To end the dependency on weapons systems from foreign suppliers and to build a major defence industrial base (DIB) within the next five years, the Ministry of Defence released a draft defence production and export promotion policy (DPEPP 2020) on Monday. The objective is to achieve a turnover of ₹1,75,000 Crores ($ 25 billion), including export of ₹ 35,000 Crore ($ 5 billion) in aerospace and defence goods and services by 2025.
The DPEPP-2020 is envisaged as overarching guiding document of Defence Ministry to provide a focused, structured and significant thrust to defence production capabilities of the country for self-reliance and exports.
The Modi government wants to develop a dynamic, robust and competitive defence industry, including aerospace and naval shipbuilding industry to cater to the needs of the armed forces.
To make sure the objectives are achieved, the government would have to make some changes to some of its public sector units, such as the Defence Research Development Organisation (DRDO) and its 50 labs.
The infrastructure of the four defence shipyards would require massive overhaul along with the five defence PSUs and 41 ordnance factories to deliver cutting-edge weapon systems without huge time and cost overruns.
The current standoff with China has furthered the importance for indigenous development of high-grade military hardware and cutting edge technology in the defence sector.
The draft DPEPP says the aim is to reduce dependence on imports and take forward “Make in India” initiatives through domestic design and development, and also export of defence products as part of the overall ‘Atmanirbhar Bharat’ policy.