Offset clause removed, empowering domestic industry

Written by Krishn Kaushik

Unveiling the new policy, Defence Minister Rajnath Singh, in a Twitter post, said it has been “aligned” with Prime Minister Narendra Modi’s “vision of Atmanirbhar Bharat and empowering the Indian domestic industry through Make in India initiative with the ultimate aim of turning India into a global manufacturing hub”.

The government has also decided to increase the indigenous content (IC) requirement for all projects from 40 per cent to 50 per cent earlier, depending on the category, to 50 per cent to 60 per cent now.

The DAP has reserved procurement under several important categories for companies that are owned 50 per cent or more by Indians. The categories including Buy (Indian — Indigenously Designed, Developed and Manufactured), Make I — with 70 per cent initial government funding, Make II — industry funded,

Read more at:
https://indianexpress.com/article/india/govts-new-defence-acquisition-policy-drops-offsets-in-3-types-of-contracts-6625246/