What steps are being taken by the Indian government to ensure technology transfer in the jet engine deal

Explore the details of the jet engine deal in India and how technology transfer is being ensured.
  • The Indian government has signed agreements with original equipment manufacturers (OEMs) like Rolls-Royce and General Electric (GE) to transfer technology related to jet engine manufacturing.
  • Under the agreements, the OEMs have agreed to establish maintenance, repair, and overhaul (MRO) facilities in India, which will support the indigenous manufacturing of jet engines.
  • An 'offset clause' has been included in the contracts, which requires the OEMs to invest a certain percentage of the contract value in India's defense and aerospace sectors.
  • Through the offset clause, the OEMs are encouraged to collaborate with Indian companies and transfer technology through joint ventures or collaborations.
  • The government has also established a policy framework called 'Make in India' to promote indigenous manufacturing of defense equipment, including jet engines.
  • By ensuring technology transfer, the Indian government aims to build domestic capabilities in jet engine manufacturing and reduce dependence on imports, thus enhancing self-reliance in defense production.
Overall, the Indian government is taking comprehensive steps such as signing agreements, including offset clauses, and promoting indigenous manufacturing to ensure technology transfer in the jet engine deal.
Answered 2 years ago
Amrita Aspirants