{"id":217909,"date":"2022-12-10T18:54:29","date_gmt":"2022-12-10T13:24:29","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=217909"},"modified":"2022-12-10T18:54:29","modified_gmt":"2022-12-10T13:24:29","slug":"defence-industry-perks-up-indias-decades-old-ambition-and-its-paradoxes","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/defence-industry-perks-up-indias-decades-old-ambition-and-its-paradoxes\/","title":{"rendered":"Defence industry perks up: India’s decades-old ambition and its paradoxes"},"content":{"rendered":"\n

Source<\/span><\/b>:\u00a0The post is based on the article <\/span>\u201c<\/span><\/b>Defence industry perks up: India’s decades-old ambition and its paradoxes<\/span><\/b>\u201d <\/span><\/b>published in<\/span> the <\/span>Business Standard <\/span><\/b>on <\/span>10th December 2022<\/span><\/b>.<\/span>\u00a0<\/span><\/p>\n

Syllabus: <\/span><\/b>GS3- Security<\/span>\u00a0<\/span><\/p>\n

Relevance<\/span><\/b>: Issues related to defence manufacturing<\/span>\u00a0<\/span><\/p>\n

News<\/span><\/b>: The article explains the scope of defence production in India. It also explains the challenges faced by the defence production sector.<\/span>\u00a0<\/span><\/p>\n

What is the current situation of defence manufacturing in India?<\/span><\/b>\u00a0<\/span><\/h5>\n

India is the <\/span>second-largest importer <\/span><\/b>of defence hardware.\u00a0<\/span>\u00a0<\/span><\/p>\n

India has the third or fourth-largest budget for <\/span>defence research and development<\/span><\/b>. The money spent is a lot less than by either the US or China. It is bigger than the defence R&D budgets of the UK, Germany, and France, all of which make frontline defence weaponry in a way that India does not.\u00a0<\/span>\u00a0<\/span><\/p>\n

In fact, for leading public sector defence companies in <\/span>aerospace and electronics<\/span><\/b>, R&D has accounted for a bigger share of total expenditure than the international average.<\/span>\u00a0<\/span><\/p>\n

Defence production<\/span><\/b> has been more or less static in dollar terms. This is also the case with <\/span>defence exports<\/span><\/b>.<\/span>\u00a0<\/span><\/p>\n

What are some steps taken by the government for boosting defence manufacturing?<\/span><\/b>\u00a0<\/span><\/h5>\n

The government is<\/span> opening up<\/span><\/b> the defence sector to private manufacturing. The finance minister in her last Budget speech said that a quarter of<\/span> defence R&D spending<\/span><\/b> funded by the government would be done by private industry and in non-government institutions.<\/span>\u00a0<\/span><\/p>\n

The <\/span>C-295 transport aircraft<\/span><\/b><\/a> will be made by a Tata-Airbus joint venture. <\/span>Howitzers <\/span><\/b>are being made by Larsen & Toubro and Bharat Forge.\u00a0<\/span>\u00a0<\/span><\/p>\n

On the <\/span>R&D front<\/span><\/b> too, the government has set up a <\/span>Defence Innovation Organisation<\/span><\/b>. Its executive arm has funded well over a hundred R&D projects in the field of <\/span>drones, robotics, artificial intelligence, and advanced materials<\/span><\/b>.\u00a0<\/span>\u00a0<\/span><\/p>\n

In addition, some <\/span>start-ups <\/span><\/b>produce dual-use products for image recognition, wearable technology, and the like.\u00a0<\/span>\u00a0<\/span><\/p>\n

What are the issues faced in defence production?<\/span><\/b>\u00a0<\/span><\/h5>\n

The <\/span>defence procurement system <\/span><\/b>remains a stumbling block for many. The armed forces take too long to accept products based on domestic R&D.\u00a0<\/span>\u00a0<\/span><\/p>\n

The standard practice of going for the cheapest bidder does little to encourage vendors who have developed technology with government funding.<\/span>\u00a0<\/span><\/p>\n

What is the scope for defence production in India?<\/span><\/b>\u00a0<\/span><\/h5>\n

Production-linked incentive<\/span><\/b> scheme has just been announced for the manufacture of drones and drone components might make a difference.<\/span>\u00a0<\/span><\/p>\n

Private participation in defence exports<\/strong>: Tesla is said to have shown interest in locally developed materials technology for the <\/span>faster charging of batteries<\/span><\/b>. Two companies have won export orders for the <\/span>Pinaka rocket firing system<\/span><\/b>. Malaysia signed a memorandum of understanding with Hindustan Aeronautics for the <\/span>Tejas fighter<\/span><\/b> this year.<\/span>\u00a0<\/span><\/p>\n

The government no longer claims ownership of the <\/span>intellectual property <\/span><\/b>created with government-funded research. Companies are therefore better positioned to raise capital for moving to the production stage. <\/span>Defence Research and production<\/span><\/b> could emerge as a genuine export story for India.<\/span>\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Source:\u00a0The post is based on the article \u201cDefence industry perks up: India’s decades-old ambition and its paradoxes\u201d published in the Business Standard on 10th December 2022.\u00a0 Syllabus: GS3- Security\u00a0 Relevance: Issues related to defence manufacturing\u00a0 News: The article explains the scope of defence production in India. It also explains the challenges faced by the defence… Continue reading Defence industry perks up: India’s decades-old ambition and its paradoxes<\/span><\/a><\/p>\n","protected":false},"author":10311,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,9],"tags":[10503,216],"class_list":["post-217909","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-public","tag-business-standard","tag-gs-paper-3","entry"],"jetpack_featured_media_url":"","views":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/217909","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10311"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=217909"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/217909\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=217909"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=217909"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=217909"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}