Question : FUND FOR DEFENCE PRODUCTION



(a) whether the Government has taken any decision regarding creation of a Fund to be used by Small and Medium Enterprises to carry out design and development work in the production of defence equipment as recommended by Kelkar Committee;

(b) if so, the details thereof;

(c) the time by which it is likely to be created; and

(d) if not, the reasons for the delay?

Answer given by the minister


MINISTER OF DEFENCE (SHRI PRANAB MUKHERJEE)

(a) & (b): The Government has accepted the recommendation of the Kelkar Committee for providing assistance to Small and Medium Enterprises to carry out design and development work for defence production by evolving a scheme for the purpose and making adequate provision in the Budget.

(c) The scheme is expected to be operational shortly.

(d) Does not arise.