If basic equipment shortfalls that the defence sectors face are to be addressed, then Indian defence planners need to use the DEI framework to create solution models.
During application of prescribed procedures, many contradictions and ambiguities crop up, resulting in delays in decision making and, in some cases, to even faulty decisions.
While India’s latest defence budget has no doubt catered for a sizeable capital component, it may be prudent to reduce costs by switching to more affordable programmes.
Unless the SCOMET list includes munitions items, and is harmonised with the Wassanaar Agreement list, India will be unable to get the full benefits of international commerce in defence goods.
Adequacy or inadequacy of defence allocation largely lies in the manner it is spent keeping in view the defence requirements for meeting operational and strategic goals and to have the needed defence preparedness to deal with threats.
Given that allocations for revenue expenditure are likely to become lesser in coming years, defence managers need to initiate immediate measures to control the rising revenue expenditure.
If the Finance Ministry’s emphasis on fiscal prudence and inclusive growth has resulted in a smaller increase in the latest defence budget, the Report of the Thirteenth Finance Commission does not paint a very optimistic scenario for India’s future defence spending.
While Mahindra’s foray into defence production and the acquisition of foreign companies demonstrates the private sector’s initiative, the government needs to introduce further reforms to promote the role of private companies in Indian defence industry.
The BRO could consider constituting a high level monitoring committee both at headquarters and on site to co-ordinate with the contractor, the consultant and other agencies to sort out issues that may have the potential to cause delay.
The effectiveness of the procurement process needs to be viewed in context of the operational and structural readiness of the armed forces. If the existing framework proves to be weak and unable to deliver required levels of military preparedness, the framework may have to be re-laid for its effectiveness and deliverability.
Defining a New Conceptual Framework: Defence Economic Infrastructure
If basic equipment shortfalls that the defence sectors face are to be addressed, then Indian defence planners need to use the DEI framework to create solution models.