In a significant stride towards self-reliance in defence production, the Ministry of Defence has unveiled the fifth Positive Indigenisation List (PIL) comprising 346 defence items. This initiative is a part of the Aatmanirbhar Bharat campaign, aimed at promoting domestic manufacturing and reducing import dependence. The list includes strategically important Line Replacement Units/Systems/Sub-Systems/Assemblies/Sub-Assemblies/Spares & Components and raw materials. These items, with an import substitution value worth Rs 1,048 crore, will only be procured from the Indian Industry after the timelines of indigenisation as indicated in the list available on the Srijan portal.
The Srijan portal, launched by the Ministry of Defence in 2020, is a platform where defence public sector undertakings (DPSUs) and Service Headquarters (SHQs) offer defence items to domestic industries, including MSMEs and start-ups, for indigenisation. This initiative is expected to provide impetus to the growth in the economy, enhanced investment in defence and lead to reduced import dependence.
DPSUs and the Role of Srijan Portal
The DPSUs will undertake indigenisation of the items mentioned in the fifth PIL through various routes including 'Make' procedure or in-house development involving the industry, including MSMEs. This will not only boost the economy but also augment the design capabilities of domestic defence Industry due to the involvement of academia and research institutions.
The DPSUs involved in defence items of the fifth PIL include Hindustan Aeronautics Limited (HAL), Bharat Electronics Limited (BEL), Bharat Dynamics Limited (BDL), BEML Limited, India Optel Limited (IOL), Mazagon Dock Shipbuilders Limited (MDL), Goa Shipyard Limited (GSL), Garden Reach Shipbuilders & Engineers Ltd (GRSE) and Hindustan Shipyard Limited (HSL). These companies have initiated the process for issuing Expressions of Interest/Requests for Proposal on their respective websites with a link on the 'Srijan Portal Dashboard specifically designed for this purpose.
Aatmanirbhar Bharat and Defence Production
This move is a continuation of the government's efforts to promote domestic defence production. Earlier, four PILs comprising 4,666 items were notified by the Department of Defence Production for DPSUs, of which 2,972, having import substitution value worth Rs 3,400 crore, have already been indigenised. These five lists for DPSUs are in addition to the five positive indigenisation lists of 509 items notified by the Department of Military Affairs (DMA). These lists include highly complex systems, sensors, weapons and ammunition.
By June 2024, over 36,000 defence items were offered to domestic industry for indigenisation by the DPSUs and SHQs. Of them, more than 12,300 items have been indigenised in the last three years. As a result, the DPSUs have placed orders on domestic vendors to the tune of Rs 7,572 crore.
This push for indigenisation in the defence sector is in line with Prime Minister Narendra Modi 's vision for Aatmanirbhar Bharat. Indigenous production in the defence sector has scaled a record high of Rs 1.27 lakh crore for the financial year ended on March 31, 2024. India's exports of defence items during the financial year have crossed the Rs 21,000 crore mark.
In conclusion, the release of the fifth PIL is a significant step towards achieving self-reliance in defence production. It is expected to boost the domestic defence industry, enhance investment in defence, reduce import dependence, and lead to economic growth. The involvement of academia and research institutions will also augment the design capabilities of the domestic defence industry. This move is in line with the government's vision of Aatmanirbhar Bharat and is expected to have a significant impact on the defence sector and the economy as a whole.
