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The Ministry of Defence (MoD) on Monday has approved the Department of Military Affairs’ proposal to notify the ‘second positive indigenisation list’ of 108 items.
The list comprises complex systems, sensors, simulator, weapons and ammunitions like helicopters, next generation corvettes, air-borne early warning and control systems, tank engines, medium power radar for mountains etc. to fulfil the requirements of Indian Armed Forces, the MoD said in a statement adding that the second list is expected to be implemented from December this year to December 2025.
“This will give further boost to indigenisation with active participation of public and private sector for fulfilling the twin objectives of achieving self-reliance and promoting defence exports, the MoD said. All the 108 items will now be procured from indigenous sources as per provisions given in Defence Acquisition Procedure (DAP) 2020,” it said.
Special focus on weapons
The second list lays special focus on weapons systems which are currently under development/trials and likely to translate into firm orders in the future.
Like the first list, import substitution of ammunition which is a recurring requirement has been given special focus.
Not only does the list recognise the potential of local defence industry, but it will also invigorate impetus to domestic research & development by attracting fresh investment into technology and manufacturing capabilities, the MoD said.
In August 2020, the ‘first positive Indigenisation’ list comprising 101 items was notified, in pursuance of the Government’s ‘Atmanirbhar Bharat Abhiyan’ to boost indigenisation in the defence sector. At that time, it was also highlighted that more such equipment would be identified progressively to facilitate and encourage defence manufacturing in the country.
Opportunity for MSMEs
The defence industry can utilise this opportunity to build robust R&D facilities, capacities and capabilities to meet the futuristic requirements of the Armed Forces. This list also provides an opportunity for ‘start-ups’ as also MSMEs to benefit from this initiative, it said.
Towards this, the Ministry of Defence, the Defence Research and Development Organisation (DRDO) and the Service Head Quarters (SHQs) will take all necessary steps, including hand-holding of the industry, to ensure that the timelines mentioned in the second list are met to make India self-reliant in defence and develop the capabilities for export in the near future.
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