Q. With respect to Positive Indigenisation List, consider the following statements::
1. Positive indigenisation list essentially means that the defence forces will only procure items from domestic manufacturers.
2. The manufacturers could be only a defense Public Sector Undertakings (DPSUs)..
Which of the statements given above is/are correct?

[A] 1 only

[B] 2 only

[C] Both 1 and 2

[D] Neither 1 nor 2

Answer: A
Notes:

What does Positive Indigenisation List mean?

  • Positive indigenisation list essentially means that the Armed Forces—Army, Navy, and Air Force—will only procure all of these 209 items from domestic manufacturers.
  • The manufacturers could be private sector players or defense Public Sector Undertakings(DPSUs).

Why was the Positive Indigenisation List announced?

  • India has been one of the largest importers of weapons in the world for over a decade.
  • As per Stockholm International Peace Research Institute, India was the second-largest importer between 2014 and 2019. It imported weapons worth US$ 16.75 billion during this period.
  • Hence, the government wants to reduce the dependence on imported items in defense.
  • Further, the list encourages Indian Defence Industry to step up and manufacture the items mentioned in the Negative List for the needs of the forces.
  • Moreover, the list is also in line with the government’s target to reach a turnover of USD 25 billion by 2025 through indigenously manufactured defence products

Source: ForumIAS

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