The Indian Defense Ministry on Saturday urged the private sector to take advantage of its Offset Policy that will create a 10-billion opportunity in the next five years to manufacturers and service providers, according to the Press Trust of India.
Offsets provisions apply to capital acquisitions categorized as outright purchases from a foreign or Indian vendor or purchases followed by licensed production.
"Our anticipation is that the Offset opportunity will grow to Rs 40,000 crore [about $10 bln] in the next five years. This offers a tremendous opportunity [for the private sector]," Minister of State for Defense M M Pallam Raju said.
For a multi-role combat aircraft, the offset value is 50%, Raju said.
He said most global aerospace industries had started looking towards India as a hub for development of technology, the offset policy being a primary attraction.
MOSCOW, December 19 (RIA Novosti)
