New Delhi: The fourth tranche of finance minister Nirmala Sitharaman’s announcement contained major announcements for the defence, aviation and space explorations. Here’s how we compare the reforms measure Also Read - Will Your In-Hand Salary Increase This Month? Here is How to Calculate
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1. India’s airspace will be rationalised. So, flying time will actually become shorter as short-cut routes will now be explored. About 60 per cent of Indian air space is being used now. The government will work to put the rest of the 40 per cent to use. Also Read - RBI Press Meet Today: Repo Rate Reduced by 40 Basis Points, GDP Growth to Remain in Negative Territory, Moratorium Extended For 3 Months Again
2. This will bring a total benefit of Rs 1,000 crores per year to the aviation sector.
3. Airports Authority of India has awarded 3 airports out of 6 bid for operation & maintenance on Public-Private Partnership (PPP) basis. Basically, more airports are being privatised
4. India to become a global hub for Aircraft Maintenance, Repair and Overhaul (MRO). The tax regime for the MRO ecosystem has been rationalized. Aircraft component repairs and airframe maintenance to increase from Rs 800 crores to Rs 2000 crores in 3 years.
1. Foreign Direct Investment limit in defence manufacturing under automatic route is being raised from 49% to 74%
2. Not many weapons can be imported from now on. A list of weapons will be issued which can’t be imported. The list will be updated every year.
3. Ordnance factory boards will be corporatised. Mind you, as Sitharaman said, corporatisation is not privatisation. This will enhance accountability.
1. Indian private sector will be a co-traveller in India’s space sector journey. Will provide a level-playing field for private companies in satellites, launches & space-based services.
2. Private players will be able to use ISRO resources. Future projects for planetary exploration, outer space travel, etc. to be open for the private sector.
Coal and mining sector
500 mining blocks would be offered through an open and transparent auction process, a joint auction of Bauxite & Coal mineral blocks will be introduced to enhance Aluminum industry’s competitiveness. The government is withdrawing its monopoly from the coal mining sector.
Well, the winner is Make-in India.