our is 100 percent indigenous content.

It also makes us very competitive because when we manufacture everything our costs are much lower and it makes us very competitive. We have now a good policy platform to work with. We have products ready, we just have to find a way to test them and take them to the market.

Q: Does it mean that we could see more capital expenditure (capex) from the Kalyani Group as far as the defence is concerned?

A: Yes, capex will be related to orders that we get. We have already spent a lot of money and built capabilities, built the manufacturing capabilities. We now have manufacturing capabilities to manufacture 100 guns a year of 155 calibre and we can make them ultra light, we can make them 52 calibre, we can make them truck mounted, we can make them towed. We have all the designs ready with us. So, that is something that will happen pretty quickly.

Q: From your side you were ready as far as design and development part is concerned. So, going forward what kind of programs will you be targeting, if you can give a brief idea of the kind of programs that you will targeting?

A: The army requires 4,000 plus guns in the next 20-25 years. That is what is in their perspective plan. So, obviously even if we were to do half of them or one third of them it is a lot of guns and a lot of value. So, we are going to be there.

Q: The new defence policy explicitly says that if foreign guys want to come into India they will have to tie up with Indian companies like you. Going forward are you exploring joint ventures and tie ups with foreign companies?

A: We have joint ventures. We have a joint venture with Rafael, we have a joint venture with Elbit Systems, we are talking to three four other companies, AM General for example. The next thing we want to do is ammunition. So, yes, the days of imports are over for India.

That is clear from the Prime Minister's Make in India policy and defence minister's new DPP 2016. The import regime is over. We have a lot of things in the pipeline from the previous processes and now we have a new procurement policy. The challenge in front of the ministry of defence is how quickly they adopt themselves to the new policy.

Q: So, do we see the new joint ventures this year itself?

A: Yes, you will see at least two or three new joint ventures announcements this year and formation this year.

Q: This is the platform, it has obviously got me excited. So, as far as the HUMVEE is concerned what can you tell us, when do we see production, will there be a new production line that will be set up here?

A: Yes, once we pass through the process of meeting qualitative requirements (QR) etc and that is all done and we get a cost number which we feel is competitive we will set up a production line.

Source>>
 

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By 2017, India should cross Rs 1 bn in defence export: Manohar ParrikarParrikar - Defence Aviation Post
By Anupama Airy

EXCLUSIVE Interview with India’s Defence Minister Manohar Parrikar

Headline: By 2017 India should cross Rs 1 billion in defence export: Manohar Parrikar

The face of the Indian defence industry and armed forces is changing rapidly with a strong focus on indigenisation. The man leading that change is Manohar Parrikar, India’s defence minister. Parrikar has worked extremely hard over the last one-and-a-half years to bring a complete turnaround in the defence establishment. In an exclusive interview with the DefenceAviationPost.com, which is also Parrikar’s latest interview so far, the minister spoke about his future plans and the key security issues facing the country.

Excerpts:

Q: The new Defence Procurement Policy is being referred to as a game changing policy for the sector. How do you see it altering the Indian defence growth story?

A: In the new DPP, we have tried to shift the focus on Make-in-India, to small and medium scale industry. Then, we are stressing on time-bound procedures.

The defence sector has a strange set of procurement procedures which do not normally exist for other procurements. One obvious reason is that products need to be tested as unless successful testing is done these costly equipment can’t be procured. So testing is a major criteria and this was so far not allowed to Indian private companies and was resulting into major delays. So the new DPP opens up testing facilities. Various defence PSUs are also offering facilities to the private sector. The new DPP will address these concerns of the industry in detail.

Q: Under the new policy, will companies have open access to testing facilities?

A: Yes. That’s right. But they will have a fee for it where you pay and test.

Q: The Make-in-India initiative is gaining ground. The new category of ‘Indigenously Designed, Developed and Manufactured’ (IDDM) equipment reverses the local mix from 70:30 to 30:70. Do you have any timelines for its implementation?

A: It won’t happen overnight. In the new DPP for IDDM it will be only now that things will be processed. Orders may be placed after one year and actual production will start after a year. So, it is in 2017 that we will start seeing the real impact. Of course, some push that we had given earlier would result in some shifting of the balance during the current year.

Q: We see a sudden rush from big corporates who want to invest big time in the defence sector, in manufacturing facilities and production. Already some 50 MoUs have been signed and over 350 licenses given. Is there any kind of a mechanism that you are going to put in place to monitor that everything that is being talked about actually takes-off?

A: Unlike other sectors the buyer is only one except for exports, which we have opened up. In fact, the recorded NoCs for export granted by us in spite of the fact that we have reduced the number of items under restricted export in defence, has almost tripled as compared to last year and grown by five times the earlier years. We are now touching around Rs 2000 crore this year. I expect growth of another 50%-100% because of offsets.

In the next year, we should cross Rs 1 billion in exports, which itself will be an achievement. Except the export part of it, the rest is produced and purchased by the Indian defence forces. These are part of preparations. These are not actual fructification. The fructification will happen in the current year for some in the private sector whom we are already placing orders with. In fact, Tata’s have developed 6×6 (truck for Indian army), Larsen & Toubro is in the final stage of getting the order for self-propelled guns.

Q: Will the entry of private companies affect the role of defence PSUs and DRDO?

A: PSUs are also part of Make-in-India. We are asking them to broaden their vendor base and get products outsourced so that the private industry also develops in course.



India’s Defence Minister, Manohar Parrikar

Q: Indian defence companies say their products are comparatively much cheaper to, say those supplied by US companies, like for example the ultra-light weight howitzers developed by the Kalyani Group is around 50% cheaper than that manufactured in the US. Aren’t we spending a lot for importing equipments like these?

A: I am not aware of the costs but I will definitely find out. We are serious on indigenously developed products and I will talk to them.

Q: What are the key things in the DPP that make you happy?

A: One is more flexibility. We have drafted a preamble which can guide the DPP procedure so that bottlenecks don’t take place. The other is timeline. The RFP from AOM is only six months. Third is more flexibility in determining the required parameters.

Q: Will the DPP give preference to MSMEs?

A: Introduction of IDDM in the new DPP policy is the biggest game changer. If someone can develop a design and develop a product in India, even if we are now buying from a foreign source, the subsequent purchases will have to go to IDDM.

Q: Are you happy with the budget allocation? How would you in the present constraints of fund allocation priorities your plans on modernization?

A: I don’t see a big fund constraint. Let me put it this way, in a month if a family eats say 20 kg of rice they may consume around 500 grams a day — so budgets have to be seen in that angle. What do I require today? One is my committed liabilities. I am talking about capital acquisition so if I have placed orders with the vendors then as they supply I have to go and pay. For example, Apache Helicopter for which I placed the order in October. It will be supplied in 2018. Initially, I paid some 15%. The total including the weapon package was about Rs 21,000-22,000 crore. I paid only Rs 3000 crore. How much do I require as per the calibrated payment terms — maybe I will require another Rs 1500 crore this year and Rs 1500 crore next year and maybe some Rs 5000 crore or Rs 8000 crore the year after. So what I do today has its impact in next 5-10 years and what was done in 2012-13 is going to reflect now.

Q: So, you don’t see any deficit in funds?

A: This year whatever is available to us is probably ok. If there is some minor requirement you can always go and….but I don’t think there is any big shortage of funds.

Q: What are your expectations out from the DefExpo 2016?

A: One is obviously export. Let Indian capabilities be seen by everyone. I think many foreign companies might tie-up with Indian companies for purchase from India. If not the developed countries, may be developing countries. It is also an opportunity for Indian companies to tie up with foreign collaborators and may be in some cases, an opportunity for us. So, while I say that Make-in-India is a stress point it is not at the cost of operational capability of the army, the air force or the navy.

Q: What about China and Pakistan’s participation in the Defexpo?

A: I don’t see a big issue in inviting or not inviting. Traditionally they have not been invited but I think from China we had some people to visit if I am not mistaken. There is no calibrated decision specifically taken in this regard.

Q: You could have broken this trend and extended an invite to Pakistan this time around?

A: I think the atmosphere needs to be developed still better. In principle I want a very good relation with Pakistan. There are a few steps they have taken. I hope they continue with the steps. Today, I saw a statement from Sharif that they want to stop terrorism from their land. I am not born anti-Pakistan. Depending, like we are building up confidence bridges with the Chinese, slightly higher level may result into….. we buy so many things from Pakistan…. this may also result into a better (relations).

Q: Please tell us something about your upcoming visit to China next month?

A: It’s a normal visit which happens as per schedule. They had invited me. These are processes of getting the relations better and better. They are much better than what they were two years back. They can still become better. The day might come when they agree to settle the border dispute.

Q:The double finance scrutiny first by MoD and then by finance ministry is making defence procurement cumbersome. Why should there be a double scrutiny at all?

A: Ask that question to the finance ministry. If you ask me it is a triple level — MoD, then our own finance department and then the MoF. I think it’s a case for a higher delegated power. It will be taken up but I don’t see it as a big problem. I have no problem in finance expenditure going through it.

Q: Your comments on the government’s plans to cut foreign vendor contracts by 30% in the next two years?

A: We don’t intend to cut. We intend to purchase locally so automatically the procurement from outside will reduce.

Q: In Rafale jet deal pricing is a big issue? Even the law ministry has recently raised some objections?

A: Price is equally important. While I want the aircraft I will definitely be interested in the right price. The objections are being attended to.

Q: On statements from Rafale that it’s up to India to decide?

A: I will not comment on it.

Q: Any timeline you have fixed for the Rafale deal?

A: I don’t fix timelines but I am definitely interested in finishing it as early as possible.

Q: You have said even small incidents of terrorism must be treated as war. Can you please elaborate?

A: Why does someone engage in terrorist or guerilla warfare? Guerilla warfare is resorted to when the small enemy cannot bring down the big one so he continuously nibbles or bites the big enemy piece by piece. They (militants) know they are on suicide mission still they come because they want big publicity, they want to create some sort of psychological impact so if we treat it as a war and don’t start analysing it as we analysed Pathankot, I think that would stop the attacks. The full ecosystem of the attacks will be nullified.

Q: Is there a new strategy to handle such incidents?

A: It is the strategy of the press, the media, it is a strategy of operation. I was telling them don’t start too much questioning on such things because they only strengthen the enemy.

Q: Your government is completing two years in office? How do you think it has performed?

A: I am happy because this government is doing more than reasonably well. The foundation is already there and lot of things have been done by this government which had been in limbo for last 10-12 years so I feel that in another one year we would be very clearly reaping the benefits of the seeds that have been sown by this government and things that have been done by this government.
 

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Some of the major contracts that could be signed between 2017-2021 if the negotiations are successful
These include the worth of the contracts and not deliveries , and the value is an approximate figure-

1. 40 Tejas mk1/Trainer version .20 to Sri Lanka and 20 to Egypt.Cost of each Aircraft -30mil$ + 10 mil$ spares and accessories = 40 mil$. Total 1.6 Billion$

2. LCH - 2 unnamed countries are seem to be interested. Approx cost of each LCH is 20mil$ and guessing about 40 in total can be sold to the 2 countries - Total value 800 Million$

3. 2 Kamorta class warships to Philippines. Phil has chosen the Kamorta Class for their Frigate requirement. 250mil$ each ship. Total 500Mil$.

4. Thailand and Myanmar are interested in TATA trucks and Thailand seems to be interested in the Kestral too. Expecting a total order of around 500 mil$ atleast, if not more.

5. BrahMos, waiting to be exported, no doubt. Contract worth 2 Bil$ atleast to be signed by 2021 and revenues to be shared equally by India and Russia. Value for India - 1 Billion$.

These are 5 Major export possibilities where the customers are already interested and only the negotiations need to be worked out. The amount totals to 4.4 Bil$.

Others include, AEW&Cs to Indonesia , Military Vehicles to the Middle East and other Asian and African nations, Various Radars and Sonars, and other Spares and accessories.
 

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Defence `Make in India' will benefit SMEs as well: Parrikar
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25 April 2016
The new defence procurement policy (DPP) tries to shift the focus of `Make-in-India' to small and medium scale industries and the government is stressing on time-bound procedures to achieve that, defence minister Manohar Parrikar said.
The defence minister is reported to be meeting representatives of industry associations to take their views on the controversial ''strategic partnership'' agreement that the government plans to enter into with private firms in critical defence projects like building submarines and fighter planes.
The defence minister's meeting with industry associations comes amidst scepticism among industry and policy makers on the spillover effects of the "strategic partnership" agreement on the economy.
Defence sources said five members each from CII, FICCI, Assocham and PHD Chambers of Commerce and Industry, besides a defence grouping DIIA, will be meeting Parrikar for discussion followed by a dinner amidst strong reservations expressed by industry chambers on the subject.
While the private sector itself feels that only the big firms will benefit from the government's move, even large firms are not open to the idea as they say the policy would restrict them to specific fields and that their overall investment and plans will get affected.
The defence sector has a separate set of procurement procedures, which do not normally exist for other procurements. This is because that products need to be tested as unless successful testing is conducted, the costly equipment can't be procured. So testing is a major criteria and this was, so far, not allowed to Indian private companies and was resulting into major delays.
Reports quoted Parrikar as saying in an interview that the new DPP opens up testing facilities while the various defence PSUs are also offering facilities to the private sector. These, he said, will address the concerns of the industry on an even spread of the benefits of the policy, bringing benefits to the smaller and medium industries as well.
He said the new DPP tries to shift the focus on Make-in-India to small and medium scale industries and there is a time-bound procedure.
The Make in India initiative is gaining steam. The new category of 'Indigenously Designed, Developed and Manufactured' (IDDM) equipment will reverse the current local mix requirement of 30 per cent to an actual rate of 70 per cent over time.
''It won't happen overnight. In the new DPP for IDDM, it will be only now that things will be processed. Orders may be placed after one year and actual production will start after a year. So, it is in 2017 that we will start seeing the real impact. Of course, some push that we had given earlier would result in some shifting of the balance during the current year,'' Parrikar was quoted as saying.
 

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Bharat Forge Wins Titanium Forging Contract for Boeing 777X Airplane

Pratyush Kumar, president, Boeing India and Subodh Tandale, executive director, Bharat Forge signing the contract
Boeing has awarded a contract to Bharat Forge to supply titanium forgings for Boeing 777X airplane.
The titanium forgings will be developed and manufactured by Bharat Forge using a closed die forging process. The first two forgings are scheduled to begin shipping to Boeing in late 2016, and will be followed by two more forgings in early 2017, Boeing said in a statement Tuesday.
Bharat Forge completed its first shipment of titanium flap-track forgings for the Next-Generation 737 earlier this year. The company will also supply forgings for the 737 MAX, scheduled to enter service in 2017.
 

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Defence ministry lists out 23 projects for private industry

In a first, the defence ministry has listed out 23 major projects from the three armed forces— from UAVs, glide bombs to underwater systems and tank engines.
NEW DELHI: In a first, the defence ministry has listed out 23 major projects from the three armed forces— from UAVs, glide bombs to underwater systems and tank engines — it will earmark for the Indian companies under the Make in India category.
The list, which has recently been drawn up by the ministry in consultation with the three armed forces, for the first time shares details of the requirements in the coming years as well the schedule for acquisition, things that were shrouded in secrecy in the past. The new-found openness is being driven by defence minister Manohar Parrikar who has stepped up outreach and is in regular touch with industry bodies and major companies indulged in military manufacturing.

Among the projects that have been listed out are 125mm smooth bore gun barrel for battle tanks, targets for torpedo firing, advance pilotless target aircraft, mine layers and diesel engines for naval boats. Besides technical specifications of the equipment, the ministry has also specified quantities to make it easier for the industry to planinvestments into technology. For example, the IAF has listed its requirement of long-range glide bombs thousand per year and it wants to acquire them at the earliest. Similarly, the Army wants to annually acquire 5 pilotless target aircraft starting next 2-3 years.
"Interested Indian companies are requested to carry out preliminary assessment regarding their technical capability to undertake these projects and economic viability of the project," a ministry of defence concept note reads.
The department of defence production, which is leading the project to attract companies under the Make in India initiative has also said it plans to hold an "interaction seminar shortly with interested companies so as to finalize the list and progress the proposals further".
While the release of specifics by the ministry has brought some clarity to companies planning to invest in new technologies and research and development, experts warn that the ministry may need to help the industry further in terms of assistance in technology acquisitons.
The authorities should offer the requisite technology or else at least help the potential bidders in getting the same, without which these programs will be challenging to execute for the domestic private industry," says Ankur Gupta, Vice President Defence at EY India.
 

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Private sector evinces interest in supplying to defence
Awareness and interest in supplying to the defence sector is said to be growing among the domestic private industries as the indigenisation programme gains momentum.
Subrata Saha, Deputy Chief of Army Staff (Planning and Systems), was in the city on Friday to talk on “Make in India – Defence”, organised by the Confederation of Indian Industry – Coimbatore Zone.
He told The Hindu that the Army was reaching out to the private sector through such meetings that were organised by industrial associations and had covered five cities, including Coimbatore, since January this year.
It planned to go to more places, such as Jammu, Nasik, Aurangabad and Kanpur. These are all industrial hubs and the private industries were able to understand the requirements of the Army and know more about the procedures they need to follow to supply to the defence sector. For the Army, it was an opportunity to learn about the capabilities of the industries.
Such meetings brought about larger network of suppliers.
“The user is coming to the industry to talk. It promotes better understanding,” he added.
The Army was also looking at engaging with the academia to share its requirements. There was an increasing trend of response to the requirements, he said.
The Army’s requirements were more suited for Make in India.
The manufacture and supply could be for main warfare items, smaller systems, or for current and on-going operations. There were different categories under which the Indian private sector can supply to the defence.
The most preferred category was Buy Indian (design, developed and manufactured items). “Inherent in the categorisation is indigenisation,” he said.
 

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100 percent indigenisation in defence not feasible: Parrikar
Defence Minister Manohar Parrikar on Friday said 100 percent indigenisation in defence production will not be "feasible", and achieving 70 percent self-sufficiency will be considered a "high level achievement".
Replying to supplementaries during Question Hour in Lok Sabha, the defence minister said: "Achieving self sufficiency in indigenous production up to 70 percent would be considered high level achievement."
He said 100 percent indigenisation is not feasible because manufacturing some of the components, though small in number, would be a costly affair. He said these components can be purchased.
In a written reply, the minister listed out the steps being taken to achieve higher self sufficiency.
"A number of measures have already been taken to achieve Self Sufficiency in defence production by harnessing the capabilities of the public and private sector. These measures include according priority and preference to procurement from Indian vendors, liberalization of the licensing regime and providing access to modern and state-of-the-art technology to Indian industry by raising the cap on FDI in the defence sector," Parrikar said.
The minister, giving details, said that at present majority of the naval ships and submarines are constructed in Indian shipyards.
He also said that over 75 percent of the total expenditure by the Indian Army on capital acquisition during the last three years has been for orders placed on Indian firms.
The minister said the new Defence Procurement Procedure (DPP) that came into effect on April 1 gives strong support to 'Make in India' by according the highest priority to Buy Indian (Designed, Developed and Manufactured)[IDDM].
--IANS
ao-nd/rn/dg
 

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