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Archer · 12-11-2006, 20:08 PM

Sure, why not. Each can keep the other on its toes.
But the problem so far, has been that the private sector is risk averse when it comes to defence, since it wants assured orders before it proceeds with a project. The services will give an order only if the specs are met. Till then they wont. So private sector has gone for the route of being a DRDO system provider. The companies currently asking to be treated on par with PSUs unfortunately, are still showing some of the old attitude (not the biggies like L&T, TATA etc but others)- they want to be given preference, when all their facilities allow is part assembly, not manufacture. This the MOD has not agreed to, with reason. The forces are now following the"we fund your prototypes" kind of management, which is positive. On another note; the offset agreement allows for Indian firms to manufacture items. Elta won a deal for some 200 Million $ for IAF's medium power radars- so they have signed a 30% offset deal with a couple of firms, one will be supplying travelling wave tubes. L&T is also involved.

12-11-2006, 20:08 PM	#6 (permalink)
Archer *Senior Contributor* Join Date: 10-13-03 Posts: 2,888	Sure, why not. Each can keep the other on its toes. But the problem so far, has been that the private sector is risk averse when it comes to defence, since it wants assured orders before it proceeds with a project. The services will give an order only if the specs are met. Till then they wont. So private sector has gone for the route of being a DRDO system provider. The companies currently asking to be treated on par with PSUs unfortunately, are still showing some of the old attitude (not the biggies like L&T, TATA etc but others)- they want to be given preference, when all their facilities allow is part assembly, not manufacture. This the MOD has not agreed to, with reason. The forces are now following the"we fund your prototypes" kind of management, which is positive. On another note; the offset agreement allows for Indian firms to manufacture items. Elta won a deal for some 200 Million $ for IAF's medium power radars- so they have signed a 30% offset deal with a couple of firms, one will be supplying travelling wave tubes. L&T is also involved. __________________ Karmani Vyapurutham Dhanuhu My bow is stretched for its task Last edited by Archer : 12-11-2006 at 20:24 PM.