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Svipja's Offset Practice

Our Offset Practice helps high-tech Defence and Aerospace Industry in offset projects. www.svipja.com/ refers.

We also empanel Offset Consultants with Industry knowledge in A & D. You could fill Your 'Resume' on http://www.svipja.com/careers.php , or 'Join as a Consultant' on www.indiandefenceindustry.com/

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Steps in Our Offset Process

Step 1: Acquaint Yourself first on Offset business. Please visit www.IndianDefenceIndustry.com , its connected Blogs and www.svipja.com in addition to other subject matter elsewhere. Offset Partnership and projects go thru rigorous 'Due Diligence' / 'Gate Reviews' by Vendors / Obligors.

Step 2: Register online on www.IndianDefenceIndustry.com using Internet Explorer to be part of the database of the Defence Industry. We are developing a consortium of MSMEs globally with India focus for them to participate in Aerospace and Defence direct and indirect Offset Projects.

Step 3: Obtain Industrial License, if required.We take Advisory on Products / Services to target, Capacity Creation, JV and Capital tructure incl FDI & Technology Agreements, etc.

Step 4: Become Industrial Sector Partner (ISP) of Svipja / India. We will guide the ISP firms go through qualified vendor registration process for Supply Chains of aerospace & defence firms.

Some of these steps could be attempted concurrently.

Commercials

1. Yearly Membership Fee for Registering on the Site and using e-Marketplace Engine for Buying/Selling, and accessing Info System, is as indicated in Tariffs on the Site. Fee is variable.

2. Separate Fee for Offset Consulting / Industrial Co-operation would apply. Contact svipja@gmail.com for further details.

3. Addl Fee will apply in case of market research, study and other services.

Conditions

1. Svipja provides guidance to the Indian ISP on project suitability and document/plan preparation for the Gate Review Process, and it's Presentation as required.

2. Svipja does not take responsibility for offset fund allotment to ISPs. This is decided by A &D Major Company based on the capability of the ISP to meet the needs of the A & D Major.

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Saturday, May 26, 2012

Pilatus Trainer from Swiss for the IAF with Offsets


The IAF will acquire basic trainer,75 Pilatus Planes, starting later this year for Rs 2,800 Crore from a Swiss company. The aircraft will replace its fleet of HPT-32 basic trainer aircraft.

Delivery of the aircraft and the complete training system is scheduled to commence in fourth quarter this year, as per media reports. The ac would be procured together with its integrated ground based training system and a comprehensive logistics support package.

The Pilatus will also do 30 % offsets of the cost of the deal. ToT will also be done to HAL.

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Tuesday, May 15, 2012

Defence Offset Contracts Till Now (15 May 2012)


Defence Minister informed the Indian Parliament in writing on 14 May 2012 that 17 contracts worth 4.27 b USD were signed as defence offsets. Out of this, 3.43 b USD were for IAF- related projects and 843 m USD for Naval projects. Nothing for the Army; may be some would come in the coming months. 

The budge about the defence offsets in India is right, but unfortunately most of it, for the time being, is for Govt. Units, Large Private Sector Units and DRDO /Other High-End R & D  with almost none for micro and small enterprises. SMEs are likely to figure towards the tail-end unless Obligors prefer them. Offsets-Cash/Kind-given to large units are slated to yield low returns for the Indian Defence Industry for various reasons.

ToT-Quality & Depth, Valuation for grant of Offset Credits, Strict Implementation, Inclusive Distribution of Offsets, Plugging Leakages, ETC, should be some of the major concerns of the Govt. and Industry.
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