HOW GOVERNMENT IS SPENDING ON MILITARY MODERNISATION - The Daily Guardian
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HOW GOVERNMENT IS SPENDING ON MILITARY MODERNISATION

During last five financial years (2015-16 to 2019-20) and current year (up to January 2021), 304 contracts were signed. Out of 304 contracts, 190 contracts have been signed with Indian vendors for capital procurement of defence equipment for the armed forces.

Ashish Singh

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New Delhi: Modernisation of the armed forces is a systematic process carried out as per the Defence Procurement Procedure (DPP)/ Defence Acquisition Procedure (DAP). The modernisation process aims at keeping the Indian armed forces in state of operational readiness and optimally equipped with modern weapon systems. The budget allocation for modernisation of defence equipment is utilised to meet the operational requirement of the armed forces and for acquisitions of contemporary systems based on the planned priorities of the defence forces. DPP/DAP accords highest priority to buy Indian—indigenously designed, developed and manufactured (IDDM). The government has put in place enablers to achieve higher level of the indigenisation and self-reliance in the defence sector by harnessing the capabilities of the public and private sector industries in the country. The Budget Estimates 2020-21, Revised Estimate 2020-21 and Budget Estimate 2021-22 on the modernisation (Capital Acquisition) of the armed forces, under Defence Service Estimate (DSE):

(Value in Rs crore)

During last five financial years (2015-16 to 2019-20) and current year (up to January 2021), 304 contracts were signed. Out of total 304 contracts, 190 contracts have been signed with Indian vendors for capital procurement of defence equipment for the armed forces.

In May, 2001, the defence industry sector, which was hitherto reserved for the public sector, was opened up to 100% for Indian private sector participation, with Foreign Direct Investment (FDI) up to 26% both subject to licensing. Further, Department for Promotion of Industry and Internal Trade, Ministry of Commerce & Industry vide Press Note No. 4 (2020 Series), has allowed FDI under automatic route up to 74% and above 74% through government route wherever it is likely to result in access to modern technology or for other reasons to be recorded. In addition, 44 FDI proposals / Joint Ventures have been approved so far in defence sector for manufacturing of various defence equipments. FDI inflows of over Rs 4191 crore have been reported by the defence and aerospace sector till January, 2021. In addition, following provisions have been made in Defence Acquisition Procedure (DAP)-2020 for tie-ups with foreign companies for manufacture of defence equipment in the country:

i. Under Buy and Make (Indian) category, Indian vendor(s) can tie-up with a foreign Original Equipment Manufacturer (OEM), for indigenous production involving transfer of technology of critical technologies.

ii. Buy(Global-Manufacture in India) category refers to an outright purchase of equipment from foreign vendors, in quantities as considered necessary, followed by indigenous manufacture of the entire/part of the equipment and spares/assemblies/sub-assemblies/maintenance along with repair and overhaul (MRO) facility(only in cases where these are part of the main contract) for the equipment, through its subsidiary in India/through a Joint Venture/through an Indian Production Agency(PA)(with ToT of critical technologies to the Indian PA), meeting a minimum of 50 % Indigenous Content (IC) on cost basis of the Base Contract price.

iii. Government has notified the ‘Strategic Partnership (SP)’ Model in May 2017, which envisages establishment of long-term strategic partnerships with Indian entities through a transparent and competitive process, wherein they would tie up with global Original Equipment Manufacturers (OEMs) to seek technology transfers to set up domestic manufacturing infrastructure and supply chains.

iv. Under the offset guidelines of DAP-2020, following avenues have been made available for discharge of offset obligations:

· Investment in defence manufacturing: This could be through FDI or direct investment or joint ventures or through the non-equity route for co-production, co-development and production or licensed production of defence products.

· Investment in ToT to Indian enterprises for manufacture of eligible products.

· Acquisition of technology through ToT to Government institutions and establishments engaged in the manufacture and/or maintenance of eligible products as listed in DAP-2020.

In order to encourage discharge of offset obligation in investment of defence manufacturing and Transfer of Technology, higher multipliers have been assigned in the revised Offset policy under DAP-2020.

Following initiatives have been taken to facilitate Defence Public Sector Enterprises (DPSUs), Ordnance Factory Board (OFB) and Private Defence Players to explore business opportunities abroad:

i. Export Promotion cell has been constituted to co-ordinate and follow-up on export related action including enquiries received from various countries and facilitate private sector and public sector companies for export promotion.

ii. Defence Attaches in Indian Missions abroad, have been mandated for export promotion of Indigenous defence products of both public and private sector. A scheme for Export promotion of Indian Defence Equipment manufactured in India has also been rolled out wherein Defence Attachés are provided financial support to promote export of indigenous defence equipment abroad.

iii. Subject to strategic and diplomatic considerations, domestically manufactured defence products are promoted through Lines of Credit/Gratis. Defence Lines of Credit (LOCs)/Gratis are extended to identified Friendly Foreign Countries (FFCs) to enable them to import Defence goods and services from India on attractive terms.

iv. Geographical countries/regions have been allocated to DPSUs/OFB for establishment of their offices in various countries to promote export of Indigenous defence platforms/equipment.

v. An online portal has been created through which export leads received from various countries are disseminated directly to the Indian defence exporters who are registered on the portal.

vi. Webinars in coordination with Indian Missions abroad, DPSUs/OFB and Private Industry Associations have been organised with 15 Foreign Friendly Countries during the year 2020-21 to promote defence exports.

It may be observed from the above tables that the allocations received from Ministry of Finance are not as per projections made, however, based on pace of expenditure, pending committed liabilities etc, additional funds are sought during the course of the financial year at appropriate stages. It is further submitted that, if necessary, re-prioritisation is undertaken to ensure that urgent and critical capabilities are acquired without any compromise to operational preparedness of the defence services.

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Defence

INS TABAR PARTICIPATES IN MARITIME EXERCISE WITH ALGERIAN NAVY

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The Ministry of Defence informed on Tuesday that the Indian Navy Ship (INS) Tabar took part in the maiden Maritime Partnership Exercise with the Algerian Navy on 29 August.

INS Tabar participated in the exercise during its ongoing goodwill visit to Europe and Africa. “The landmark exercise held off the Algerian coast and saw the participation of a frontline Algerian Naval Ship (ANS) ‘Ezzadjer’,” said the Ministry of Defence in a statement.

As a part of this exercise, several activities including coordinated manoeuvring, communication procedures and steam past were undertaken between the Indian and Algerian warships.

“The exercise enabled the two navies to understand the concept of operations followed by each other. It also enhanced interoperability and opened the possibility of increasing interaction and collaboration in the future,” the statement added.

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Defence

Home Ministry appoints Rajwinder Singh Bhatti as Border Security Force ADG

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NEW DELHI: Ministry of Home Affairs (MHA) has appointed Rajwinder Singh Bhatti, a 1990-batch IPS officer, as ADG Border Security Force (BSF) on a deputation basis up to 30 September 2025, his date of superannuation or till further orders.

According to the official statement, “Ministry of Home Affairs appointed Bhatti, a 1990-batch IPS officer, as ADG Border Security Force, on deputation basis, up to 30 September 2025, the date of his superannuation or till further orders.”

The Home Ministry has also written to the Bihar government to relieve him at earliest.

The state government is requested to relieve him immediately to enable him to take up his new assignments at the Centre, as per the official MHA statement. Bhatti, a Bihar cadre officer, is currently posted as Director General, Bihar Military Police, at Patna.

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Defence

NO SECURITY THREAT AT PANGODE MILITARY STATION, CLARIFIES DEFENCE PRO

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Reports carried by a section of the online media related to the security of the Pangode Military station here are ‘’unsubstantiated,” a Defence PRO said on Tuesday. “No security threat at Pangode Military station”, the Defence wing said in a release.

It said the news carried by the online media does not hold credibility due to lack of authentication and supporting evidence and warned that appropriate action would be initiated against any entity that peddles fake news, especially that which jeopardises security.

The office of the Defence PRO, in its official capacity, scrutinised the validation of the contents of the news segment publicised online from varied official agencies who proclaimed that the news is unsubstantiated.

“It is needless to emphasise that publicising such fake news in any media platform is against media ethics and is a serious breach of security”, said the release issued by the Defence wing.

The reports had claimed that the Pangode military station was facing a ‘’security threat’’.

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Defence

CYCLING EXPEDITION FLAGGED OFF BY ITBP TO MARK ‘AZADI KA AMRIT MAHOTSAV’

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SILIGURI: To celebrate the 75th Independence Day anniversary, the Indo-Tibetan Border Police (ITBP) commenced a cycle rally from Siliguri on 31 August and it will culminate in Patna on 8 September.

The cycle rally, which is a part of Azadi Ke Amrit Mahotsav, originally, started from Itanagar and culminates in Delhi’s Rajghat on 2 October, the birth anniversary of Mahatma Gandhi. From Siliguri, as many as 12 ITBP personnel, including officers and jawans, were part of the cycle rally.

Talking about the motive, RPS Raghubangshi, DIG, ITBP-Gangtok told ANI, “The motive of the cycle rally is to connect with the locals and common people.” Meanwhile, in Ladakh, the cycle rally of ITBP personnel started the rally from Sakti village and reached Leh as of 31 August, covering over 236 km in total, tweeted from ITBP’s official Twitter handle. –

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Defence

FIRE AND FURY CORPS CELEBRATES 22ND RAISING DAY IN LEH

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PRO, Defence, Srinagar informed that ‘Fire and Fury Corps’ celebrated its 22nd Raising Day, on Wednesday, in Leh with a solemn Wreath Laying ceremony held at War Memorial.

Lieutenant General PGK Menon, General Officer Commanding, Fire and Fury Corps laid a wreath at the Leh War Memorial on behalf of all ranks of Fire and Fury Corps to honour the brave soldiers who made the supreme sacrifice during various operations in Ladakh. According to Srinagar Defence PRO, the corps was raised on 1 September 1999, in the aftermath of the Kargil War. Since its raising, the Corps has successfully ensured sanctity of both, the Line of Control with Pakistan and Line of Actual Control with China while maintaining eternal vigil at some of the highest battlefields in the world including the Siachen Glacier.

The Corps since its raising has been instrumental in the development of infrastructure in Ladakh for the common use of the Army and civilians, thereby promoting development in Ladakh.

The Corps has stood steadfast with the people of Ladakh in times of natural calamities, providing assistance and support in relief, rescue, and rebuilding of infrastructure.

“On the auspicious occasion of the Raising Day of the Corps, all ranks once again pledged to defend our borders with their blood and reaffirmed their wholehearted support to the people of Ladakh”, the statement read.

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Defence

FORCE WELL-TRAINED, PREPARED TO DEFEND BORDERS: OUTGOING ITBP DG

Ashish Singh

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The outgoing Director-General of the Indo-Tibetan Border Police (ITBP) that primarily guards 3,488 km long India-China borders ranging from Karakoram Pass in Ladakh to Jachep La in Arunachal Pradesh, while referring to the safety of the borders stated that the force is well-trained and always prepared to defend our international border in all situations.

Surjeet Singh Deswal, who retired, on Tuesday, as the ITBP DG while speaking to ANI said, “Whether there is an agreement or no agreement. We go by the needs on the border. India is a law-abiding nation. We respect our bilateral agreements. We respect our international conventions and the conduct which should be there between the two countries. We have never violated our bilateral agreements, our promises to our neighbours. We have always respected our neighbours. But we are always prepared to defend our border in all situations.” Responding to a question that there is a policy of no use of firearms on the Indo-China border and if in such a situation, if the Chinese attack the Indian side, what will India do, Deswal said, “Till our bilateral agreements are respected, we will keep on respecting. In case of need, we are prepared for all situations.”

On the India-China disengagement process and friction points between the two countries, he said, “Such border issues across the world take long to settle down. Our efforts in totality are the might of the forces, the diplomatic strength, our economic strength, the total collective forces of the country are on the job and to negotiate. Times are not as important as our claims are. We have to pursue our negotiations so that, at the end of the negotiations, our claims are with us.”

India and China have already disengaged from the banks of Pangong lake after extensive talks and the Gogra Heights and Hot Springs areas are left to be resolved as these friction points were created post-Chinese aggression last year. 20 Indian soldiers were killed in violent clashes with Chinese troops in the Galwan Valley in June last year.

The two countries have been engaged in a military standoff for almost a year but disengaged from the most contentious Pangong lake area last month after extensive talks at both military and political levels.

“I’m retiring after 37 years in the uniform. I served for 27 years in the Haryana state police and 10 years with GoI. For the last three years, I was heading ITBP which is an elite force of the country, looking after the India-China border in very tough topographical, geographical conditions. The force is well-trained for that terrain and is comfortable staying there and complete its mandate of protection of the international border. ITBP soldiers and officers are trained for all kinds of situations,” added Deswal.

Deswal is an Indian Police Service officer. He did his graduation (B.Sc.) from Panipat and LLB from Kurukshetra University. As Superintendent of Police, Deswal served in several important districts of Haryana such as Karnal, Rohtak, Kaithal, Bhiwani and Fatehabad and Commandant 5th Battalion of H.A.P, Madhuban. He joined the Central Bureau of Investigation (CBI) in the year 1994 and served as Superintendent of Police till 1998 in the All India Anti Corruption Unit. He was promoted to DIG, Railways and Tech.

As Inspector-General of Police, Deswal held the charge of important ranges like Ambala and Rohtak. He worked as Commissioner of Police of Gurugram, from 2009 to 2011.

Deswal worked as Director-General of State Crime Branch and Haryana Armed Police. He was awarded the Indian Police Medal for meritorious service in 2001 and President’s Police Medal for Distinguished Service in 2012 for dedicated service to the Nation.

Deswal joined Sashastra Seema Bal (SSB) in December 2015 and served as Additional Director General (ADG) till October 2017. He served as ADG and Special DG (Operations) in Border Security Force (BSF) for a year. Deswal was appointed DG SSB on 30 September 2018 and appointed DG ITBP on 31 October 2018.

He retired after his three years of service to the force as its Director-General. Deswal handed over the customary baton to senior Indian Police Service (IPS) office Sanjay Arora at the force headquarters.

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