New Delhi, Aug 28: The Ministry of Defence has introduced a series of reforms to simplify procedures for defence exports and make it easier for Indian manufacturers to access international markets. The reforms, undertaken by the Department of Defence Production under the guidance of Defence Minister Rajnath Singh, aim to reduce procedural requirements while ensuring that national security safeguards remain in place.
Under the revised Defence Export Standard Operating Procedure (SOP), stakeholder consultation will no longer be required for exports of non-lethal defence items to most destinations, except sensitive countries. The requirement has also been removed for exports of all items for international tenders and exhibitions, allowing Indian companies to pursue overseas opportunities more quickly.
The Ministry has also substantially revised the Open General Export Licence (OGEL) framework. The OGEL is a standing export authorisation that allows eligible companies to undertake multiple consignments of specified defence items without obtaining a separate licence for each shipment.
Three existing OGEL SOPs covering major platforms and equipment, parts and components, and intra-company transfer of technology have been merged into a single unified SOP. The validity of OGEL has also been increased from two to three years, reducing the need for frequent renewals.
The countries covered under OGEL have been expanded from 41 to all countries, barring specified sensitive or restricted nations and countries facing UN Security Council sanctions or arms embargoes.
A new provision will also facilitate Indian companies that have long-term contracts with foreign original equipment manufacturers. In eligible
cases, OGEL validity can be aligned with the duration of the underlying contract, subject to prescribed conditions.
The range of items eligible for OGEL has also been expanded. The revised framework permits civil-end-use exports of specified parts and components of small-calibre arms and protective equipment.
The government said the reforms would particularly benefit Indian defence manufacturers, including MSMEs, by reducing repetitive approvals and enabling them to respond faster to international tenders and exhibitions.
The government said the changes are aimed at further strengthening India’s position as a reliable and competitive global defence manufacturing and export partner, in line with the objectives of Make in India and Aatmanirbhar Bharat.
