DPSU jv made easier
Source: Garden Reach Shipbuilders.
The Union Cabinet has made it easier for setting up joint ventures by the Defense Public Sector Units (DPSUs) by abolition older guidelines.
It has abolished “Guidelines for establishing Joint Venture Companies by Defence Public Sector Undertakings (DPSUs)” which were notified in February, 2012 for separate JV by the DPSUs.
The Guidelines issued by the Department of Public Enterprises (DPE) and Ministry of Finance (MoF) from time to time, which are uniformly applicable to all Central Public Sector Enterprises (CPSEs) will be applicable for the DPSUs to set up JV companies now. “This will meet the goal of indigenization/self-reliance in this sector, said a government statement.
The move will provide a level playing field between DPSUs and the private sector.
It will allow DPSUs to forge partnerships in an innovative manner enhancing self-reliance in defence and provide for enhanced accountability / autonomy of DPSUs in ensuring that the process of JV formation is effectively managed by them, so as to secure best outcomes in the interest of national security.
The latest decision will benefit all nine DPSUs — Mazagon Dock Limited, Goa Shipyard Limited, Garden Reach Shipbuilders & Engineers Limited, Hindustan Shipyard Limited, Bharat Electronics Limited, Hindustan Aeronautics Limited, Bharat Earth Movers Limited, Bharat Dynamics Limited and Mishra Dhatu Nigam Limited.
The decision supports indigenous manufacturing/Make in India initiative. fii-news.com
