India imposes phased import ban on 928 defense items
- In Reports
- 11:13 AM, May 15, 2023
- Myind Staff
In its latest push for self-reliance in the defense manufacturing sector, India has announced a new list of 928 military items, including line replacement units, sub-systems, and spares, that will be subject to a phased import ban between December 2023 and December 2029.
In continuation to the three similar PILs that were brought out in December 2021, March 2022, and August 2022, the new list is the fourth such “positive indigenization list" and comprises include Rs 715 crore worth of replacement units, sub-systems, and components used by various military platforms, equipment, and weapons.
“To promote ‘Atmanirbharta’ (self-reliance) in defense and minimize imports by the DPSUs, the defense ministry has approved the 4th positive indigenization lists of 928 strategically important LRUs/sub-systems/spares and components, including high-end materials and spares, with an import substitution value worth ₹715 crores,” the defense ministry said in a statement.
The import of these items will be permitted only until a date, specified for each item. After each one’s import deadline elapses, it will have to be procured from the Indian industry.
The latest list — which is also the largest among the positive indigenization list — includes a digital map generator for the IAF’s Sukhoi-30 fighter aircraft, voyage data recorder for naval ships, smart multifunction display for the indigenous HTT-40 aircraft, flexible fuel tanks for the Light Combat Helicopter, gearbox and a variety of valves and tyres among others. Indian Shipyard Mazagon Dock Shipbuilders Limited has provided the maximum number of items on the list.
The items which were already indigenized comprised 262 from the first PIL, 11 from the second list, and 37 from the third PIL, according to the ministry.
"The DPSUs will undertake indigenization of these items through different routes under the 'Make' category and in-house development through the capabilities of MSMEs and private Indian industry, thereby providing impetus to the growth in the economy, enhanced investment in defense and reduction in import dependence of DPSUs," the ministry said.
"In addition, this will augment the design capabilities of the domestic defense industry by involving academia and research institutions," it said.
The ministry said DPSUs will soon initiate procurement action for these notified items.
India has taken a raft of measures over the last four to five years to boost self-reliance in defense. Apart from a series of phased import bans, these steps include creating a separate budget for buying locally-made military hardware and increasing foreign direct investment (FDI) from 49% to 74%.
Around ₹1 lakh crore was set aside for domestic procurement in this year’s defense budget, compared to ₹84,598 crores, ₹70,221 crores, and ₹51,000 crores in the three previous years.
It has been estimated that the Indian armed forces will be spending roughly $130 billion towards the acquisition of capital goods during the upcoming five years. In light of this, the government is looking to minimize its reliance on foreign military equipment and has opted to promote domestic defense manufacturing. To this end, the defense ministry has set a target of achieving a turnover of $25 billion (equivalent to ₹1.75 lakh crore) in defense manufacturing within the next five years. This goal includes an objective of exporting $5 billion worth of military hardware.
Image source: Indian Express
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