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SP Model 11 NUH First Proposal for Approval with DAC?

Published Nov 14, 2019
Updated Feb 06, 2020

In a review of the Defence Procurement Procedure carried out in 2016 by the Dhirendra Singh Committee which was set up to examine the defence procurement procedure and suggest measures for indigenisation under the overall rubric of the Make in India programme- selection of Strategic Partners on the lines of the Raksha Udyog Ratnas from the private sector was recommended. 

This was in the Buy and Make category of defence acquisition – that is direct procurement of fully formed equipment from a foreign vendor, “followed by indigenous production in a phased manner involving ToT of critical technologies as per specified range, depth and scope from the foreign OEM”.

As a follow up, the Ministry of Defence (MOD) constituted a Task Force under the Chairmanship of Dr. V.K. Aatre former Scientific Adviser to the Raksha Mantri (RM) with experts from various fields as members. The Task Force was to examine in detail the process of selection of Strategic Partners and recommend specific criteria as well as draft a long-term covenant to be entered in between the Government and the selected Strategic Partners.

While the Dhirendra Singh Committee recommended broad parameters for selection to include financial, technical and so on, details have now been worked out by the Aatre Task Force.

In the initial phase the Task Force has recommended the following Segments be considered for selection: in Group I (a) Aircraft (b) Helicopters (c) Submarines (d) Armoured vehicles including tanks and in Group II (a) Ammunition including smart ammunition

Now the first proposal for strategic partnership between Indian private sector and a foreign defence major for the 111 Naval Utility Helicopters is under finalisation.

Indian defence companies Tata, Adani, Mahindra Defence Systems and Bharat Forge have been shortlisted by the Indian Navy as strategic partners for the project

. “The four Indian firms will now need to partner with foreign original equipment manufacturers including European Airbus Helicopters which has offered two choppers, American Sikorsky-Lockheed Martin and Russian Rosoboronexport,” sources from the Indian Navy were quoted by the ANI.

Another major proposal under the SP scheme is the 75 (I) submarines for the Indian Navy for which a number of foreign majors have shown interest.