New Delhi: In keeping with Prime Minister Narendra Modi’s focus on self reliance or Atmanirbar Bharat Initiative, Defence Minister Rajnath Singh took a major step in the defence sector to boost indigenous weapons over expensive foreign ones, by announcing import embargo on 101 items.
This move is part of the government’s efforts to boost domestic defence equipment manufacturers and the Prime Minister’s “vocal for local” and place Indian goods in the world market.
It is estimated that contracts worth almost Rs four lakh crore will be placed upon the domestic industry within the next six to seven years. Of these, items worth almost Rs 1,30,000 crore each are anticipated for the Army and the Air Force while items worth almost Rs 1,40,000 crore are anticipated by the Navy over the same period. Almost 260 schemes of such items were contracted by the Tri-Services at an approximate cost of Rs 3.5 lakh crore between April 2015 and August 2020, said the Defence Minister.
“This strategic step will accelerate the Atmanirbhar Bharat narrative and bolster Indian defence equipment manufacturing industry. The growth of the domestic industry especially the MSME sector, will lead to self-reliance, reduced expenditure on imports, saving of foreign currency, creating job opportunities, revival of consumption and ultimately getting us closer to the common goal of US$5 trillion economy. We are committed and will support the Indian Government achieve the goal,”
Baba Kalyani, CMD, Bharat Forge
The list includes, wheeled Armoured Fighting Vehicles (AFVs) with indicative import embargo date of December 2021, of which the Indian Army is expected to contract almost 200 items at an approximate cost of over Rs 5,000 crore. Similarly, the Navy is likely to place demands for submarines with indicative import embargo date of December 2021, of which it expects to contract about six at an approximate cost of almost Rs 42,000 crore. For the Air Force, it is decided to enlist the light combat aircraft LCA MK 1A with an indicative embargo date of December 2020. Of these, 123 are anticipated at an approximate cost of over Rs 85,000 crore.
The Ministry of Defence (MoD) said the list will be expanded or updated periodically, without compromising on the operational requirements of the armed forces, to allow lead-time to the domestic industry to prepare itself for any such procurement orders likely to come up subsequent to the indicated embargo.
The list of 101 embargoed items range from some types of ammunition, sonars and radars to artillery guns, assault rifles, corvettes, transport aircraft and light combat helicopters, among others.
Welcoming the move by the government, Baba Kalyani, CMD, Bharat Forge, said: “This strategic step will accelerate the Atmanirbhar Bharat narrative and bolster Indian defence equipment manufacturing industry. The growth of the domestic industry especially the MSME sector, will lead to self-reliance, reduced expenditure on imports, saving of foreign currency, creating job opportunities, revival of consumption and ultimately getting us closer to the common goal of US$5 trillion economy. We are committed and will support the Indian Government achieve the goal.”
