Need to change mindset in Ministry of Defence: Delegation of Power and Mutual Trust Required to build a vibrant Defence Industrial Base: Manohar Parrikar, Raksha Mantri
NEW DELHI, September 12, 2015. The government desires for greater outsourcing by defence PSU’s and ordnance factories’ and was looking at building synergy between public and private sector to establish a vibrant Defence Industrial Base in the country, greater indigenization and self-reliance, stated Mr. Manohar Parrikar, Raksha Mantri, Government of India, here today at a seminar on ‘Outsourcing and Vendor Development by DPSU's and OF's: Opportunities for Innovation, Collaboration and Product Development’ organized by FICCI jointly with the Department of Defence Production, Ministry of Defence, Government of India.
Mr. Parrikar said that defence was one of the sectors being focused in ‘Make in India’ and it was being ensured that Indian industry gets adequate and fair protection, especially in defence sector, to allow manufacturers to design and produce defence equipment indigenously. He added that it would be in the interest of India’s security, if defence capabilities are scaled up and requirements of the armed forces are met in-house. MoD is the single buyer and has all the control, however it needs to stop frequent shifting of goal posts and give pragmatic requirements which industry will be able to provide quickly. Asking of something which is not pragmatic and not readily available will never help, rather will make things complicated leading to a situation where the nation suffers. Secretary Defence Production should take note of these to facilitate the establishment of strong Defence Industrial Base in country. He also emphasized for fair protection for private sector and avid repeat of past kneejerk reaction on irrational Blacklisting without any tangible benefit. In past there were examples where the Blacklisted company benefitted while it proved dear to Indian exchequer as we had paid money but not received the product.
He said that there was a need for a paradigm shift in the mindset of the Ministry of Defence and to create an environment of ‘Mutual Trust’ with the Industry. ‘Delegation of power is the first stage where trust is considered but mindsets take time to change’. This will help public and private sectors to manufacture defence products indigenously to meet the requirements of the Indian armed forces. He specifically mentioned to an alarming situation when our ammunition stock reserve which could barely sustain for 10 days in 2013. However with the clear direction and with the efforts of industry, the same has been radically addressed leading to current stage where we have made up shortfall over requisite stock levels by 70-80 percent and by next year there will bel be nil deficit.