Apr 19, 2008

Outlining the Trajectory of India’s Future Defence Policy

The Prime Minister Mr Manmohan Singh’s address to the Combined Commanders Conference in New Delhi indicated the likely trajectory of India ’s future defence policy. The key policy shift appears to be in the role of the Armed Forces. Restricted to external security and other conventional purposes so far, the new policy appears to support growing strategic partnerships and provide greater policy choices as well as improve prospects of development. The major issues and trends covered are summarized as given below. Comments have been given in brackets.

India ’s Sphere of Interest. The area of interest for political, economic and defence engagement identified by the Prime Minister include West Asia, the Gulf, Central Asia and the Indian Ocean region. Protection of lines of communications is envisaged through a cooperative structure with like minded nations and littoral countries.

Integrated Approach to Security. The Armed Forces would be required to support the growing strategic partnerships of the country and provide greater policy choices as well as improve the prospects of development. An integrated approach to achieve this aim has been proposed to include political, economic, military and other levers of the state, thus both soft and hard power.

Terrorism - the Biggest Challenge. The principle challenge envisaged to plural and democratic societies is that of international terrorism. The strategy adopted would also indicate the need to modify behavior of states where terrorists are finding (or though not stated as such being provided) safe haven, sanctuary and material sustenance.

Pakistan on Trial. Pakistan has been put on notice to deal clearly with the issue of terrorism within the frame work of the India-Pakistan Anti-Terrorism Institutional Mechanism. Its intentions and capabilities are thus likely to be put to test. (This explains the strategic nuance of the Havana handshake).

Cooperative Engagement with Bangladesh. Towards Bangladesh a pattern of cooperative engagement is proposed to dissuade the economic pull of India and redress the economic imbalance so as to improve the lot of the people on both sides. (The coming elections in Bangladesh would prove of consequence as these would provide the future trajectory of relationship between the two countries. If Awami League comes to power there would be closer cooperation and greater aid and economic assistance to Bangladesh , however in case the BNP retains power, than it may continue to have a confrontational policy with India ).

China . A peaceful bilateral relationship has been envisaged with China . (The coming visit of Chinese President Hu Jin Tao may indicate trends in the relationship, though the boundary issue is not likely to show any progress). (The policy on China was further amplified by a talk in the Combined Commanders Conference by then Defence Minister, Mr. Pranab Mukherjee who indicated that it to be of constructive engagement. The infrastructure on the border with China is also proposed to be improved.)

Development of Infra Structure on Borders. Development of infra structure in border areas has also been given high priority so as to act as a multiplier for internal as well as external security. (A role for the military has been finally acknowledged in this sphere. One option would be to nominate army officers on deputation as district commissioners of border districts, a practice which was prevalent during the days of the Raj as well as in the years that followed).

Afghanistan . The most interesting statement came on Afghanistan , “For instance, we need new and creative solutions to the security and development issues that we face in Afghanistan where our efforts to help the Afghan people arouse reactions from the Taliban and their sponsors who are still seeking to put the clock back.” (Does it imply a step forward from the present economic and development assistance? With NATO forces in crying need of additional troops, induction of Indian forces either military, para military or police needs some consideration. These could be deployed in the less strife torn areas initially but will demonstrate India ’s stake in affairs of the nation. The issue is extremely complex, but the primary factor appears to be that of Pakistan ’s resistance.)

Modernization of Armed Forces. Modernization of the armed forces has been acknowledged for which the path indicated is that of an optimal blend of developing and producing indigenously and external sourcing or make or buy policy.

Maritime Security. The significance of maritime security with the needs of energy security have also been highlighted so also the need for high quality air power which can strike with speed and lethality.

Emphasis on Joint ness. The Prime Minister also highlighted the measures undertaken towards ‘joint ness’ in thinking, joint ness in planning and joint ness in action. Setting up of the Indian National Defence University (INDU) and the Joint Doctrine for the Indian Armed Forces was denoted as an inflection point for joint training and transformation to operational level joint doctrines. The INDU is also slated to be a catalyst to promote strategic policy analysis and planning and contribute to the development of long term strategic thinking.

Indian Navy in an Intellectual Over Drive

The Indian Navy has been attempting to make its own footprint in the waters of the Indian Ocean by providing a theoretical foundation through the framework of India ’s maritime strategy. The Maritime Doctrine was released by the Navy in 2004, this has been followed by the Maritime Capability Perspective Plan, which is stated to be a classified blueprint of the force-level structure of the Navy for the next decade and a half. This has been finalized in May 2006. "Freedom of the Seas: India 's Maritime Strategy", again a classified document, was released on 17 Oct denoting the Navy’s vision for the future.

The process of change introduced by the Indian Navy has involved another set of publications, "Vision Statement of the Indian Navy", "What Does Transformation Mean for the Indian Navy?' and "Strategic Guidance for Transformation"

(MOD India Press release).

Airborne Coverage Over Pakistan – Set to Increase

Pakistan’s acquisition of the Swedish Erieye, Saab 2000 AWACS in June 2006, despite wide spread opposition at home over the cost of the project, against the back drop of diversion of funds from Earth quake relief is likely to be supplemented by a deal with China for its indigenously built AWACS jet, Y 8. Chinese prototype was reportedly demonstrated to the Pakistanis at the Air Force Base in Chaklala during the month. A successful demonstration of this aircraft could possibly lead to Pakistani acquisition on very favorable terms from China, given the strategic nature of Sino Pakistan defense relationship. While this may enable Pakistan to increase the density of airborne surveillance platforms, the quality of coverage will be dependent on the ability to integrate two possibly divergent systems, the Erieye and the Y8 as well as the capability of the electronic surveillance and command and control systems likely to be deployed on these platforms. Coming close on the signing of the Sino Pakistan Defense Pact by Chairman of Pakistan’s Joint Chiefs of Staff Committee, General Ehsanul Haq and Lt Gen Zhang Qin Sheng, Assistant to the Chief of the General Staff of the People’s Republic Army, this denotes strengthening Sino Pakistani defense links. The Pact between China and Pakistan includes strategic defense cooperation and military assistance agreement. This was the culmination of the fourth round of defense and security talks which included cooperation in the field of defense and military assistance.

(Indian Express. 25 August 2006).

Offsets for Defense Public Sector Undertakings (PSUs)

The efforts by the Defense Minister, Mr. Pranab Mukherjee to involve the private and public sector in defense production, continued apace. With the Indian Government policy of 30 percent offsets of the amount for any procurement over Rs 300 Crore or more, the total offset could be as much as $10 billion dollars, almost half of the year’s budget of the Indian Armed Forces. (UNI Report). The 30 percent offset is a very modest target, other countries have even higher offsets of 100 to 150 percent, but reaching this modest target appears to be difficult at present due to inherent infirmities of the Indian manufacturing sector. Thus the policy may not fructify in the manner that is desired by the government as the PSUs as well as private companies have very limited technology as well as infra structure to profit from the defense sector. Hindustan Aeronautics Limited (HAL) is the only company which has made some headway in securing orders from foreign companies as Boeing. Only two private sector companies, TATAs and Larsen and Toubro both manufacturing majors in India are attempting to enter the strategic defense sector, their capabilities at present are also limited. Apart from technology the managerial expertise is also not available in the country for undertaking even the off set work which relates to essentially manufacturing spares and minor assemblies with low technology for aircraft, ships and submarines.

Another facet which is not recognized is that the DRDO is a research and development organization and not a manufacturing agency and hence there is definitely a problem of conversion of scientific research into technology which can be fruitfully utilized for manufacturing. Private players are not willing to invest in research and development in defence sector as the cost outlays are very heavy and have a very long gestation period. These players could however consider technology tie ups with foreign companies for obtaining off set orders. While an Indian company could act as the principal manufacturer, it could benefit from the technology and managerial expertise available from the foreign parent. Such models will need to be evolved if the companies want to profit from the lucrative contracts on offer in the defense sector and the Government’s vision for indigenizing defense production to the extent possible fructifies.

Development of Stealth Technology by Indian Navy

The Indian Navy has established an instrumentation radar centre as part of the Naval Science and Technological Laboratory (NSTL) in Dolphin hills, Visakhapatnam , Andhra Pradesh. The centre is said to be an advanced facility which will measure the radar signature of ships and will assist the NSTL to study the various aspects of stealth design of ships and reduce the radar signatures. This will considerably enhance the Indian programme for development of stealth ships as collaboration between the NSTL and the Mumbai based Naval Material Research Laboratory (NSTL) is under way. (The Hindu, 28 July)

Missile Defence

Missile Defense is the key to future security of nations, as a large number of states are acquiring missiles with ever increasing ranges. Non State actors as the Hezbollah in Lebanon have also built up considerable stocks of missiles. The United States is the most vulnerable; to external attack by missiles the only other threat to American mainland being from terror strikes as 9/11 which killed over 2000 people in the heart of United States , New York City . The United States Strategic Defense Initiative which was launched during the Presidency of Ronald Reagan but faced budgetary cuts as it was seen to be cost prohibitive has now received a fillip with the threat from missiles increasing constantly and particularly from rogue regimes as North Korea which has recently fired missiles as a demonstration of its capabilities in this sphere. NATO too is said to be developing a theatre ballistic defence system expected to be deployed by 2010 which could intercept short and medium range ballistic missiles in the boost, mid course and final phases in addition to aircraft and unmanned aerial vehicles. Called as the active layered theatre ballistic missile defence system it will have a capability to counter aircraft, UAVS and other aerial threats.

The need is however wide spread with troops, strategic assets as well as populations requiring such protection. The prohibitive costs will see these developments taking place in a sequence, with the initial protection being provided to the most vulnerable areas, that is strategic missile and command and control assets, tactically vulnerable areas and finally to other lesser important areas based on a vulnerable point and area analysis and designating priority wise targets for missiles. The next counter strategy is thus envisaged to be counter missile strategy.

EADS a global leader in aerospace, defence and related services is slated to cooperate with the Indian Defence Avionics Research Establishment or DARE in the field of missile defence. The joint partnership is slated to develop a missile warning system based on the EADS sensor MILDS AN/AAR 60 which will be integrated into the existing Multi Sensor Warning System of the Indian Armed Forces and the system will be operational by 2007. MILDS AN/AAR – 60 is reported to be a system which is an advanced passive imaging sensor which can detect and track UV emissions of approaching missiles including the heat seeking Man Portable Air Defence Systems. It has a full coverage capability, low false alarm rate and maximum warning time for deployment of chaff and flares. It can also enable relief of pilot work load and safe return of crew and aircraft. It has been successfully deployed on a number of rotary and wide body aircraft.

Indo German Defence Cooperation ( 20 July 2006 )

The Minister of State for Defence Shri M Pallam Raju has said that upgradation of defence ties with Germany will be mutually beneficial to both India and Germany . Addressing the Indo-German Colloquium on ‘Responsibilities in the International Relations and Opportunities of the Bilateral Cooperation’ in Stuttgart, Germany, the Minister said that present defence cooperation between India and Germany is limited to availing of courses, staff talks and procurement of spares. He said India has interest in German EW systems, radars, electro-optic devices and recovery vehicles. Shri Raju said increased training cooperation between the two countries will serve to enhance interaction between the armed forces of both the countries. Indo-German defence cooperation has largely been dominated by equipment acquisition. As such, there is a need to move towards joint development ventures or technology transfers through which we can achieve long term self-reliance with respect to maintenance product support. The Minister was of the opinion that India has strong research and technological skills which when combined with superior German manufacturing capabilities can be a winning combination in this arena of defence cooperation.

The Minister of State for Defence said that despite substantial growth in overall trade between India and Germany , India ’s exports to Germany are currently at a low level as compared to other countries. Indian exports to Germany often face constraints due to denial of market access and high standards, regulations maintained by Germany as well as EU. He said these regulations take the form of non-tariff barriers and restrict trade between the two countries and therefore, there is an urgent need to resolve such issues first so that the existing potential could be exploited to its full extent through enhanced trade in goods, services, investment and other areas of economic cooperation.

The Minister said an important area of convergence between India and Germany in today’s globalizing world, is to jointly promote comprehensive reform of the United Nations system. Today’s political realities, including the unvarying support and participation in the UN and its programme by countries such as Germany and India must be reflected in a reformed UN, including an expanded Security Council, the Minister added.

The two-day Indo-German Colloquium was organized by Konrad Adenauer foundation. Shri Raju is currently on a week long official visit to Germany . The Minister will also attend an Indian Film Festival at Stuttgart as the Guest of Honour. Germany has declared 2006 as the Indo German friendship year.

(MOD, India , Press Release)

Missile Defense – The Next Counter Strategy ( 15 July 2006 )

Missile Defense is the key to future security of nations, as a large number of states are acquiring missiles with ever increasing ranges. The United States is the most vulnerable, which will for the second time end the safety of the American continent from an external attack, the first time being by the 9/11 terror strikes which killed over 2000 people in the heart of United States, New York City. The united States Strategic Defense Initiative which was launched during the Presidency of Ronald Reagan but faced budgetary cuts as it was seen to be cost prohibitive has now received a fillip with the threat from missiles increasing constantly and particularly from rogue regimes as North Korea which has recently fired missiles as a demonstration of its capabilities in this sphere. NATO too is said to be developing such a capability and a theatre ballistic system is expected to be deployed by 2010 which could intercept short and medium range ballistic missiles in the boost, mid course and final phases in addition to aircraft and unmanned aerial vehicles. The need is however wide spread with troops, strategic assets as well as populations requiring such protection. The prohibitive costs will see these development taking place in a sequence, with the initial protection being provided to the most vulnerable areas, that is strategic missile and command and control assets, tactically vulnerable areas and finally to other lesser important areas based on a vulnerable point and area analysis and designating as priority wise targets for missiles. The next counter strategy is thus envisaged to be the counter missile strategy.

Private Participation in Defence Production

The Defence Minister, Mr Pranab Mukherjee spoke of increased participation by the private sector in defence. He said, “Once accredited as RURs, the industries would be treated at par with Defence PSUs and may be selected for receiving technology and undertaking license production with Transfer of Technology from overseas sources. This will encourage healthy competition within the domestic defence industry and pave the way for further development of defence industry in the country. Besides, this would also lead to expansion of our defence industrial base, enhance indigenous defence capability and ultimately contribute to the combat potential of Defence Forces”, he said Shri Mukherjee said the Government has considered the recommendations made by the Kelkar Committee and accepted most of them for implementation in order to synergize the efforts of various stakeholders, improving the prospects of indigenous production and utilizing the resources available both in the public and private sector with the objective to strengthen self-reliance in defence preparedness. He said that an Offset provision has already been incorporated in the Defence Procurement Procedures to give a fillip to our defence industry and hoped that the policy will open up new avenues for growth within the country in terms of industry participation, technology upgradation, employment and exports. The Offset policy makes it mandatory for the foreign companies to invest 30 % of the amount in India for any procurement valued at Rs 300 crores or more. (MOD Press Release).

Development of Concept of Private Participation in Defence

In a bid to encourage healthy competition, within the domestic defence industry and to expand the defence industrial base, the Government has set up a committee to select industries in the country to be known as Raksha Udyog Ratnas (RURs) or “Champions”. Speaking at a function held for presentation of Raksha Mantri’s Awards for Excellence, here today, the Defence Minister Shri Pranab Mukherjee said that the idea is to encourage industries, identified as RURs to contribute in defence production and enable them to assume the role of system integrators of large weapon systems and producers of platforms required by the Armed Forces.

“Once accredited as RURs, the industries would be treated at par with Defence PSUs and may be selected for receiving technology and undertaking license production with Transfer of Technology from overseas sources. This will encourage healthy competition within the domestic defence industry and pave the way for further development of defence industry in the country. Besides, this would also lead to expansion of our defence industrial base, enhance indigenous defence capability and ultimately contribute to the combat potential of Defence Forces”, he said Shri Mukherjee said the Government has considered the recommendations made by the Kelkar Committee and accepted most of them for implementation in order to synergize the efforts of various stakeholders, improving the prospects of indigenous production and utilizing the resources available both in the public and private sector with the objective to strengthen self-reliance in defence preparedness.

He said that an Offset provision has already been incorporated in the Defence Procurement Procedures to give a fillip to our defence industry and hoped that the policy will open up new avenues for growth within the country in terms of industry participation, technology upgradation, employment and exports. The Offset policy makes it mandatory for the foreign companies to invest 30 % of the amount in India for any procurement valued at Rs 300 crores or more.

Shri Mukherjee called upon the top managers to adjust and adapt to the changing environment due to globalization of the defence industry. “There is no denying the fact that India possesses a comparative advantage in many respects. With its experienced workforce, large pool of scientists, engineers, reasonable endowment of natural resources and a large domestic market, India has the potential to emerge as a major manufacturing hub for the global market. This is also absolutely true as far as defence industry sector is concerned”. He said, the new defence systems, be its submarines, multi-role aircraft or any missile systems, have become an amalgam of systems. Therefore, Shri Mukherjee said, there will always be more than one major player in the production of these large systems and this will require management solutions. He called upon the Captains of defence PSUs to carryout the required changes in their management structure to be able to follow a consortium approach in order to deliver the best results.

Shri Mukherjee gave away The Raksha Mantri’s Awards for Excellence for the year 2003-04. The Hindustan Aeronautics Limited bagged the maximum number of awards including Excellence in Performance, Best Performance in Exports, Import Substitution and Innovation. The Bharat Electronics Limited got the awards for Best Performing Division, Best Design Effort and for Designing and Developing Citizen Card. The function was attended among others by the Minister of State for Defence Production Shri Rao Inderjit Singh, the Minister of State for Defence Shri MM Pallam Raju and Secretary Defence Production Shri KP Singh. (MOD Press Release)