Empowering MSMEs with News & Insights

SMEs have not enjoyed the benefits of defence offsets and govt support

Updated: Nov 07, 2013 01:19:31pm
image
New Delhi, Nov 7 (KNN)  SMEs have not enjoyed the benefits of defence offsets and government support, Director, Centre for Air Power Studies (CAPS) and (retd) Air Marshal, Vinod Patney said.

“SMEs should get due attention from the government as well as large scale companies. The business model must undergo change,” Patney said speaking at the inaugural session of the 8th International Conference on Energising Indian Aerospace Industry co-organised by Confederation of Indian Industry, Centre for Air Power Studies in association with the Indian Air Force.

“FDI limit should be relaxed and private sector’s greater involvement is required,” he added.

Patney also said that India can’t become a major power without flourishing in the aerospace industry.

Satish Kaura, chairman of Samtel Group and co-chairman of CII National Committee on Defence and Aerospace, said, “SMEs should become a part of the global supply chains of major defence equipment producers by leveraging the cost arbitrage in component designing and manufacturing in India.”

The Indian Air Force will procure USD 150 billion worth of equipment and platforms in the next 15 years.  Referring to this, director general, inspection and safety, Air Marshal P P Reddy, said the Indian industry requires tax holidays and a friendlier import and export regime. 

Aircraft, engines and equipment absorb the major chunk of the air force's capital budget. Indian Air Force’s revenue budget is INR 18900.36 crore for the year 2013-14.
He also said that R&D funds should be made available to private sector companies.  (KNN/SD)

COMMENTS

    Be first to give your comments.

LEAVE A REPLY

Required fields are marked *