Parrikar wants greater autonomy to defence PSUs

Defence Minister Manohar Parrikar Friday said the Defence Procurement Procedure and Defence Procurement Policy will be changed to provide greater autonomy to Defence Public Sector Undertakings (DPSUs).

Addressing the Parliamentary Consultative Committee attached to his ministry, Parrikar said there was a need to delegate powers to DPSUs to enable them to take decisions so that they improve the serviceability of the platforms available to the armed forces.

The meeting discussed in detail the performance of the 41 ordnance factories and nine DPSUs.

"Every machine in operation is like adding an additional equipment. DPSUs will be provided support but they must think like a commercial organisation," he said.

Referring to the 'Make in India' procedure in defence, Parrikar said it needs further improvement.

According to ministry officials, the committee members wanted to know whether the government has drawn up a clear roadmap to reduce defence imports.

"Some members felt that there was a concerted campaign to denigrate the public sector and to promote the private sector. They felt that unlike consumer products, the design and development of defence product has a long gestation and the contribution of DPSUs has to be appreciated in that light," a ministry official said.

The members said the private sector must be promoted in a big way, but not at the cost of the public sector.

Those who attended the meeting included parliament members Mallikarjun Kharge, Raj Kumar Singh, Anil Shirole, Saugata Roy, P. Nagarajan, Kirti Vardhan Singh, Rajeev Chandrasekhar, V.P. Singh Badnore, Mahendra Prasad, Veer Singh, T.K. Rangarajan, Bhupender Yadav, H.K. Dua and Ambika Soni.

Defence Secretary R.K. Mathur and Secretary Defence Production G. Mohan Kumar also attended the meeting.