DAC approves Rs. 84,560cr for Make in India gear

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Under the direction of Defence Minister Rajnath Singh, the Defence Acquisition Council, or DAC, approved capital acquisition plans totalling Rs 84,560 crore on Thursday in order to strengthen the capabilities of the Indian Coast Guard and the Indian Armed Forces.
The proposals include new generation anti-tank mines, Air Defence Tactical Control Radar, Heavy Weight Torpedoes, Medium Range Maritime Reconnaissance and Multi-Mission Maritime Aircraft, Flight Refueller Aircraft and Software Defined Radios.

Defence Acquisition Council is a separate, dedicated structure for Defense Procurement. It is expected to lead to better time cost management in the acquisition process, build up institutional memory and help obtain better value for money.
It was established in Financial year 2002-03.

Give ‘in principle’ approval to Capital acquisitions in the Long Term Perspective Plan (LTPP) covering a 15-year time span at the beginning of a Five Year Plan period.
The approval will involve the identification of
- Either – ‘Buy’ Projects (outright purchase)
- Or – ‘Buy and Make’ projects (purchase followed by licensed production/ indigenous development)
- Or – ‘Make’ Projects (indigenous production and R&D)
Monitor the progress of major projects on feedback from the Defence Procurement Board.
The DAC will meet as required. After the approval concerned administrative wing in MOD shall be consulted for budgetary requirements.
The decision of RM based on DAC deliberations will flow down from implementation to Defence Procurement Board, Defence Production Board and Defence R&D Board.

The DPB will oversee all activities related to acquisition on the capital account in the Department of Defence flowing out of the ‘Buy’ and ‘Buy & Make’ decisions of the DAC. It will function as the body responsible for the co-ordination, supervision and monitoring of the acquisition process.

The Defence Production Board will oversee all activities related to indigenous manufacture, under the Department of Defence Production, flowing from the ‘Buy & Make’ and ‘Make’ decisions of the DAC concerning import and Transfer of Technology (ToT).
The Production Board will monitor progress of all ‘Make’ projects and will revert to the DAC with recommendations relating to alterations of the original decision where so warranted.
The Defence Production Board will provide requisite details to the Defence Acquisitions Council in the latter’s deliberations on Licensed Production, Transfer of Technology, and ab-initio production/development, as required.

The Research and Development Board will progress, monitor and report on all indigenous R&D proposals flowing out of the ‘Buy & Make’ decisions of the DAC.
In pursuing these objectives, the R&D Board will liase closely with the Production Board and Service users.
The R&D Board will recommend suitable technology evaluation and assessment process and ‘Laboratory to Induction’ planning process for the approval of RM.

The Acquisition Wing, headed by Special Secretary (Acquisition), will handle all matters concerning Defence acquisition of a capital nature.
It would have an integrated set-up with officers presently functioning in different capacities in the Dept. of Defence, Finance Division and Service HQrs, working together as a close-knit team.
The Acquisition Wing will consist of four Divisions, namely Land, Maritime, Air Force and Systems Divisions dealing with Army, Navy and Air Force, and a systems Division responsible for systems having tri-Service applicability and medical equipment respectively.