5th June, 2002
Ministry of Defence  


EFFORTS SHOULD BE MADE TO REDUCE DEFENCE IMPORTS: FERNANDES


DEFENCE MINISTRY CONSULTATIVE COMMITTEE MEETS

The Defence Minister Shri George Fernandes has called upon the Defence Public Sector Undertakings (DPSUs) to make all out effort to reduce country’s dependence on defence related imports. He was addressing the meeting of the consultative committee attached to his ministry in Bangalore today. Shri Fernandes stressed the need by the DPSUs to work in the direction of increasing exports. He said that money allocated to defence related projects is fully utilized. Shri Fernandes said that there will be no shortage of funds for Research and Development by these DPSUs. Defence Minister noted that the DPSUs, inspite of being in the Public Sector and profit being not the sole consideration, were still by and large making profit.

Referring to the production schedule of Sukhoi fighter aircraft, the Defence Minister said that there is a need to compress it. Regarding Intermediate Jet Trainer, he said that it will be test flown very soon. Commenting on the upgradation of the MiG-21 aircraft, Shri Fernandes said it is still left with a life span of 20 years.

The members of Parliament while complimenting the efforts of various DPSUs suggested measures to improve their performance. One member suggested not to go for manpower reduction. Another member was of the view that export by these undertakings is very less in comparison to country’s defence imports. A member was of the opinion that companies like Bharat Earth Movers Ltd., while diversifying should explore the possibilities of manufacturing farm related equipment. Another member suggested an overall review of the working of these PSUs. He was of the opinion that Ministry of Defence should take up the issue of procuring more orders for these DPSUs from other Ministries like Railways and Ocean Development in these DPSUs should not be linked to their turnover as these companies are working in the field of defence.

Earlier the CMDs of all the eight DPSUs i.e., Hindustan Aeronautics Ltd., Bharat Electronics Ltd., Bharat Earth Movers Ltd., Mazagon Dock Ltd., Garden Reach Shipbuilders and Engineers, Goa Shipyard Ltd., Bharat Dynamics Ltd., and Mishra Dhatu Nigam Ltd., gave a detailed presentation about the achievements and future projections of their respective companies.

The Members of Parliament, Dr. Nihal Chand, Kunwar Akhilesh Singh, Shri Mansoor Ali Khan (From Lok Sabha), Shri TN Chaturvedi, Shri S Agniraj, Shri Kripal Parmar, Shri SR Bommai and Dr. Vijay Mallaya (from Rajya Sabha) attended the meeting. The Minister of State for Defence Shri UV Krishnam Raju, Secretary (Defence Production and Supplies), Shri Subir Datta, Secretary (Defence Finance), Shri M Kumaraswami and other senior officials from the Ministry of Defence and the DPSUs were also present in the meeting.