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April 13, 2014
The Government of India is planning to increase the indigenisation to around 80% in the major combat aircrafts from the current around 50-60%.
A committee, headed by Secretary of Defence Products was set up, to achieve this task in the next 10 years, said a senior representative from the Committee and a Senior Official from the Government. The task also includes manufacturing engines for these aircrafts in India itself.
Air Vice Marshal J K Singh said that indigenisation is a break-through and Indian Air Force considers it as significant on the back drop of recent issues, because of which it often we ran into crisis.
He said that IAF is looking for reliable service suppliers in the country, considering it will be reliable, as dealing with multiple foreign vendors got its own challenges like supply chain, paper works and others.
"Why should we go to others, when we have our own capability," he questioned. He noted, today two industries are supplying aircraft batteries, 90% of oil and lubricant supplied by single company from India, said Singh, who was in Chennai to participate in the launch function of MRF's tyres for Sukhoi 30 MKI's main wheel.
He noted, IAF has been sourcing these tyres from countries like Russia, USA, UK, France, Israel and others.
"Some day all these (global) vendors will be replaced by indigenes supplies," said Singh, who noted it also makes good economics.
He noted, tyres for Sukhoi was sourced for around Rs 1 lakh in the global market, whereas from MRF it is sourced at Rs 56,000.
Dr K Tamilmani, distinguished scientist, Director General - Aeronautical Systems and of the Committee members, set up by the Government on studying measures to increase the indigenisation, said that at present indigenisation level is around 50%, while in the light combat vehicles alone it is around 60%.
"We want to increase it to 75-80%, for which work is going on," said Tamilmani, who also agrees the products can be cheaper in India. He noted cost advantage could be around 35-40%, compared to the imported ones in MRF tyres, which can also give better performance.
He noted, imported tyres for Sukhoi aircrafts can take up around 40-50 landings, while MRF tyres can take upto 70 landings.
Tyres is just one example, Indian industries can do lot more, he says. For example pump, batteries and generators are currently being imported, which can be sourced from India itself.
"India change is always slow, but it will happen. One area we are not focussing properly is on the engine development, we got Kaveri engine only. But today the realisation has come, India progressed very well and investing heavily on the engine development. In 10 years engines will also be developed in India," said Tamilmani, who noted Indian Industry is capable, all they need is little advance and handholding.
He is also of the view that enough handholding was not given to the private industries and they are not treated as partners. He also alleged that medium industries are not getting fair chances, mindset need to change, Government regulation need to change, Indian industries are not treated on par with foreign companies, when it comes to benefits. The classic example is customs duty exemption, said Tamilmani.
The other major issue is payment. While for delays, some%age of the order will be fined. when the industries deliver the order on time, they are not getting paid on time or advances are not paid to them.
"We need national policy for indigenisation, just like what is available in countries like France and South Korea," he said.
Govt plans to increase indigenisation in IAF's Fighter Aircrafts to 80% | Business Standard
April 13, 2014
The Government of India is planning to increase the indigenisation to around 80% in the major combat aircrafts from the current around 50-60%.
A committee, headed by Secretary of Defence Products was set up, to achieve this task in the next 10 years, said a senior representative from the Committee and a Senior Official from the Government. The task also includes manufacturing engines for these aircrafts in India itself.
Air Vice Marshal J K Singh said that indigenisation is a break-through and Indian Air Force considers it as significant on the back drop of recent issues, because of which it often we ran into crisis.
He said that IAF is looking for reliable service suppliers in the country, considering it will be reliable, as dealing with multiple foreign vendors got its own challenges like supply chain, paper works and others.
"Why should we go to others, when we have our own capability," he questioned. He noted, today two industries are supplying aircraft batteries, 90% of oil and lubricant supplied by single company from India, said Singh, who was in Chennai to participate in the launch function of MRF's tyres for Sukhoi 30 MKI's main wheel.
He noted, IAF has been sourcing these tyres from countries like Russia, USA, UK, France, Israel and others.
"Some day all these (global) vendors will be replaced by indigenes supplies," said Singh, who noted it also makes good economics.
He noted, tyres for Sukhoi was sourced for around Rs 1 lakh in the global market, whereas from MRF it is sourced at Rs 56,000.
Dr K Tamilmani, distinguished scientist, Director General - Aeronautical Systems and of the Committee members, set up by the Government on studying measures to increase the indigenisation, said that at present indigenisation level is around 50%, while in the light combat vehicles alone it is around 60%.
"We want to increase it to 75-80%, for which work is going on," said Tamilmani, who also agrees the products can be cheaper in India. He noted cost advantage could be around 35-40%, compared to the imported ones in MRF tyres, which can also give better performance.
He noted, imported tyres for Sukhoi aircrafts can take up around 40-50 landings, while MRF tyres can take upto 70 landings.
Tyres is just one example, Indian industries can do lot more, he says. For example pump, batteries and generators are currently being imported, which can be sourced from India itself.
"India change is always slow, but it will happen. One area we are not focussing properly is on the engine development, we got Kaveri engine only. But today the realisation has come, India progressed very well and investing heavily on the engine development. In 10 years engines will also be developed in India," said Tamilmani, who noted Indian Industry is capable, all they need is little advance and handholding.
He is also of the view that enough handholding was not given to the private industries and they are not treated as partners. He also alleged that medium industries are not getting fair chances, mindset need to change, Government regulation need to change, Indian industries are not treated on par with foreign companies, when it comes to benefits. The classic example is customs duty exemption, said Tamilmani.
The other major issue is payment. While for delays, some%age of the order will be fined. when the industries deliver the order on time, they are not getting paid on time or advances are not paid to them.
"We need national policy for indigenisation, just like what is available in countries like France and South Korea," he said.
Govt plans to increase indigenisation in IAF's Fighter Aircrafts to 80% | Business Standard
