NEW DELHI: Asking defence sector PSUs to "work harder", Defence Minister A K Antony today said they will have to compete with global firms to get orders from the services.
"The DPSUs need to compete not just with private organisations, but also with global companies, to get orders," he said while addressing a meeting of the Consultative Committee on Defence.
"If the DPSUs want to be truly competitive, they must enhance productivity, reduce costs, increase product quality and align production processes to meet the increasing demands of the defence forces... The emphasis must be on working harder and more importantly, in the right direction," he said.
In the recent past, Antony has been asking the DPSUs to get more competitive to take on the challenge from the private sector and the global industry to bag defence projects.
Referring to the Defence Procurement Procedure amended recently, he said it has undergone a sea change and has been revised with a view to bring about further improvements in the procurement process and to strengthen defence manufacturing infrastructure within the country.
"The only way forward in the current environment is to meet the increasing defence requirements through indigenous products. The is gradually reducing the quantum of orders with the DPSUs through nomination," he said.
"The ministry places great emphasis on transparency and probity, not only in procurement, but in every aspect of the working of organisations under it. The DPSUs are no exception," Antony said.
The MPs expressed their appreciation for the outstanding service rendered by the armed forces in flood ravaged Uttarakhand. MPs present in the meeting included Naveen Jindal, Shivanand Tiwari, Janardhan Waghmare, Piyush Goyal, Murli Deora, D P Tripathi, Mahendra Prasad and H K Dua.