Government forms draft Defence Production and Export Promotion Policy 2020
The Union Defence Ministry has formed a draft Defence Production and Export Promotion Policy 2020 (DPEPP-2020). The policy is envisaged to be a guiding document of the Defence Ministry to provide a significant thrust to India’s defence production capabilities.
The new policy is a part of the announcements made under the ‘Atmanirbhar Bharat Package’ to provide impetus to self-reliance in defence manufacturing. The policy framework aims to position India among the leading countries of the world in defence and aerospace sectors.
The Defence Production and Export Promotion Policy 2020 has laid out the following goals and objectives:
1. To achieve a turnover of Rs 1,75,000 Crores (US$ 25Bn) including export of Rs 35,000 Crore (US$ 5 Billion) in Aerospace and Defence goods and services by 2025.
2. To develop a dynamic, competitive and robust Defence industry, including Aerospace and Naval Shipbuilding industry that can develop quality products to cater to the needs of the Indian Armed forces.
3. To reduce dependence on imports and boost "Make in India" initiatives through domestic design and development.
4. To promote the export of defence products and be a part of the global defence value chains.
5. To create an environment that encourages research and development, creates Indian IP ownership, rewards innovation and helps in promoting a robust and self-reliant defence industry.
The Policy further brings out multiple strategies under the following focus areas:
1. Procurement Reforms
2. Indigenization & Support to MSMEs/Startups
3. Optimize Resource Allocation
4. Investment Promotion, FDI & Ease of Doing Business
5. Innovation and R&D
6. DPSUs and OFB
7. Quality Assurance & Testing Infrastructure
8. Export Promotion
The draft policy has been uploaded on government portals to enable the public to access it easily and give their inputs and comments. The policy will be promulgated by the Defence Ministry.