Here’s how India will probably select its strategic partner for ‘Make in India’ in defence sector

It won’t be that easy to enter defence sector through Prime Minister Narendra Modi’s ‘Make in India’ initiative as private players will have to go through a grilling process.

A panel led by former DRDO chief VK Atre has suggested five areas and a three-step selection process through which private players will get manufacturing projects worth over Rs 10,000 crore.

The panel suggests prioritising areas like aircraft, helicopters, submarines, armoured fighting vehicles and ammunition and only one company would be eligible for only one sector.

It also recommended a minimum lock in period of 20 years. In case the private player is unable to perform, the government will have all rights to gain control of the firm.

In order to identify private players, entry would be based on financial and technical parameters, followed by verification and then past performances.

(Image: reuters)