Defence Min Parrikar asks Indian MSMEs to go offensive on Global Biz
Updated: Jun 12, 2015 11:51:31am
New Delhi, June 12 (FISME ) It is actually the small sector which is real power centre for innovation and finding out new ways. This was stated by Defence Minister, Manohar Parrikar at a FISME event organised on Thursday in New Delhi.
Parrikar was addressing at the seminar ‘Opportunities for MSMEs in Defence Sector, organized by Federation of Indian Micro and Small & Medium Enterprises (FISME) today.
FISME, a network of over 700 SME associations in the country, today organised the seminar to bring together the Original Equipment Manufacturers (OEMs), Defence Public Sector Undertakings (DPSUs), MSMEs and policy makers at one platform and also highlight the concerns of the real sector.
While addressing the seminar, Parrikar, who was the chief guest at the seminar, said "those who fear India's new posture have already started reacting".
"If the thinking pattern changes, lot of things change. You have seen for the last 2-3 days. A simple action against insurgents has changed the mind-set of the full security scenario in the country," he added.
“Kind of complexities developed in the last decade in defence procurement needs to be simplified,” Mr Parrikar said adding “It is easier to design something fresh but to modify old set of patterns which has created difficulty is more difficult.”
V K Saraswat, Member NITI Aayog and former Secretary of Defence (Research & Development) and Director General of Defence Research & Development Organisation (DRDO), while addressing the seminar said the up-gradation of manufacturing process, quality control and innovation has to be done in a big way by the MSMEs to become a part of the defence ecosystem.
FISME President, Sangam Kurade said “From MSME perspective, what has emerged from our studies and deliberations, is that one single biggest impediment for MSMEs has been absence of an empowered interface to deal with host of administrative, technical and policy issues whether with the Ministry or DRDO or any other relevant Defence department.
He added that “It is not just about facilitating MSMEs for Market access or having a share in the defence pie alone. Although in its own right it is reason enough. But, it is equally about access to high-end technology and technological spinoffs which are born of Defence funding. World over, defence research has been the single biggest source of path breaking innovations and technological spinoffs.”
Anil Bhardwaj, Secretary General, FISME, presented the vote of thanks and assured that FISME will take note of concerns made by the entrepreneurs and make a representation in front of the government.
Micro Small and Medium Enterprises (MSMEs) have an important role in India’s defence sector and its growth ambitions. Investment in the defence sector is expected to cross INR 25000 crore in 7-8 years. Under the 30 per cent offset policy for procurement of defence equipment in excess of INR 300 crores, this provides a significant opportunity for MSMEs to become part of the defence ecosystem.
The Government of India’s Defence Procurement Policy (DPP) 2013, outlines the scope for ‘greater involvement’ of Indian industry in the defence sector. The DPP outlines the order of priorities as ‘Buy’ (Indian), followed by ‘Buy and Make’ (Indian), ‘Make’ (Indian), ‘Buy and Make’ (with Transfer of Technology) and ‘Buy’ (Global).
Despite such directional provisions in the current policy framework, Indian MSMEs continue to face a range of challenges. (FISME)
Parrikar was addressing at the seminar ‘Opportunities for MSMEs in Defence Sector, organized by Federation of Indian Micro and Small & Medium Enterprises (FISME) today.
FISME, a network of over 700 SME associations in the country, today organised the seminar to bring together the Original Equipment Manufacturers (OEMs), Defence Public Sector Undertakings (DPSUs), MSMEs and policy makers at one platform and also highlight the concerns of the real sector.
While addressing the seminar, Parrikar, who was the chief guest at the seminar, said "those who fear India's new posture have already started reacting".
"If the thinking pattern changes, lot of things change. You have seen for the last 2-3 days. A simple action against insurgents has changed the mind-set of the full security scenario in the country," he added.
“Kind of complexities developed in the last decade in defence procurement needs to be simplified,” Mr Parrikar said adding “It is easier to design something fresh but to modify old set of patterns which has created difficulty is more difficult.”
V K Saraswat, Member NITI Aayog and former Secretary of Defence (Research & Development) and Director General of Defence Research & Development Organisation (DRDO), while addressing the seminar said the up-gradation of manufacturing process, quality control and innovation has to be done in a big way by the MSMEs to become a part of the defence ecosystem.
FISME President, Sangam Kurade said “From MSME perspective, what has emerged from our studies and deliberations, is that one single biggest impediment for MSMEs has been absence of an empowered interface to deal with host of administrative, technical and policy issues whether with the Ministry or DRDO or any other relevant Defence department.
He added that “It is not just about facilitating MSMEs for Market access or having a share in the defence pie alone. Although in its own right it is reason enough. But, it is equally about access to high-end technology and technological spinoffs which are born of Defence funding. World over, defence research has been the single biggest source of path breaking innovations and technological spinoffs.”
Anil Bhardwaj, Secretary General, FISME, presented the vote of thanks and assured that FISME will take note of concerns made by the entrepreneurs and make a representation in front of the government.
Micro Small and Medium Enterprises (MSMEs) have an important role in India’s defence sector and its growth ambitions. Investment in the defence sector is expected to cross INR 25000 crore in 7-8 years. Under the 30 per cent offset policy for procurement of defence equipment in excess of INR 300 crores, this provides a significant opportunity for MSMEs to become part of the defence ecosystem.
The Government of India’s Defence Procurement Policy (DPP) 2013, outlines the scope for ‘greater involvement’ of Indian industry in the defence sector. The DPP outlines the order of priorities as ‘Buy’ (Indian), followed by ‘Buy and Make’ (Indian), ‘Make’ (Indian), ‘Buy and Make’ (with Transfer of Technology) and ‘Buy’ (Global).
Despite such directional provisions in the current policy framework, Indian MSMEs continue to face a range of challenges. (FISME)
Loading...
