US BUSINESS DELEGATION CALLS ON HARIN PATHAK

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The Minister of State for Defence Production and Supplies Shri Harin Pathak has said that American businesses have an ideal opportunity to forge partnerships with their Indian counterparts to set up projects in the hitherto untapped defence sector where ground for new opportunities has been created. He was speaking to a high level delegation from the US India Business Council consisting of defence industry leaders from the United States which called on him here today. The Minister said that time has come for corporate America to look at India’s defence sector more seriously.

While welcoming the delegation, Shri Pathak outlined Government of India’s new initiatives in liberalization, including the opening up of the defence sector for the Indian private sector participation with Foreign Direct Investment permissible up to 26 %. The Defence Production Minister said that growing cooperation between India and the US in the defence sector could pave the way for a significant breakthrough in their defence trade and technology transfer. India, Shri Pathak said, does not believe in a mere buyer-seller relationship. He said it must be raised to one of mutual trust, permitting long term, irrevocable and committed product support with transfer of technology. The Minister said issues of real industry to industry participation in developmental projects with co-production and possibly co-marketing on an equal partnership basis need to be addressed.