{"id":226812,"date":"2023-02-16T19:50:36","date_gmt":"2023-02-16T14:20:36","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=226812"},"modified":"2023-02-22T10:28:13","modified_gmt":"2023-02-22T04:58:13","slug":"india-to-spend-75-of-defence-capital-on-procurement-from-local-industries-defence-minister","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/india-to-spend-75-of-defence-capital-on-procurement-from-local-industries-defence-minister\/","title":{"rendered":"India to spend 75% of defence capital on procurement from local industries: Defence Minister"},"content":{"rendered":"\n

Source: <\/b>The post is based on the article<\/span> \u201cIndia to spend 75% of defence capital on procurement from local industries: Defence Minister\u201d<\/b> published in<\/span> Indian Express <\/b>on 16th February 2023<\/b><\/p>\n

What is the News?<\/b><\/h2>\n

The Government of India will spend 75% of its defence capital in 2023-24 on procurement from the domestic industry.\u00a0<\/span><\/p>\n

How much has been allocated to Defence in Budget 2023-24?<\/b><\/h2>\n

The Finance Minister has enhanced the allocation to India\u2019s defence budget for Fiscal 2023-24 by 13% to INR 5.94 lakh crore up from INR 5.25 lakh crore in fiscal 2022-23.<\/span><\/p>\n

Of this, INR 1.62 lakh crore has been allocated towards capital expenditure, including the purchase of new weapons, aircraft, warships, and other military equipment.\u00a0<\/span><\/p>\n

This constitutes an increase of 7% over the current fiscal\u2019s INR 1.52 lakh crore but is almost unchanged in absolute terms given an average inflation rate of around 6% over the current fiscal year.<\/span><\/p>\n

Defence Capital outlay <\/b>on procurement from the Domestic Industry:<\/b><\/h2>\n

The Defence Ministry will spend 75% of its defence capital in 2023-24 on procurement from the domestic industry up from 68% in 2022-23.<\/span><\/p>\n

What are the steps taken by the government of India to encourage indigenous defence manufacturing?<\/b><\/h2>\n

The government has taken several policy initiatives in the past few years and brought in reforms to encourage indigenous defence manufacturing. These initiatives include:\u00a0<\/span><\/p>\n

\u2013 Notification of four \u2018Positive Indigenisation Lists\u2019 for which there would be an embargo on the import beyond the timelines indicated against them;\u00a0<\/span><\/p>\n

\u2013 Simplification of Industrial licensing process with longer validity period;\u00a0<\/span><\/p>\n

\u2013 Liberalization of Foreign Direct Investment (FDI) policy allowing 74% FDI under automatic route;\u00a0<\/span><\/p>\n

\u2013 Launch of Mission DefSpace, Innovations for Defence Excellence (iDEX) scheme;<\/span><\/p>\n

\u2013 Launch of an indigenization portal namely SRIJAN to facilitate indigenisation by Indian Industry including MSMEs;\u00a0<\/span><\/p>\n

\u2013 Earmarking of 25% of R&D Budget for Industry-led R&D;<\/span><\/p>\n

\u2013 Establishment of two Defence Industrial Corridors, one each in Uttar Pradesh and Tamil Nadu among others.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Source: The post is based on the article \u201cIndia to spend 75% of defence capital on procurement from local industries: Defence Minister\u201d published in Indian Express on 16th February 2023 What is the News? The Government of India will spend 75% of its defence capital in 2023-24 on procurement from the domestic industry.\u00a0 How much… Continue reading India to spend 75% of defence capital on procurement from local industries: Defence Minister<\/span><\/a><\/p>\n","protected":false},"author":10317,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1566,1738,9],"tags":[10500],"class_list":["post-226812","post","type-post","status-publish","format-standard","hentry","category-daily-factly-articles","category-science-and-technology-daily-factly-articles","category-public","tag-indian-express","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1700895569},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/226812","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\/10317"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=226812"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/226812\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=226812"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=226812"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=226812"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}