“Currently, the company is working with over 2,000 vendors in the MSME segment,” said A Selvaraj, Head, Indigenisation Cell of HAL.
“This is required as we have to hasten the indigenisation efforts. In future, we will focus on design and development of aircraft, and the role of the private sector will be significant as programmes totalling over Rs. 3,000 crore are to be executed,” he added.
The company is working on a new web portal, which will showcase all projects available for indigenisation. Speaking at an interactive session on business opportunities in ‘Defence Indigenisation’, organised by Engineering India Foundation and ProSIM R&D, Selvaraj re-iterated that HAL’s policies were to make it conducive for private sector participation.
In components such as nuts, bolts, fasteners alone, a new business of import substitution to the tune of Rs. 2,500 crore will be made available to the private sector and MSMEs.
CP Suresh, General Manager (Technology Planning) at BEL, highlighted various indigenisation programs that are currently ongoing at (Bharat Electronics Limited) BEL. He mentioned that about 358 items have been reserved for MSMEs.
Speaking in favour of participation of private companies, especially the MSMEs in defence indigenisation, S Shamasundar, Managing Director of ProSIM R&D, said: “Indigenisation is needed to achieve self-reliance, reduce foreign exchange outflow, develop technologies, and also create business opportunities for export.”
“Due to the policies of current government, there seems to be an increased thrust on this indigenisation. The ‘Make in India’ initiative is giving further fillip to this strategic need of indigenisation,” he added.
Business opportunities worth several billions of dollars (estimated to be excess of $30 billion in defence imports) are squandered due to lack of proper policy frame work, political will, and institutional mechanisms.
Shamasundar said that Engineering India will create a core group consisting of all stake holders – armed forces, DRDO labs, private sector, MSMEs, academic institutions, to push the agenda for indigenisation.
Source: Business Line