Several Indian companies like Mahindra and Mahindra, Tata group, Ashok Leyland and several others have built capabilities which are world class. However, more players need to join the defence purchases", said ASSOCHAM Secretary General D S Rawat. 

Following the letter and spirit of the government's flagship programme ‘Make in India' the indigenisation target should be achieved in different phases. There is also a case for a review of the field trial parameters and methodology, the chamber's communication to the government suggested.

It said eligible private sector players are currently not allowed to participate in a majority of programmes where they have both the technical and financial competence to deliver the project because of nomination of such programmes to DPSUs. "Nomination in such cases is detrimental to the objective of creating a vibrant private sector defence industry which is one of the prime recommendations of the Kelkar Committee. 

It also does not allow private industry to have relevant experience which forecloses participation in future related programmes/projects. ASSOCHAM firmly opposes this practice of Nomination and requests the government to allow for eligible private sector players to participate along with the DPSUs in a fair competition". 

In case a private sector system integrator meets the financial and technical capability specified in an RFI/RFP along with a minimum threshold specified for indigenisation for the project, then for such a firm not having a track record should not be criteria not to allow for the firm's participation in the Request for Information (RFI)/ Request for procurement (RFP) process, the chamber said.

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