Public-Private Partnership in defence sector to be expanded

Hyderabad, May 24 (UNI) Union Minister of State for Defence Production Rao Inderjit Singh today said the Public-Private Partnerships (PPP) would be expanded for the economic growth and overall development of the country.

Addressing a press conference here, he said there would be more chances for investment in PPPs, with more joint ventures coming up.

He said the PPP in defence sector would be opened for its growth.

Earlier, needs of the defence sector were met by nine public sector undertakings and 39 ordnance factories.

Mr Singh said the country would be in a position to export defence equipment within ten years with the help of PPPs. The country used to import defence equipment earlier and the trend would change now, he added.

He said that in the Eleventh Five-Year plan, it was decided to purchase one billion Dollars worth defence equipment and the country was now in a position to give cash for import of defence equipment.

Mr Singh said the budget for the current financial year for defence sector was Rs 96,000 crore and out of this, Rs 42,000 crore was for capital expenditure and the remaining for revenue expenditure.

He said the Defence Procurement Policy (DPP) had been amended last year for bringing transparency in defence procurement.

He said India had vast mineral resources but the country was unable to tap these resources to the maximum level due to lack of joint ventures. Joint ventures in the country would enhance the mining industry activities, which were important for economic growth, he added.

UNI