Q.1) The Defence Ministry released its latest Defence Acquisition Procedure 2020 (DAP 2020) which diluted the “offset” policy in defence procurement. Many contend that the move is a setback for augmenting domestic capabilities. Critically analyse. (250 words)
Why this question?
- The govt. changed a 15-year old policy by removing the clause for offsets if the equipment is being bought either through deals or agreements between two countries, or through an ab initio single-vendor deal.
Introduction: An offset provision in a contract makes it obligatory on the supplier to either “reverse purchase, execute export orders or invest in local industry or in research and development” in the buyer’s domestic industry.
Body:
- Changes in offset policy
- Benefits of offsets
Concerns with offset clause removal
Setback for indegenous defence production
Short lived offset policy in aerospace
Conclusion: The offset policy can, however, succeed, if it is designed and executed correctly, like in the aerospace industry. India needs to re-conceive or re-imagine the offset clause in defence contracts with stricter enforcement of the deals, in order to aim for ‘Atma Nirbhar Bharat Abhiyaan’, or a self-reliant India.
Q.2) Discuss the significance of defence deals in India-US bilateral relation. (150 words)
Why this question?
- India and the US are preparing for the third 2+2 ministerial meeting. Thus the question.
Introduction: The Basic Exchange and Cooperation Agreement (BECA), LEMOA and COMCASA have been dubbed the troika of foundational pacts for deeper military cooperation between India and USA.
Body:
- A brief about India-US bilateral relations
- Defence deals signed between India and US
- Significance: Defence as a driver, strategic convergence between India and the US on the rise of an aggressive and expansionist China in the Indo-Pacific, Quad, economic benefits
Conclusion: Summarize the above points and suggest a way forward.
Q.3) India is a fertile ground to be a technology-led innovation garage. Comment (250 words)
Why this question?
The questions on innovation in different fields have been asked frequently.
Intro:
Mention few stats such as ‘India is the fastest growing country in terms of Internet usage’
Body:
- Elaborate India’s innovation potential
- Mention Vaishvik Bharatiya Vaigyanik (VAIBHAV) summit and (RAISE) 2020 summit
- JAM figures
- A recent report by Accenture, potential to add over $957 billion to India’s GDP by 2035 with artificial intelligence (AI).
- Initiatives taken by government incentivising research and development
- Hurdles in those initiatives and few suggestions
Conclusion
Mention need of spending more on R&D activities.
