New Delhi: In a bid to boost manufacturing of arms and ammunitions in the country, the Centre eased the Arms Rules on Monday. The move is expected to be a shot in the arm for 'Make in India' initiative of the government and is expected to have several other benefits and came into effect last week, according to an official statement.
Following are some of the key highlights:
* No requirement of renewing license every five years for manufacturing of arms. The licence will now be valid for life-time of the licensee company.
* A one-time license fee has been introduced and has been reduced significantly
* Manufacturers can now increase production capacity by up to 15 per cent without any prior permission.
* Blanket permission for manufacturers to supply arms to state or central government without seeking prior approval from the Union Home Ministry.
* The new rules will apply to those who have been granted licences by the Union home ministry for manufacturing small arms and ammunition. It will also be applicable to those manufacturers who have been granted permission by the Department of Industrial Policy and Promotion (DIPP) for tanks and other armoured fighting vehicles, defence aircraft, space crafts, warships of all kinds, arms and ammunition and allied items of defence equipment.
The move, which is aimed at encouraging investment in the manufacturing of arms, ammunition and weapon systems in the country, is also expected to generate more employment in this field.
(With agency inputs)
