News behind the News – 08 July 2019

defenceandspacediary

8 News the Newsbehind JULY 08, 2019

IN

THIS

SECTION

8 DEFENCE BUDGET ALLOCATION FOR FY20 AT 3.19 TRILLION RUPEES

8 ARMY : RS 200 CRORE ANTI-TANK MISSILE DEAL WITH RUSSIA

9 NAVY : MEGA DEALS FOR HELICOPTERS, SUBMARINES

10 INDIA SHOULD ACT AS GUARANTOR OF PEACE AND STABILITY IN INDIAN OCEAN REGION: ABDULLA

SHAMAAL

10 AIR FORCE : RAFALE FIGHTERS COMING IN SEPTEMBER

11 DEFENCE PRODUCTION : DEFENCE PRODUCTION UNDER MAKE IN INDIA

13 COMMENT : UNDERSTANDING CLIMATE CHANGE AS A NATIONAL SECURITY CONCERN

Union Budget for the fi nancial year
2019-20, presented by the Finance
Minister Nirmala Sitharaman in the
Parliament July 5, envisaged a total outlay
of Rs 27,86,349 crore. Out of this Rs
3,18,931.22 crore has been earmarked
for Defence (excluding Defence Pension).
For Defence Pension, an amount of Rs
1,12,079.57 crore has been provided
in Budget Estimate 2019-20. Total
Defence Allocation (Rs 4,31,010.
crore), including Defence Pension,
accounts for 15.47 per cent of the total
Central Government expenditure for the
Financial Year 2019-20.

Th e allocation of Rs 3,18,931.22 crore
represents a growth of 7.93 per cent over
Budget Estimates (2,95,511.41 crore)
and 6.87 per cent over Revised Estimates
(Rs 2,98,418.72 crore), respectively for
the Financial Year 2018-19.

Out of Rs 3,18,931.22 crore
allocated for the Financial Year 2019-
20, Rs 2,10,682.42 crore for Revenue
(Net) expenditure and Rs 1,08,248.
crore for Capital expenditure for the
Defence Services and the Organisations/
Departments under Ministry of Defence.
Th e amount of Rs 1,08,248.80 crore
allocated for Capital expenditure,
includes modernisation related
expenditure. Th e Capital Allocation of
Ministry of Defence under BE 2019-
is 31.97 per cent of the total Central
Government Capital Expenditure, which
is Rs 3,38,569 crore.

DEFENCE BUDGET

ALLOCATION FOR FY20 AT

3.19 TRILLION RUPEES

defenceandspacediary

In a signifi cant development, import

of Defence Equipment not manufactured

in India has been exempted from Basic

Customs Duty. Th is will have an impact

of augmenting the Defence Budget

by approximately Rs 25,000 crore on

account of savings in expenditure on

Customs Duty over the next fi ve years.

ARMY

RS 200 CRORE ANTI-TANK

MISSILE DEAL WITH RUSSIA

India has signed a deal to acquire

‘Strum Ataka’ anti-tank missile from

Russia for its fleet of Mi-35 attack

choppers. Th e deal for the missiles is

worth around Rs 200 crore and would

give an added capability to the Mi-

attack choppers to take out enemy tanks

and other armoured elements.

Th e Mi-35s are the existing attack

choppers of the Indian Air Force and

are set to be replaced with the Apache

gunships being acquired from the US and

slated to be delivered from next month

onwards.

India has been trying to acquire the

Russian missiles for a long time but the

deal has been signed under the emergency

provisions after more than a decade.

Th e Indian Air Force has emerged

as the frontrunner in terms of weapon

acquisition under the emergency

procurement, followed by the Indian

Army.