Govt re­laxes arms rules to boost indi­geni­sa­tion

Li­cences granted to man­u­fac­tur­ers will be valid for life­time, says Cen­tre

DNA (Daily News & Analysis) Mumbai Edition - - FRONT PAGE -

Pro­mo­tion (DIPP), un­der pow­ers del­e­gated to it, for tanks and other ar­moured fight­ing ve­hi­cles, de­fence air­craft, space crafts, war­ships of all kinds, arms and am­mu­ni­tion and al­lied items of de­fence equip­ment other than small arms,” the Home Min­istry said in a state­ment.

The de­ci­sion comes fol­low­ing a pro­posal from the De­fence Min­istry to do away bu­reau­cratic de­lays. A num­ber of in­dus­try lead­ers had re­cently con­veyed to De­fence Min­is­ter Nir­mala Sithara­man their dis­ap­point­ment over de­lays in grant of li­cence for set­ting up of man­u­fac­tur­ing fa­cil­i­ties for mil­i­tary equip­ment and plat­forms.

The new rules, which came into ef­fect on Oc­to­ber 27, are ex­pected to en­cour­age the man­u­fac­tur­ing ac­tiv­ity and fa­cil­i­tate avail­abil­ity of world-class weapons to meet the re­quire­ment of armed forces and po­lice forces in sync with the coun­try’s de­fence indi­geni­sa­tion pro­gramme.

Un­der the new rules, en­hance­ment of ca­pac­ity up to 15 per cent of the quan­tity ap­proved un­der the li­cence will not re­quire any fur­ther ap­proval by the gov­ern­ment. The man­u­fac­turer will be re­quired to give only prior in­ti­ma­tion to the author­ity, the state­ment said.

The li­cence fee has been re­duced sig­nif­i­cantly. Ear­lier the li­cence fee was Rs 500 per firearm which added up to very large sums and was a de­ter­rent to seek­ing man­u­fac­tur­ing li­censes. The li­cence fee will now range from Rs 5,000 to the max­i­mum of Rs 50,000.

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