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Saturday, 31 May 2014

Boost public-private partnerships in Indian industry to make the most

Last October India's flagship 'make' (high-tech systems) program under the Defence Procurement Procedure (DPP) -2011, the Tactical Communication System (TCS), finally got some momentum going when the Ministry of Defence (MOD) issued staff qualitative requirements to the previously down-selected competitors for this program. Though long overdue, forward movement on TCS marks the beginning of an era wherein synergistic public-private models will be pursued towards furthering indigenisation. For instance under the 'make' category, 80 percent of the cost of development and prototyping will be borne by the MOD while the remainder is to be put up by the developing agency (DA). Incidentally, over 150 new projects under the 'make' category are going be rolled out this year in order to both defray risks as well as augment capabilities. Other initiatives that include the sharing of government held intellectual property with private companies in order to raise their technological base and thereby free DRDO to focus more on cutting edge developments are also on the anvil. If these measures are pursued doggedly, a quantum jump in the size and quality of India's domestic military-industrial complex can be achieved before the end of the decade itself.



The two DA's in the fray for the TCS program are of course Bharat Electronics Limited and a special purpose vehicle set up jointly by private sector majors Larsen & Toubro (L&T), Tata Power SED and HCL Infosys. Either DA is currently expected to submit a detailed project report (DPR) by the end of January. Subsequent to which each of the contenders will have to build TCS prototypes for about Rs 300-350 crore that will then be trialed by the Indian Army's (IA's) Corps of Signals. TCS, readers would note is a critical modernization project for the IA's offensive posture given that it is intended to replace the existing Army Radio Engineering Network (AREN) used by advancing formations to communicate with each other. TCS prototypes will consist of a digitized communication network linking frontline troops to forward command and control (C&C) centres and will have the ability to leapfrog into enemy territory with advancing formations through both plain and mountainous terrain while continuing to channelize high quality and secure data. Obviously strike corps will depend in the future on a state of the art TCS to establish theatre supremacy.



Now, the strong private sector interest in a project of this nature is in itself a testament to the capabilities built up by them through partnering with DRDO on electronic warfare, missile and naval systems development. Indeed, the two key players in the private consortium competing for TCS i.e L&T and Tata have cut their teeth in the indigenous nuclear submarine and Samyukta electronic warfare projects respectively. Granted private firms are also on the lookout for international partners for TCS and other 'make' programs but there is no denying that their (i.e foreign collaborators) participation in many such projects will be limited to experience sharing and orchestrating certain component supply chains.



Today the top ranking private companies in the defence space in India are in a position to evaluate the actual operational performance of the wares supplied by foreign majors elsewhere with reference to a particular program. This aspect is obviously important because projects in the past have been known to get delayed due to inappropriate selection of international collaborators by domestic companies. Even more importantly Indian private companies today have the necessary clout to credibly effect such partnerships and that too can be attributed in no small measure to their own growing in-house capabilities.



Amidst all this talk of foreign direct investment (FDI) in the defence sector it is pertinent to remember what one gets from overseas is ultimately a function of their own strength. To find appropriate international adjuncts for domestic projects, Indian majors both private and public have no alternative to continue to create credible intellectual property of their own. Foreign collaborators are often known to create troubles mid-way within programmes alleging problems with technology absorption at the Indian end of things and demanding either higher service fees or even greater percentage of home (i.e foreign) sourcing. The only way to ensure that such tactics are not employed is by constantly looking to move up the value chain.



What is more, most military modernization projects cannot be seen in isolation. Even as TCS is being executed, IA will move on to the at least five times larger by value Battlefield Management System (BMS) project which will replace the Army Static Switched Communication Network (ASCON). Since TCS and BMS will eventually be part of a seamless network for IA, the lead executor of the former will be well placed to be the same for the latter. It is therefore imperative that DAs down-selected for TCS choose their foreign collaborators well. Moreover, a lot of sub-contracting work can always take place between erstwhile competitors for a program as many instances from countries like the US indicate. The Indian defence industry is at the end of the day a single community where artificial distinctions such as public and private need to get blurred and the focus should be on timely execution and capability augmentation rather than on adversarial relationships that foreign parties may try to exploit. Competition need not be the same as conflict in the domestic context. For instance the success of BMS will be a key component of making DRDO's F-INSAS program, that will see large scale sub-contracting to private players, more effective. Clearly a consortia based long-term view will do more for indigenisation and bottom-lines than acrimonious posturing.



Continued





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Exclusive Photos: When India's LCA-Navy Quietly Went Supersonic





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Unmanned version of the Dhruv helicopter Scrapped : Israel June 01, 2014 at 09:49AM

SOURCE : JANES The operational need is there and the technologies are at hand – and yet the plan to develop a system that will take the pilot out of helicopters is still moving ahead very slowly.Many companies in the world are making developmental efforts, but none can offer a commercial solution at this point […]



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Aircraft carrier Vikramaditya fully operational: Navy Chief June 01, 2014 at 09:33AM

SOURCE: EXPRESS NEWS SERVICE Signalling that INS Vikramaditya is battle ready months after its arrival from Russia, Navy Chief Admiral Robin Dhowan has said that the aircraft carrier is fully operational with an adequate number of pilots now qualified to operate from the floating airfield. Speaking with The Indian Express, Dhowan shared that the Indian […]



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FDI Hike in Defence to Boost Production: HAL June 01, 2014 at 09:10AM

SOURCE: IANS Prospects of an increase in foreign direct investment (FDI) in the defence sector would enhance production and generate employment, Hindustan Aeronautics Ltd chairman R.K. Tyagi said Saturday. “With the possibility of increase in FDI limit in defence sector, production activity will get a boost in India,” he said at a vendors meet here. […]



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Russian Uav shot down by Ukrainian Army June 01, 2014 at 09:04AM

SOURCE : INTERFAX RU An unmanned aerial vehicle shot down by Ukrainian army on May 28, according to preliminary report, is a type of “Orlan-10″ UAV produced by Russia, the Security Service of Ukraine’s spokesman said.”According to the preliminary analysis of the specialists, the vehicle is one of the serial modifications of the “Orlan-10″ UAV […]



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Chinese Navy Plans to Increase Conventional submarines to at least 60 in 10yrs June 01, 2014 at 09:01AM

SOURCE: WANT CHINA TIMES Experts have predicted that China is likely to increase the number of its type 041 conventional submarines to 60 or 70 over the next decade. The Japanese navy also plans to increase the number of its Soryu-class diesel-electric powered submarines from 16 to 22 in response to a perceived threat from […]



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IAF chief reviews NDA Passing out Parade at Pune June 01, 2014 at 08:58AM

SOURCE: DNA INDIA Air Chief Marshal Arup Raha Chief of Air Staff reviewed the passing out parade of 126th course of the National Defence Academy (NDA) at Khadakvasla, Pune, today.Three hundred and sixty NDA cadets graduated as they passed through the portals of prestigious (Arjun) Khetarpal Parade Ground. The chief guest was received by Air […]



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Afghanistan assures India on safety of embassy, missions June 01, 2014 at 08:55AM

SOURCE: IBN LIVE Foreign Secretary Sujatha Singh on Saturday met Afghan President Hamid Karzai and the two presidential candidates here during which she was assured that Afghanistan was committed to ensuring full safety for the Indian Embassy in Kabul, four consulates and interests irrespective of the orientation of the new leadership. Singh, who flew to […]



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Indian Army for new 9mm pistols - SP's Land Forces




Quote:




May 31, 2014: The Army's Infantry Directorate has announced interest in acquiring an unspecified number of 9mm pistols for regular troops. The proposed weapon is to be used as a secondary weapon both during conventional and sub conventional operations. The pistol needs to have ambidextrous handling with a silencer/suppressor, preferably with side-rails for add-ons like a tactical light and laser aiming device. The new sidearm needs to be a robust weapon to replace the current OFB Ichhapore Pistol Auto 9mm IA that remains the standard issue for regular Army infantry (special forces use the Austrian Glock 17 and Belgian FN-35). Interest is likely to pour in from several quarters, including Italy's Beretta (Px4 Storm), German-Swiss Sig Sauer (P226) and German Carl Walther GmbH Sportwaffen's Walther P99. The former two companies have aggressively marketed their wares at Indian trade shows in recent years. In 2009, the Indian Army had separately announced that it was looking for additional 9mm pistols for its special forces and para units.








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IAF chief takes salute at NDA passing out parade - Odisha Sun Times








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IAF chief takes salute at NDA passing out parade

Odisha Sun Times

Indian Air Force chief Arup Raha Saturday reviewed and took the salute at the passing out parade of the National Defence Academy, and complimented the cadets for their “immaculate turnout and excellent drill”. A total of 360 cadets graduated from the ...

IAF chief reviews NDA Passing out Parade at Pune

Passing out parade held for 126th NDA course

Air Force chief briefs personnel of South Command









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IAF's Su30MKI and MiGs to take on French Rafale in Garuda 5 joint exercise in ... - Daily Bhaskar









IAF's Su30MKI and MiGs to take on French Rafale in Garuda 5 joint exercise in ...

Daily Bhaskar

The Rafale will be pitted against IAF's Su30MKI, MG-27 and MiG-21. Both the team would engage in close combat positions; dogfights; to engage in air-to-air refueling; cross-servicing of a common type between ground crews; understanding basic concepts ...

French Airforce Contingent Arrives in India for Joint Exercise









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IAF chief takes salute at NDA passing out parade - Odisha Sun Times








IBNLive



IAF chief takes salute at NDA passing out parade

Odisha Sun Times

Indian Air Force chief Arup Raha Saturday reviewed and took the salute at the passing out parade of the National Defence Academy, and complimented the cadets for their “immaculate turnout and excellent drill”. A total of 360 cadets graduated from the ...

IAF chief reviews NDA Passing out Parade at Pune

Passing out parade held for 126th NDA course

Air Force chief briefs personnel of South Command









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IAF's Su30MKI and MiGs to take on French Rafale in Garuda 5 joint exercise in ... - Daily Bhaskar









IAF's Su30MKI and MiGs to take on French Rafale in Garuda 5 joint exercise in ...

Daily Bhaskar

The Rafale will be pitted against IAF's Su30MKI, MG-27 and MiG-21. Both the team would engage in close combat positions; dogfights; to engage in air-to-air refueling; cross-servicing of a common type between ground crews; understanding basic concepts ...

French Airforce Contingent Arrives in India for Joint Exercise









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Pehli Khabar - FDI in Defence: Government initiating policy changes


















Guests: Bharat Verma (Editor, Indian Defence Review) ; Ranjit Kumar (Diplomatic Editor, Navbharat Times) ; Meem Afzal (National Spokesperson, Congress) ; Vijender Gupta (Leader, BJP) Anchor:...



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Pehli Khabar - FDI in Defence: Government initiating policy changes


















Guests: Bharat Verma (Editor, Indian Defence Review) ; Ranjit Kumar (Diplomatic Editor, Navbharat Times) ; Meem Afzal (National Spokesperson, Congress) ; Vijender Gupta (Leader, BJP) Anchor:...



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Team Modi in action to make 100 Hi-tech cities


















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The News Centre Debate : ''NDA moots 100% FDI in defence'', Pt 3 - Tv9 Gujarati


















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