Industry renews call for notifying RURs

The call was given by leading industrialist Atul Kirloskar, who said, "This would pave the way for private industries to play a major role in design, development and production of weapon systems indigenously."     

The industry call comes as left parties, which had apparently put roadblocks on creation of RURs, have withdrawn support from the government.     

As many as 14 major industrial groups including Tatas, L&T, Ashok Leyland, Mahindras, Godrej, Kirloskars and some other had been shortlisted by the government for recognition as RURs, more than a year-ago.     

However, the defence ministry, which is the nodal agency for notifying RURs, had to withdraw the notification in the face of stiff resistance by left-supported major trade unions like CITU, BMS, AITUC, who were later joined by INTUC.     

By being recognised as RURs, these industrial houses, which have investments running into more than Rs 300 billion, would become eligible to receive offset benefits made compulsory on all defence contracts worth more than Rs 300 crore.