Skip to main content

Offset Policy and Its Impact on Aerospace Industry in India

  • Conference paper
  • First Online:
Book cover EAI International Conference on Technology, Innovation, Entrepreneurship and Education (TIE 2017)

Abstract

Offset policy has been one of the policy instruments adopted by the Government of India (GoI) in order to promote local manufacture. Offset policy is believed to promote indigenous manufacture of high end products and to facilitate creation of jobs. This paper probes the impact of offset policy on the Indian aerospace industry in the backdrop of extant literature. It draws parallels with similar policies in many other countries and provides useful perspectives about the efficacy and future scope of the policy.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 129.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD 169.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  1. M.W. Chinworth, R. Matthews, Defense industrialisation through offsets: The case of Japan, in The Economics of Offsets: Defence Procurement and Countertrade, (Harwood Academic Publishers, Amsterdam, 2014), p. 177

    Google Scholar 

  2. J. Niosi, J.Y. Zhao, China’s catching up in aerospace. Int. J. Technol. Glob. 7(1–2), 80–91 (2013)

    Article  Google Scholar 

  3. P. Bamber, G. Gereffi, Costa Rica in the Aerospace Global Value Chain (Duke, Durham, 2013)

    Google Scholar 

  4. O. Herrnstadt, Offsets and the Lack of a Comprehensive US Policy. EPI Briefing Paper 201 (EPI, Washington, DC, 2008)

    Google Scholar 

  5. D.L. Furter, The Influence of Legislation and Government Policy on Patterns of International Defence Trade and Future Markets: The Case of Offset and Directive 2009/81/EC (Brunel University, London, 2014)

    Google Scholar 

  6. C. Yang, C. Tsung-Cheng Wang, T.A. Force, Interactive decision-making for the international arms trade: The offset life cycle model. DISAM J. Int. Secur. Assist. Manag. 28(3), 101–109 (2006)

    Google Scholar 

  7. S. Willett, I. Anthony, Countertrade and Offsets Policies and Practices in the Arms Trade (Copenhagen Peace Research Institute, Copenhagen, 1998)

    Google Scholar 

  8. L. Kumar Behera, India’s defence offset policy. Strateg. Anal. 33(2), 242–253 (2009)

    Article  Google Scholar 

  9. B. Udis, K.E. Maskus, Offsets as industrial policy: Lessons from aerospace. Def. Peace Econ. 2(2), 151–164 (1991)

    Article  Google Scholar 

  10. T. Mathew, Essential elements of India’s defence offset policy-a critique. J. Def. Stud. 3(1), 2 (2009)

    Google Scholar 

  11. Government of India, Defence Procurement Procedures 2016, Capitol Procurement (DPP 2016, Government of India, Ministry of Defence, New Delhi, 2016)

    Google Scholar 

  12. Standing Committee on Defence, Demands for Grants (2016–17), Twenty Second Report (Lok Sabha Secretariat, New Delhi, May 2016), pp. 36–28

    Google Scholar 

  13. J. Brauer, J. Paul Dunne, Arms trade offsets and development. Africanus 35(1), 14–24 (2005)

    Google Scholar 

  14. L.J. Dumas, Do offsets mitigate or magnify the military burden? in Arms Trade and Economic Development: Theory, Policy and Cases in Arms Trade Offsets, (Routledge, London, 2004), pp. 16–29

    Chapter  Google Scholar 

  15. P.W. Liesch, Government-mandated countertrade in Australia: Some international marketing implications. Ind. Mark. Manag. 23(4), 299–305 (1994)

    Article  Google Scholar 

  16. J.E. da Silva-Menezes, The Brazilian Aerospace Industry: A Cast Study of the Technological Impact of Offset Agreements in a Recipient Industry (Naval Postgraduate School, Monterey, CA, 1989)

    Google Scholar 

  17. D.C. Mowery, Offsets in commercial and military aerospace: An overview, in Symposium Papers on Trends and Challenges in Aerospace Offsets, (National Academies Press, Washington, DC, 1999)

    Google Scholar 

  18. National Research Council, Trends and Challenges in Aerospace Offsets (National Academies Press, Washington, DC, 1999)

    Google Scholar 

  19. J.H.L. Guerra, Systems integration model in the aerospace industry: Motivating factors. Gestão&Produção 18(2), 251–264 (2011)

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to N. Sharath Chandra .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2019 Springer Nature Switzerland AG

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Sharath Chandra, N., Shekar, G.L., Raghavendra, N.V. (2019). Offset Policy and Its Impact on Aerospace Industry in India. In: Reyes-Munoz, A., Zheng, P., Crawford, D., Callaghan, V. (eds) EAI International Conference on Technology, Innovation, Entrepreneurship and Education. TIE 2017. Lecture Notes in Electrical Engineering, vol 532. Springer, Cham. https://doi.org/10.1007/978-3-030-02242-6_18

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-02242-6_18

  • Published:

  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-030-02241-9

  • Online ISBN: 978-3-030-02242-6

  • eBook Packages: EngineeringEngineering (R0)

Publish with us

Policies and ethics