November 10, 2010 7:30 PM

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Defence PSUs to be modernised to compete with Private sector: Antony

Government has cautioned the Defence Public Sector Units and Ordinance Factories to be ready for tough competition from private sector. Giving away the Raksha Mantri Excellence Awards for 2008-09 in New Delhi today, the Defence Minister, Mr. A.K. Antony said that from next year onwards there will be a new Defence Procurements and Production policy in place which calls for keen competition between the public and private sectors engaged in defence production. Mr. Antony said that on its part Government is committed to provide all assistance including necessary funds for the modernisation of defence public sector undertakings. He reminded that at the time when India is seeking a permanent seat in the United Nations Security Council, heavy dependence on foreign companies for defence acquisition is not suitable. He said that India must have a strong defence production base which is completely indiginised. He further added that there will be no nomination for Shipyards in the future. The private players will also be allowed on the basis of merit.In reply to a question on CBI probe in Adarsh Society Scam, the Minister said that the Army Chief has himself recommended the probe and this will not affect the morale of defence forces in any way. He said that a new Director General of Defence Estates have been appointed and been asked to clean up the organisation.The Defence Minister also gave away 11 awards in various categories for excellence in defence productions.

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