The Government has said contracts worth more than Rs 7,500 crore have been signed under the offsets clause of the Defence Procurement Procedure (DPP).
“Offsets contracts of more than Rs 7,500 crore have been signed till date. Contracts between foreign suppliers and Indian defence companies are resulting is setting up of manufacturing, design, testing and service centres in the defence industry,” Minister of State for Defence M M Pallam Raju said while replying to a query in the Rajya Sabha on Wednesday.
Under the offsets clause, foreign suppliers winning Indian defence contracts of over Rs 300 crore are required to invest a minimum of 30 percent of the deal’s worth back into the Indian defence Industry. (ends)
Overhauling of T-72 Tanks
Sixty two T-72 Tanks are awaiting completion of overhaul at Heavy Vehicles Factory (HVF), Avadi. In the year 2009-10 it is proposed to overhaul a total number of 120 tanks at HVF, for which the remaining tanks would be sent by the Army.
This information was given by Minister of State for Defence Shri M.M. Pallam Raju in a written reply to Shri T.K. Rangarajan in Rajya Sabha today.
AWACS for IAF
The Indian Air Force has received the first Airborne Warning and Air Control System (AWACS) aircraft on May 25, 2009. The contract signed with M/s Elta, Israel, is for supply of three such aircraft along with associated equipment at a cost of 1.108 billion US dollars. All necessary steps have been taken to support operations of the aircraft from its base.
This information was given by Defence Minister Shri AK Antony in a written reply to Shri Kalraj Mishra in Rajya Sabha today.
Defence Deal with USA
A contract for procurement of maritime reconnaissance aircraft was signed with M/s Boeing, USA on January 01, 2009. The contract provides for procurement of the aircraft along with associated spares, system support, training and documentation. The time-frame for induction of the aircraft is from 2013 to 2015.
This information was given by Defence Minister Shri AK Antony in a written reply to Shri Pyarelal Khandelwal in Rajya Sabha today.