Government Approves 4th 'Positive Indigenisation List' Of Sub-Systems

The defence ministry has approved a fresh list of 928 components and subsystems that will only be procured from domestic industry after a ban on their import kicks in under a staggered timeline of around five and a half years.

The ministry said on Sunday that the aim of the move is in sync with the government's overall aim to promote 'Aatmanirbharta' (self-reliance) in defence production.

It is the fourth such 'positive indigenisation list,' comprising line replacement units, sub-systems, and components used for various military platforms, equipment, and weapons.

"To promote 'Aatmanirbharta' in defence and minimise imports by defence public sector undertakings, the Ministry of Defence has approved the fourth Positive Indigenisation List of 928 strategically important line replacement units, sub-systems, spares, and components, including high-end materials and spares, with an import substitution value worth Rs 715 crore," the ministry said in a statement.

The aim of the indigenisation list is to minimise imports by defence public sector undertakings.

The defence ministry has set specific timelines for the import ban of the items, spanning the period from December 2023 to December 2028.

This list is in continuation of the three similar PILs that were brought out in December 2021, March 2022, and August 2022.

"These lists contain 2,500 items that are already indigenized and 1,238 (351+107+780) items that will be indigenized within the given timelines," the ministry said. Of 1,238, 310 items have been indigenized so far, it said.

The items that were already indigenized comprised 262 from the first PIL, 11 from the second list, and 37 from the third PIL, according to the ministry.

"The DPSUs will undertake indigenization of these items through different routes under the "Make' category and in-house development through the capabilities of MSMEs and private Indian industry, thereby providing impetus to the growth of the economy, enhanced investment in defence, and reduction in import dependence of DPSUs," the ministry said.

"In addition, this will augment the design capabilities of the domestic defence industry by involving academia and research institutions," it said.

The ministry said DPSUs will soon initiate procurement action for these notified items.

In the last few years, the government has taken a series of measures to promote domestic defence production.

India is one of the largest importers of arms globally.

According to estimates, the Indian armed forces are projected to spend around $130 billion on capital procurement over the next five years.

The government now wants to reduce dependence on imported military platforms and has decided to support domestic defence manufacturing.

The defence ministry has set a goal of a turnover of $25 billion (Rs 1.75 lakh crore) in defence manufacturing in the next five years, which includes an export target of $5 billion worth of military hardware.