MoD releases draft Defence Production and Export Promotion Policy 2020 with focus on self-reliance

In order to provide impetus to self-reliance in defence manufacturing, multiple announcements were made under ‘Aatmanirbhar Bharat’ package. In implementing such framework and to position India amongst the leading countries of the world in defence and aerospace sectors, the Ministry of Defence (MoD) has formulated a draft Defence Production and Export Promotion Policy 2020 (DPEPP 2020).The DPEPP 2020 is envisaged as overarching guiding document of MoD to provide a focused, structured and significant thrust to defence production capabilities of the country for self-reliance and exports. The policy has laid out following goals and objectives:

1. To achieve a turnover of Rs 1,75,000 crore including export of Rs 35,000 crore in aerospace and defence goods and services by 2025.

 2. To develop a dynamic, robust and competitive defence industry, including aerospace and naval shipbuilding industry to cater to the needs of the armed forces with quality products.

 3. To reduce dependence on imports and take forward “Make in India” initiatives through domestic design and development.

4. To promote export of defence products and become part of the global defence value chains.

5. To create an environment that encourages R&D, rewards innovation, creates Indian IP ownership and promotes a robust and selfreliant defence industry.

The policy brings out multiple strategies under the following focus areas:

1. Procurement Reforms

2. Indigenisation & Support to MSMEs/Startups

3. Optimise 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 DPEPP 2020 can be accessed at https://ddpmod.gov.in/dpepp and https:// www.makeinindiadefence.gov. in/admin/webroot/writereaddata/upload/recentactivity/ Draft_DPEPP_03.08.2020.pdf for public consultation and seeking inputs/comments from the stakeholders. Based on the comments received, the policy would be promulgated by the MoD. Inputs/comments on the draft DPEPP 2020 is solicited latest by August 17, 2020 to the email id dirpnc-ddp@nic.in.