Defence Testing Infrastructure Scheme

• The Ministry of Defence (MoD) has launched Defence Testing Infrastructure Scheme (DTIS) to boost domestic defence & aerospace manufacturing.
• This scheme aims to provide a focused, structured and significant thrust to indigenous defence manufacturing by providing state of art testing facilities available to the defence design and production industry in the country.
• The DTIS was launched in May 2020 by the Ministry of Defence.

Key points:

• It has been started with an outlay of Rs 400 crore for creating state-of-the-art testing infrastructure in partnership with the private industry.
• 6-8 Greenfield Defence Testing Infrastructure facilities will be set up that is required for defence and aerospace-related production.
• The equipment/systems tested will be certified as per appropriate accreditation.

Funding:

• The projects under the scheme will be provided with up to 75 per cent Government funding in the form of ‘Grant-in-Aid’.
• The remaining 25% of the project cost will have to be borne by the Special Purpose Vehicle (SPV) whose constituents will be Indian private entities and State Governments.
• The funds will be kept in a separate Escrow Account of the Implementation Agency.
• Department of Defence Production/Directorate General of Quality Assurance (DDP/DGQA) has published eight Expression of Interest (EOIs) catering to setting up of defence test facilities in selected domains.

Eligible agencies:

• Only private entities registered in India and State Government agencies will qualify for forming the implementation agency for the Scheme.
• The SPVs under the Scheme will be registered under the Companies Act 2013.

• Duration:

• The scheme would run for the duration of five years.

Location:

• The majority of test facilities are expected to be set up in the two Defence Industrial Corridors (i.e in UP and Tamilnadu), but the Scheme is not limited to setting up Test Facilities in the DICs only.

Advantages:

• help to provide easy access and to meet the testing needs of the domestic defence industry.
• special focus on the participation of MSMEs and Start-Ups by bridging gaps in defence testing infrastructure in the country.
• facilitate indigenous defence production, consequently, reduce imports of military equipment
• help make the country self-reliant.