By NNN-PTI,
New Delhi : India, the tenth largest defence spender, is expected to sign defence offsets contracts worth over Rs 46,000 crore (1 crore=10 million) in the next five to ten years.
“In the 11th Plan, the value of offsets contracts is likely to be more than Rs 10,000 crore… In addition, (offsets worth) Rs 4,818 crore are at the contract negotiation stage and Rs 31,500 crore are at other stages,” Minister of State for Defence M M Pallam Raju said here Wednesday.
Under the Defence Procurement Procedure (DPP), foreign vendors have to reinvest at least 30 per cent of the deals worth over Rs 300 crore in the Indian defence, civil aerospace or internal security sector.
With India planning to spend over USD 100 billion for the modernisation of its armed forces, there will be investment of USD 30 billion in the three sectors.