Indian defence companies allowed to own and account for final designs/specifications as AHSP. Simplified mechanism to represent all stakeholders. DGQA to notify detailed procedure in two months. Rationalisation of entire list and transfer of AHSP to industry advised by MoD.
Raksha Mantri Shri Rajnath Singh has approved a proposal for bringing in industry-friendly reforms related to the Authority Holding Sealed Particulars (AHSP) to promote ease of doing business in the Indian defence industry. The AHSP is responsible for generating, maintaining, updating, or declaring obsolete the entire history and technical information of defence products. Until now, the Directorate General of Quality Assurance (DGQA) was the AHSP for the majority of defence items designed, developed, and manufactured by various Defence Public Sector Undertakings (DPSUs) and private industries.
Under the existing procedure, certain bottlenecks were experienced by the industry to bring timely improvements in their products and technologies in line with changing times. Therefore, the Ministry has decided to liberalise the AHSP procedures and make them industry-friendly. The Indian defence companies, which have developed products, systems, subsystems, components on their own indigenous capabilities (except critical stores), will now be allowed to own and account for their final designs and specifications as AHSP.
This will allow the industry to bring timely improvements in their products and technologies and promote indigenous design and development of defence products. In case of any change in the sealed particulars, a simplified mechanism representing all the concerned stakeholders, including the industry, will take a decision. The DGQA will notify the detailed procedure in this regard within two months.
AHSP to encourage ease of doing business
The DGQA has also been asked to examine all AHSPs with them and rationalise the entire list within two months. They have been further advised to transfer the AHSP to the industry at the earliest. It will be another significant step of the Government to further encourage Ease of Doing Business. The move is expected to boost the defence industry in India and promote indigenous design and development of defence products.
The reforms initiated by the Ministry of Defence will allow the Indian defence industry to bring innovative products and technologies and compete globally. It will also provide a level playing field to the private sector in the defence industry and help reduce dependence on imports. The industry can now bring timely improvements in their products and own final designs/specifications as AHSP, which will enhance their competitiveness and promote indigenous design and development of defence products.
The liberalisation of AHSP procedures will also promote transparency and accountability in the Indian defence industry. It will enable the industry to share technical information and collaborate with each other to develop cutting-edge defence products. The move will also help in reducing the cost of defence products and improve their quality.
Overall, the reforms initiated by the Ministry of Defence in the AHSP procedures are a welcome step and will provide a major boost to the Indian defence industry. The industry can now expect to bring innovative products and technologies and compete globally. The move is in line with the Government’s vision of promoting indigenous design and development of defence products and enhancing the ease of doing business in the country.
