Defence producers promote industry body

Hyderabad: With a view to highlight the problems in the defence industry and to push indigenous intellectual property (IP), the Defence industry manufacturers have formed an association christened as Defence Innovators’ & Industry Association (DIIA).

Claimed to be a pan-India industry body, DIIA has about 25 manufacturing, design and development companies as its members, says Ashok Atluri, Chairman DIIA, who represents Zen Technology. Being a largest importer of defence equipment, India needs to become self-sufficient in terms of high-end technologies and in the process require developing IP.

“When you look at the value chain of high technology complex defence equipment only (accounts for) 30-40 per cent of the costs contribute towards cost of manufacturing. While almost 60 per cent of the value is captured at the design and development level,” Atluri argues.

He feels that self-sufficiency in defence can be achieved through government policies that proactively encourage indigenous R&D. “It provides a platform for like-minded organisations to rally around, collaborate and co-operate to forge ahead in making ‘Make by India’ a sustainable initiative,” he points out.

Till date, research and development activity in the defence industry is not been encouraged, which the industry body like to actively pursue, he said. In a release, Atluri said “DIIA will interact with Government decision-makers to ensure a policy that encourages design and development of defence equipment with IP ownership in Indian companies”.