March 13, 2023 8:47 PM

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Expenditure on defence procurement from foreign sources reduces from 46% of overall expenditure in 2018-19 to 36.7% till December 2022

The Government today said that the expenditure on defence procurement from foreign sources has reduced from 46 percent of the overall expenditure in 2018-19 to 36.7 percent till December last year. In a written reply in Rajya Sabha today, Minister of State for Defence Ajay Bhatt informed about it. <br />''<br />''He listed the 155mm Artillery Gun system Dhanush', Light Combat Aircraft Tejas, the surface-to-air missile system Akash, the main battle tank Arjun, the T-90 tank, the T-72 tank and Cheetah helicopter as indigenous key defence projects. <br />''<br />''Mr Bhatt said, these projects are the result of several policy initiatives and reforms taken by the Government in the past few years to encourage indigenous design, development and manufacture of defence equipment, thereby promoting self-reliance in defence manufacturing in the country.<br />''<br />''In reply to another question, Mr Bhatt said, 15 Offset Agreements in defence deals signed during the last five years. He said, the total contracted offset amount from the year 2017 to 2022 in these Offset Agreements with nine foreign vendors is 1.86 Billion dollars. <br />''<br />''The Minister said, out of the 15 Offset Agreements, the cumulative percentage of claims fulfilled is 175.48 per cent. However, the specific liability in some of these Offset Agreements still pending is 89.08 crore rupees. Mr Bhatt said, during the period, in three Offset Agreements, the vendors have not fulfilled their due offset obligations. For unfulfilled offset obligations, penal action has been taken on the defaulting vendors as per the relevant provisions of the Defence Offset Guidelines under the applicable Defence Procurement Procedure. <br />

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