LOK SABHA ___

SYNOPSIS OF DEBATES (Proceedings other than Questions & Answers) ______

Friday, March 17, 2017/ Phalguna 26, 1938 (Saka) ______

UNION BUDGET- 2017-2018

DEMANDS FOR GRANTS - 2017-2018

Ministry of Defence - Contd.

SHRI JYOTIRADITYA M. SCINDIA: The citizens of our country are able to sleep peacefully because our soldiers are vigilant on border areas and ready to lay their lives in the security of the country. But this government has been found to be in deep slumber whenever the concerns of the soldiers of our armed forces are raised. Being a responsible Opposition it stands to be our responsibility to put the government on alert and to find fault with it so that the unity, integrity and security of the country cannot be jeopardised . We need to provide new weapons and to bring about modernization with the help of technology in order to shore up our military. But it is a matter of surprise that the capital expenditure, on the basis of which the future of armed forces is defined, has been pegged merely at

Rs.86000 crore. Had you given three per cent of the GDP as capital expenditure, the Armed Forces would have got Rs.3 lakh crore enabling them to meet the shortage of arms and ammunitions. 90 per cent of Rs. 86000 crore will be defrayed only to meet the contracted liabilities which stands to mean that we will have only 10 per cent. Now, the House would like to know if Rs.10000 crore is enough for the modernization of the Army, the Navy and Air Force. Today, what to speak of the fire retardant tents, we don't have even storage facilities for fuel security in the forward bases. Fencing and peripheral boundary wall have not yet been constructed around our forward base army camps. Has the life of our armed forces now become so cheap. As regards equipments, we needed 3.5 lakh bullet proof jackets but we have been able to provide only 50000 during three years. Our snipers don't have modern sight. We should have war wastage reserve at least for

40 days but we have only for 10 days. The second largest army of the world is undergoing a pitiable condition. Despite the fact that, we are running short of 2 lakh assault rifles, 1.5 lakh carbines, 16000 guns, 3.5 thousand sniper rifles, the expenditure are being cut down day by day. The corpus of fund for modernization has been reduced by 6.5 per cent from Rs.21535 crore to Rs.20148 crore. The condition of air force is more pitiable. We need 42 Squadrons for the defence of our country but we have only 33 squadrons according to the Standing Committee on Defence. The UPA Government had struck a deal for 126 Rafael Fighter aircrafts but the present government has reduced the same to 36 aircrafts.

Moreover, the price of a fighter aircrafts was decided Rs.715 crore during the UPA regime but the same has been increased to Rs.1615 crore by this Government.

Coming to the Navy, we will be in need of 212 warships by the year 2017. Today we have the capacity of 138 warships whereas 458 aircrafts are required. Our scientists are working on the development of the advanced version of Tejas and

Arjun tanks. But much more is required to be done in the field of research and at the same time more budgetary provisions are required to be made for the DRDO and PSUs. I would like to make a request to the hon. Finance Minister who is the incharge of Defence also that a proposal sent under lapsable fund by the defence ministry should be approved. It will send a message to the soldiers that the modernization of the armed forces cannot be compromised.

THE MINISTER OF FINANCE, MINISTER OF CORPORATE

AFFAIRS AND MINISTER OF DEFENCE (SHRI ARUN JAITLEY) intervening said: Security of the country, the preparedness of the armed forces of the country and the preparedness of the country for security - these are not political matters. These are not such matters that may prompt political parties to involve in criticism or counter-criticism. Even today, our armed forces are the largest one in the world. No one amongst us might remember any such example that our armed forces have ever failed to perform their designated duties whenever a crisis has loomed large over our country. There has been insurgency in different areas of the country and our soldiers have to play their role in these areas also. At the same time, natural calamities take place and sometimes all the internal machinery fails to deliver but different sorts of armed forces go there and discharge their duties.

The terrorists infiltrate into our country from across the border and attack our soldiers or our para-military forces or innocent citizens - such incidents have been taking place for years. Our Defence forces have been performing their duties commendably to safeguard the borders of our country over the years. So, it would be better to develop a bipartisan approach towards the issues related to the security of the nation. In this regard I would like to submit few points about the whole economic system of our country. We have been making endeavours to provide more resources for the security of the nation. Whatever resources are provided for the security of the country, a major portion is spent on the salaries of soldiers and the pensions of ex-army men. With regard to the resources, I would like to say that whatever resources are available with the government and the country, one of the major and first priority is always the security of the nation. Therefore, whenever we take political positions on those issues we must realise that the size of the entire revenue has to increase. It is only then that the portion, which will be available for the national security will also increase. Ultimately, in each measure which we are taking, in some of which we are altogether and in some of which we may have different points of view, the intention of the government is to increase that base.

Similarly, the choice is not between defence expenditure and skill development, India will need both. I would say that our effort whether through various measures that we have been taking in order to check black money, evasion, increase the tax base, GST, etc., ultimately a more resourceful State will always be able to spend more on its primary responsibility for the security of the country and that is one of our primary expenditures. Our defence forces are fully prepared and ready to face any challenge. In the last two years, 2014-15 to 2016-17 and till date , 147 contracts have been concluded of a total value of 200957.66 crore rupees. The equipment such as rockets, radars artillery guns, helicopters, aircrafts, missiles will be supply under these contracts which will meet the critical requirement of the

Indian Armed Forces. Additionally, there is a large number of increased capability in many other areas. As far as Make in India is concerned, the objective behind Make in India, of which FDI is one of the components the objective was to start manufacturing indigenously through joint ventures initially instead of importing from other countries. In this regard 134 capital procurement cases have been approved of which 100 proposals worth 251000 crore rupees are of Buy and

Make in India category whereas 34 proposals worth 19000 crore rupees are of Buy

Global Category. Now, private parties have also been roped in after opening out of

FDI policy by our government. In the Defence Procurement Policy 2016, time schedule has also been compressed. Our government has implemented OROP on

7th November, 2015. Two installments of total 4 installments due have been paid and now we are going to make third installment. Anomalies arising due to 7th Pay

Commission have been referred to a committee and that Committee is in advance stage and necessary action would be taken by it in this regard. I would like to submit that there is a well established process of procurement on which preparedness depends. That system is doing its job and we are trying to expedite it. There is no question of any compromise with any critical requirement of our armed forces.

SHRIMATI MEENAKASHI LEKHI: On behalf of the government, statements have been made on various issues but still I feel that I may give reply to certain points. One of the hon. Member has made mention about the Coco Island which was given to Burma by the then Government in 1950 which has been now leased out to China by Burma which is posing threat to the safety of our country.

Similarly, PoK region was also illegally occupied during the earlier government.

We all are aware that Kabuvalley of Manipur, Berubali of West Bengal were given to other countries during the period of earlier governments. Similarly, Kacchativu

Island was given to Srilanka by the then Congress Government. In 1997, 95000 soldiers were released without going into any permanent resolution or any treaty.

Hajipeer, Runn of Kutch, Tilhat Post, engagement of Indian Army with LTTE, and transfer of Teen Bigha to Bangladesh in 1993 are some of the instances when safety of India had been played with. Government has provided 395584 crore rupees as a defence budget of which almost 50 per cent amount would spent on account of pension and salary of defence forces. Defence budget of our country is more than 2 per cent of the GDP. I would like to request that it should be increased upto 3 per cent. Through you I would like to submit that there is a need to manage the safety and security of our country so as to give impetus to the economy of our country. Our Government has done away with the scams related to defence deals. Since last 70 years nothing significant has been done with regard to defence procurement policy. Today, for the first time our government has taken initiatives with regard to the security and defence procurement policy. Strategic partnership government approval policy is one of the best policies of the Union

Government and steps are being taken according to this policy only. Similarly, I would like to request to take initiative in the area of manpower reduction also. This

Government has put a stop to defence procurement scams. This Government has for the first time worked on security and defence procurement policy. Although the Budget has increased by only 6 per cent the morale of the army has jumped 600 per cent. The army has full permission to take on the spot decisions. Defence land should be audited. This is a huge resource for India which can be used to eradicate poverty and to provide resources to the army. There is a need to take decisions regarding various innovative techniques available with DRDO. The need is to become exporter from importer. There is also a need to establish defence economic zone. We all know very well that the benefits of non functional upgradation went to the civil servant lobby. Army, Air Force and Navy face stagnation. With the doing away of non-functional upgradation large number of persons would benefit.

DR. K. GOPAL: The bigger question that faces the defence community is whether the latest allocation is adequate to meet the security needs of the country.

The allocation on defence spending increased by just 6 % might hurt the military's modernisation plans. With a share of 1.56 per cent of the estimated GDP of 2017-

18, the defence budget is the lowest price since 1956-57. From basic gear such as bullet-proof vests and assault rifles to hi tech platforms such as warplanes and next generation submarines, many of India's defence modernisation programmes are on a slow track for want of money. Bulk of the Army's budget goes into meeting the pay and allowances of the personnel. Among the three forces, Air force is the only service whose modernisation budget has increased. The decline in the modernisation budget is a source of great concern. The Army accounts for over 50 per cent of total unspent funds and has become a recurring feature. Steady modernisation is a prerequisite for building up a strong military capability. Unlike in the previous budget, the Union Budget has not provided any specific incentives to push the Make in India initiative in the defence sector. There is a need to augment resources substantially, particularly under two critical heads of the defence budget - stores and capital procurement. Increase of incentives and compensation for soldiers who sacrifice their life fighting our enemies in hostile weather is a must. The frequent attacks and killings of Indian fishermen by Sri

Lankan Navy has to be treated as an unfriendly aggression.

SHRIMATI SUPRIYA SULE: In 2016, there were instances of negligence near the ordnance factories which led to explosions. Toward off such accidents, the government must invest in defence ordnance facilities and improve their conditions. As India needs to upgrade its defence technologies to the level of developed countries and focus on modernizing the defence equipment, it is necessary for the Centre to increase the Research and Development expenditure.

At the present the defence sector faces shortage of arms and ammunition for 50% of the stocks. The CAG report in 2015 also noted that Special Forces Battalion of

Indian Army is functioning without any combat free fall (CFF) parachutes, for past decade. Army Aviation Corps in afflicted with 32% shortage of helicopters. With much of the fleet of Indian Air Force being obsolete, the Government must augment the rate of replacement of the fleet and focus on modernizing the defence services. Standing Committee has recommended some measures to improve the overall efficiency of the Defence sector spending. Standing Committee of Defence in 2015-16 also pointed out the issues related to defence training academies in

India. The committee noted that of the total defence training academies in India. The Committee noted that of the total sanctioned strength of 13,839 for Coast

Guard, only 10,646 positions are filled and more than 3600 posts are lying vacant.

One of the main reasons cited by the Coast Guard in the limited infrastructure at the Indian Naval Academy and other training establishments of the Navy. The

Government must take note to this and establish exclusive training academy for

Coast Guard. At present the Sainik School do not admit girls. The Committee recommended that NDA must augment infrastructure to admit girl cadets.

Subsequently, the Government must also initiate admitting girls to Sainik Schools, by building hostel and boarding facilities here. Since the expenditure involved in establishing and maintaining the Sainik School is only a small part of the defence budget, the Committee also recommended them to be funded completely by the

Central Government. I would also like to bring to the attention of the House the delays in the pensions entitled to war-widows. The Government must take measures to ease the release of funds to widows. I also request the Government to release funds to disburse the pending bills and provide medical services to ex- servicemen.

SHRI SHRIRANG APPA BARNE: It is distressing that on the one hand,

Indian armed forces face acute shortage of arms and ammunition, it has been underutilizing the Defence Budget for a pretty long time. India is lagging behind in procuring and upgrading arms and ammunition. The Government must think over it seriously. India needs to allocate 3 per cent of its GDP for Defence Budget for next one decade. Presently the figure is merely 2.5%. The procurement process of defence arms suffers from red-tapism which must be done away with.

SHRI B. VINOD KUMAR: This year's allocation for defence is the lowest allocation. The government should explain this anomaly, and the reason behind the decreasing share, given the dire need for modernization of defence equipment. This year, salaries and pension of the defence services form the largest portion of the defence budget 50% of the budget. This is followed by capital outlay (24% or Rs.

86,488 crore) i.e. expenditure on defence equipment, weaponry, aircrafts, naval ships, land etc. The under spending on capital outlay, is a worrying trend. There is shortfall in number of bulletproof jackets, vehicles, small arms, infantry specialist weapons, surveillance equipment, communication equipment, radars and power generators. This may have serious implications for border security and defence preparedness. In this context, I opine that it is essential to have a revenue capital ratio in favour of the capital segment to ensure all the services are in a way-ready mode.

SHRIMATI ANJU BALA : The Demands for Grants of the Ministry of

Defence for the year 2017-18 is Rs 2,62,390 crore which is higher than that of previous year 2016-17. Our defence forces successfully carried out a surgical strike at various launch pads located at the other side of LoC on 29 September 2016 to thwart the increasing incidents of cross border intrusion by terrorists. Our government has acceded 4 decade old demand of One Rank-One Pension of defence personnel and released Rs 6,200 crore in two installments which will benefit 19.60 lakh ex-service personnel. I urge to include micro, small and medium enterprises under Make In India programme envisaged by the Ministry of

Defence. We need to be more vigilant in matter of recruitment of defence personnel. I demand for setting up one Sainik School in my Parliamentary constituency, Mishrikh. More recruitment opportunities for women should be created in armed forces and they should be given opportunities equal to men in the

Territorial Army. NCC should be made compulsory in all schools and NCC cadets should be given priorities in recruitment. All the health facilities for retired personnel should be provided at district level and local Member of Parliament must be given representation in its monitoring process.

DR. RATNA DE (NAG) : Security of the country is of paramount importance. There are many defence establishments and undertakings across the country. There is a need to renovate and upgrade these establishment in order to ensure more production. I want to know the transparency that has had been brought about by the current government in clearing defence deals running into crores of rupees. There is no sync between Make in India and defence production, as we are the largest arms purchaser in the world. Pension expenses are ballooning and the

Government has to do something in this regard.

SHRIMATI DARSHANA VIKRAM JARDOSH: India is moving towards self-sufficiency in the field of defence since the incumbent government came to power. There has been an increase in the application of new technologies in the field of defence. This has been achieved by increasing the defence allocation by government. Intelligence agencies should be strengthened keeping in view the activities of the anti-national elements to destablise the country. It is important to check such activities in bordering areas in different states particularly Jammu and

Kashmir, Gujarat, Bihar, Uttaranchal. A very large part of Hazira in Surat is surrounded with largest industrial units in the country. A coastguard centre should be set up there.

DR. VIRENDRA KUMAR: A significant part of the defence allocation would be spent on the modernization of the army and also strengthening it, keeping in view the challenges of terrorism and the borders adjoining Pakistan and China.

New and successful initiatives have been taken to build strong defence partnership with a number of friendly countries to maintain international peace and stability.

Uninterrupted peace and stability in Asia Pacific region is in the strategic and economic interest of the country. Increasing level of defence alliance between

Pakistan and China could become a big defence threat for the country. India is also facing challenges alongside the coastline. So defence preparations should be strengthened. Increase in the defence allocation is laudable from this point of view.

SHRI MD. BADARUDDOZA KHAN: Indian position is 6th among the countries providing highest expenditure on Defence. But India's defence budget allocation is decreasing as a percentage of GDP. It is disheartening that after 70 years of Independence, our shipyard has a poor capacity of repair, refit and maintenance of Naval fleets. It is also remarkable that Government has declared

Make in India programme. In spite of that our country is one of the highest defence equipment importing countries till now. So, indigenization of defence procurement is very must essential now. It will also help us to generate a lot of employment.

SHRI RABINDRA KUMAR JENA: We successfully retaliated after the horrific Uri attack carried out by some extreme militant group from across the border by launching surgical strike. I commend the strategy, timing and valour of our forces who carried out that operation. The effectiveness of such retaliation in reducing the cross border tension. The borders with Pakistan have remained volatile even after the strike.

Therefore, the government along with the defence forces need to come up with a specific plan and the roadmap in dealing with this kind of events in future. I raise an important issue of national and border security. The defence intelligence in India is said to be robust, but unfortunately this had missed their purview. Therefore, I request the Minister to look into this and ensure no further defence intelligence lapses arise. According to the latest

Parliamentary Standing Committee report on Defence, the actual strength may be down to 25 squadrons. We must immediately look into this issue and over the next 3-4 years itself fill up all the requirements. It has recommended that India's defence budget should be about 3% of GDP to ensure adequate preparedness of the defence services. I urge the government to increase the defence budget as per the advised norms of 3% by various expert panels and committees and give a major impetus on capital expenditure. I would like to bring out the fact that expenditure on the defence services is typically lower than the requirements projected by the defence services. I can only hope that this situation has been reversed.

Though India's defence requirements are met through both imports and domestic sources, there is greater reliance on imports. In this age of "Make in India", it is surprising how our domestic defence manufacturers are not given a boost. I urge the government to look into this matter also in the times to come equip our domestic defence industry capable of producing top quality, state of the art arms and defence machinery. All these issues concern national security and therefore require detail introspection in diagnosing the loose ends. SHRI S. RAJENDRAN: Security of the country always come first.

National interest should be given priority over other issues. I think there are still some issues pending on One Rank One Pension. There is no need to prolong this issue. Due to the security and unrest on our borders and inside the country, we are forced to spend more on defence. We should not compete with anyone but at the same time we have to strengthen our defence. In my state, Tamil Nadu, there are few establishment of defence. These should be modernization. There is a need to improve the quality of food being served to personnel of CRPF and they should be treated with respect and dignity.

DR. MAMTAZ SANGHAMITA: In the Union Budget 2017-18 budget allotted to Ministry of Defence is only 6% which is inadequate as per recommendations of experts. In the purview of recent increase in terrorist attacks, military invasion from enemy neighbouring countries as well as global security turmoil, there may be a need of more budgetary allocation for strengthening and improvement of defence sector. 50% of the budgetary expenditure goes to salaries and pension but still it is beyond satisfaction of the military personnel. Shamefully

India is the highest importer of weapons. India must concentrate on replacement of old obsolete model to modern ones which will reduce the maintenance and repair costs. We must procure our own indigenous arms and defence instruments. To tighten the security as well as for betterment to navy and Air force we need to procure modern aircrafts, naval warship, submarines, as well as manpower etc. It needs more fund allotment.

SHRI A.T. NANA PATIL: Hon'ble Finance Minister has increased the defence budget allocation for Defence forces in a big way for which we would like to congratulate him. Government has made a substantial increase in the defence budget in comparison to previous years. 60 thousand crores have been provided for One Rank One Pension separately. There is a proposal of 10% increase in defence budget allocation for procurement of defence equipment, 86,488 crore rupees allocation has been made for defence capital. Allocation for procurement of

Rafel fighter aeroplanes, fighter helicopters has been increased. More than 10% increase in allocation has been given for defence budget. In this way it is clear that there would be no negligence in the safety and security of our border areas. As a whole it can be maintained that Defence is one amongst the areas for which more budget allocations has been made. Experts have agreed that during these years budget allocation has increased as per the requirements and demands of modernization of defence forces. Armed forces budget has been increased from

26,216 crore rupees to 30,885 crore rupees although the budget for navy and army has seen a slight decline. Which is a matter of concern. Although there has been an acceleration in the procurement of defence equipment after taking office by our government still that is comparatively a little low. For Army the need to procure new guns and assault rifles in place old bofors guns. Similarly need is felt for our navy to acquire state of the art submarines and aircraft carriers for a long time.

SHRI RAMESHWAR TELI: Hon'ble Finance Minister in his budget speech announced an allocation of Rs. 2,74,114 crores for defence, excluding pensions. The allocation of the huge sum will undoubtedly boost our defence system with more procurement of defence equipment. The increase in the defence budget will ensure enhanced safety and security of our nation. I thank the hon'ble

Finance Minister for increased allocation of funds for the Ministry of defence which will certainly go a long way in bringing our defence forces at par with the highly modernized defence forces in the world.

SHRI SUNIL KUMAR SINGH: Hon'ble Finance Minister has made a big increase in Budget allocation of Defence Forces for which I would like to congratulate him. For Defence Budget Procurement 10% increase in allocation has been made. Government has announced an allocation of additional 85,740 crore rupees for retired personnel so that soldiers and officers can get computerized reservation of tickets online. In such a system they would not require to stand in queue and get railway warrant. For defence pensioners web based system would start. This is second consecutive year that Government has increased defence budget by 10 per cent. It can be maintained that the heads where maximum allocations have been made, include defence sector. There is a need for modernization of navy and Army. There is a need for procurement of assault rifles and new guns in place of old bofors guns. Through you I would like to draw the attention of Hon'be Finance Minister towards the state of Jharkhand. Chatra,

Latchar and Palamu are backward areas and these are left wing extremist areas.

These areas are educationally backward. So I would like to make a demand that one sainik school should be sanctioned in these districts.

SHRI SHARAD TRIPATHI: The present government has set the new world record by launching 104 satellites simultaneously in the history of the country. The defence allocation in this budget Rs. 2,74,114 crore, which is 5.6% more than the revised estimate for the current year. The defence allocation is almost 12.77% of total budget. This allocation is excluding pension expenditure.

The allocation for pension is Rs. 85,740 crore . The One rank, one pension

(OROP) was implemented last year. The allocation for pension is much higher considering the separate allocation for paying arrears. In this budget, certain long pending concerns of the Armed Forces has also been addressed. The minister has announced a comprehensive web based interactive pension disbursal system for defence pensioners and a Central Defence Travel system for on line booking of railway tickets for defence personnel. The Defence Acquisition Council approved procurement proposals of more than Rs 1 lakh crore. SHRI T. G.VENKATESH BABU: The Budget 2017-18 has provided for

Rs. 2,62,390 crore for defence spending which is 2.4% of GDP i.e. 12.77 % of the total budgetary expenditure. It is only an increase of 5% than the last fiscal. Of the total budgetary allocation of Rs. 2,62,390 crore revenue expenditure of Rs.

1,72,777.74 crore takes away the major share leaving behind a paltry sum of Rs.

86,488 crore to capital expenditure. Major part of the revenue expenditure goes to pension and salaries. We have got 1.4 millions armed personnel on role, the biggest in the world. So we have freeze the strength of our army personnel to bring down the revenue expenditure. There is no perceptible jump in military modernization despite heightened tensions with Pakistan and the ever expanding capabilities of China. Funds allocated for modernization of our forces and capital procurements is shrunk by 0.9 per cent. The performance of DRDO is very poor.

There is perceptible boost given to encourage Make in India so far by the NDA.

The 100% opening up of defence production to FDI has also failed to achieve the desired target. Due to corruption most of the procurement contracts are stalled diminishing our chance of acquiring weapon capability still further. Unless the capital spending is upwardly revised, all pending contracts for procurement will not go through. MOD surrendering over Rs. 35,000 crore of the capital allocation will not bode well for our national security.

SHRI ALOK SANJAR: I support the demands on grant pertaining to the

Ministry of Defence. The Government has implemented the welfare measures in the interest of the country and its citizens. In order to boost the morale of the defence personnel who are fully committed to protect the country the Government has approved the One Rank One Pension demand, pending since four decades thereby increasing their pension by about thirty percent. Moreover with the provision for online ticketing system now they are free from travel warrant. I request the Government to procure modern equipments to enable the safety of soldiers in adverse conditions. Due to the bureaucratic interference in the defence administration budget utilisation is delayed. Further, budget allocation for defence research need to be increased so as to enable our country to withstand with other developed nations and become self reliant in the field of defence weapons etc and join the category of exporting nations. I compliment the Government for closing the Rafael deal in only fifty nine thousand crore rupees alongwith convincing the

Government of France to accede the condition of manufacturing of new aircrafts indigenously. To give due importance to swadeshi movement indigenously built

'Tejas' was commissioned. Our manifold growth of nuclear power is acknowledged globally and we have proved it with our recent launch of satellite through reusable space shuttle. Under the Make In India scheme our country has gained ground in the defence sector and unmanned drone 'Rustom' is being developed under it. Also the Brahmos missile system is recognised as world class advanced weapon and due to the able leadership of the Government, our Country has joined the group of big and powerful nations in the World.

PROF. CHINTAMANI MALVIYA: I stand to support the demands of grants on the Ministry of Defence. With the successful launch of the satellite through the reusable space shuttle we have become the third nation in the World to do so. Our Country has become a great player in the world market of space surveillance and communications with the successful launch of 104 satellites from one rocket. The Government has not only given a free hand to ISRO but also increased its budget allocation by 23 percent making our country an exporter rather than being an importing nation. Defence budget allocation is increasing continuously elevating our nation to the fourth place in defence sector expenditure after America, China and Britain . Today Air Force is passing through a bad phase, therefore it requires modernisation. The Government has successfully cleared the

Rafael deal with mere 59000 crore ruppes at a discount of 25 percent with the

Government of France and allowed manufacturing of 'Tejas' indigenous fighter plane after iis commissioning. Budget allocation for defence research is very meagre with only 9 percent, whereas in the era of technology today it requires greater autonomy and budget allocation so as to stand with the developed nations and become more self reliant in the weapon sector and become an exporter. The Government has expressed its gratitude to the defence personnel by approving the

40 year old pending demand of 'One Rank One Pension' and also made a provision of online rail ticket booking facility by providing relief from travel warrant. I request the Government to provide Quality food, shoes, uniform, bullet proof jackets and hat etc to equip our soldiers to survive in adverse Conditions. There is a need to provide greater autonomy to our defence forces like other countries.

SHRI P. K. BIJU: The armed forces continue to lose around 100 personnel to suicides every year and implementation of OROP have been lost sight of.

Indigenous defence projects have taken decades to complete and have burned a big hole into govt's pocket. By making 100% FDI in defence, FDIs being thrown open to the foreign entities completely. We might just get stuff without knowing how it is made. Privatisation is not limited to FDI. Well functioning PSUs are on the path of privatization. The government is taking a political leverage and boasting of surgical attack. But what about the attacks on our defence camps in Pathankot and numerous other attacks in Kashmir. Internal corruption is another major issues to worry about. Soldiers are given low quality food and other amenities. The government has taken no action on the reports and the recent revelations of soldiers about low quality food. I urge the government to take urgent steps to curb the internal disturbances in the force.

DR. BHARTIBEN D. SHYAL: India is committed to work for the defence cooperation with all its neighbouring partners on the basis of equality, mutual benefit and mutual respect. Efforts to destabilise our country, terrorism and terrorist activities are the serious challenges for the peace and security before our country, but our Armed Forces are ready to counter it. Our Government has taken commendable step by implementing a long pending demand 'One Rank One

Pension' of our soldiers and now Ministry of Defence has started work for removing disparities in it also. Our Government has made the defence deals transparent. Government is bringing a new black-listing policy also wherein action will be taken against the companies involved in corruption.

Like this our Ministry of Defence, our Government and our Armed Forces are ready for the defence, internal external peace and security of India. I support the Demands for Grants pertaining to the Ministry of Defence.

DR. SUNIL BALIRAM GAIKWAD: The Government has initiated

'Make In India' in Defence Sector, brought transparency in Defence Policy, implemented One Rank One Pension, and took decision of renewing it after every five years. The Government has shown through surgical strikes that our Armed

Forces are capable of protecting the country. Our Government works for boosting their morale. I support the Demands for Grants pertaining to the Ministry of

Defence. SHRIMATI PRIYANKA SINGH RAWAT: All the major powers of the world have heavily curtailed number of soldiers in the last one decade while India has world's third largest armed force. Though India has included technology based systems in its military capabilities in which communications and digitisation are also included yet it has not even made efforts for curtailing expenditure being incurred on institutional reforms, ineffective departments and human resources.

The recruitments should be reduced in the military departments which are not necessary as per operations in order to curtail the expenditure. I would make some suggestions, improve coordination in joint exercises of all the wings of Forces as to avoid overlapping of efforts in any Front and reduce Medical, Ration, Station duty and other security related expenditure of each unit; downsize the Training

Institutions and the headquarters of institutions rendered irrelevant; The

Departments pertaining to operation system and Training facilities should be merged and downsized; dispensable departments should be merged or their work should be outsourced; the reassessment of all peacetime institutions should be conducted and responsibility of maintenance and repair of automobile and civilian works may be assigned to private sector. It is very crucial to encourage youths of the country to opt for Forces as career and I desire that Government should make special to make military education or training mandatory in schools itself.

SHRI HARI OM PANDEY: The Minister of Finance has increased the

Defence budget to 2 lakh 46 thousand 727 crores which was 2 lakh 29 thousand crores in the last year. It is likely to be increased in future in view of the requirements of the Forces. The 7.5 percent hike in Defence budget will facilitate the implementation of deals lying pending for a long time. The steps taken for amicable solution of one rank-one pension are commendable.

The increasing involvement of radical elements in neighbouring countries and support of China to them directly or indirectly is a matter of concern.

Therefore, there is an urgent need to expedite modernisation of the Forces and to make defence procurement procedure speedy and smooth.

SHRI NISHIKANT DUBEY: Despite a gloomy global economic environment, the Indian economy continues to a bright spot. The Union Budget has focussed on a government-led investment approach to spur the domestic economy.

An Attempt is made to reconcile the defence-related allocations provided in the

Union Budget with the traditional format used by the MoD and compare it with the previous years' allocation and expenditure. Another major feature is the further increase in the share of the revenue expenditure in the total defence budget. This does not augur well, especially when there exists a huge void in India' defence preparedness, and the armed forces have grave shortages in many areas. The decline in the modernisation budget is a source of great concern, especially given the limited budgetary scope available for signing new contracts. The lack of any specific incentive for the defence industry may be a source of disappointment.

There is a need to augment resources substantially, particularly under two critical heads of the defence budget - stores and capital procurement.

SHRI KAUSHALENDRA KUMAR: Today the most important need of the defence department is modernisation. All weapons, arms and ammunitions, tank, fighter aircrafts, armoured vehicles etc. have become obsolete. The

Government has about 21 study reports of A.K. Saxena committee. According to the report if the government studies it and implements it then the defence ministry would save about Rs. 50,000 crore yearly which suffers leakage now. I want to know from the minister of defence the amount of funds lying in the regiment fund of the defence department, income from this and its mode of expenditure. In the name of Jawans welfare this fund is being looted. Our Jawans commit suicide and also become martyrs. What steps does the government take for their wife, children and their old parents? The government is yet to produce bullet proof jackets in the country. Now I would like to take up the issue of leakage of examination papers concerning army recruitment. This corrupt practice is going on for a long time. In my parliamentary constituency only one unit of ordnance factory is working. All the four unit should work to produce latest ordnance. SHRIMATI APARUPA PODDAR: India's armed forces are still dependent on imports for 70% of their defence equipment. In 2015, India reportedly faced a shortage of 50,000 personnel, including 11,000 officers. The modernization of men and material is a long standing demand of the three wings of the armed forces. This is worrying because the security challenges, within and at the borders are formidable. The absence of special incentives for indigenous research in the Budget has been another disappointment. There is a need to allocate more funds for Defence Research. More opportunities should be given to women in Defence sector for recruitment. NCC course as an elective subject should be introduced at University level. I request for one sainik school in West

Bengal in my Parliamentary Constituency Arambagh in Chandrakona.

SHRI R.K. BHARATHI MOHAN: I think there are still some issues pending on One Rank One Pension. There is no need to prolong this issue. We have to strengthen our defence to secure our country from enemies. We should be spending more on education and health and in providing employment and waiving off loans of farmers. In my State, Tamil Nadu, there are few establishments of defence, these should be modernized. There is a need to improve the quality of food being served to personnel of CRPF as they are the custodians of our country.

There is a general perception that deals are made without any transparency. Would the hon. Minister elaborate on the mechanism of transparency being adopted by his

Ministry?

SHRI DEVJI M. PATEL: I support the Demands for Grants pertaining to the Ministry of Defence. Today terrorism and terrorist activities have become a serious threat to peace and security. The Government has made a provision of Rs.

2,74,114 crores in the budget for defence sector which is approximately 16 thousands crore rupees more than the allocation of previous year. More than 10 percent increase in allocation for defence sector indicates clearly that laxity in security at borders will not be tolerated.

There is a proposal to increase 10 percent allocation for procurement of new equipments Rs. 86488 crores have been allocated for defence capital. Centralised

Defence Travel system has been developed to facilitate soldiers. Allocation has been increased to purchase modern Rafel fighter Planes, Apache attack helicopters and Chinook heavy lift helicopters for Air Force. Budgetary allocation has been enhanced as per the demand and requirements for modernisation of Defence Forces as growing friendship between China and Pakistan is a matter of concern for India from strategic view point.

I request that Joint Recruitment rallies should be organised in Jalore and

Sirohi so that unemployed youth in this area may get employment and opportunity to serve the nation. There is also a need to set up military schools in various districts centres of my Parliamentary Constituency.

PROF. RICHARD HAY: I support the Demands for Grants for Defence.

The Government of India has displayed fortitude, commitment and vision to protect the country from intermittent enemy onslaughts. Our surgical strike was a strategic move.

I also congratulate the Government for honoring its commitment to implement 'One Rank One Pension'. OROP has been implemented retrospectively.

Under the Make in India concept, the defence procurement- indigenously will increase from 35% to 70% by 2027. This will increase India's reliance on indigenous products rather than dependence on imports and thereby save foreign exchange.

SHRI BHOLA SINGH: I would like to thank the hon. Prime Minister and the Minister of Defence for paying special attention regarding modernisation of the armed forces giving priority to the soldiers. The internal security of the country is fully under control. Our country has become a powerful military power in the world. In the past three years the defence budget on an average has seen 10 per cent increase. Along with this the government has paid special attention to make in India through defence procurement procedure. The country has become more self sufficient in defence matters. The government implemented the long pending

One Rank One Pension demand of the ex-Armymen. The government should encourage the young scientists. There should be an increase in the relief provided by the government for the marriage of the daughters of martyred Jawans. Also, the wives of the martyred soldiers should be given employment somewhere on priority basis.

SHRIMATI PRATIMA MONDAL: Internal security is under threat due to cross border terrorism, militancy in the North-East, Left Wing extremism and terrorism in the hinterland. Surgical strikes undertaken recently along the Line of

Control are credible and a strong message to Pakistan and China. The defence allocation is grossly inadequate to meet the security needs of the country. This budget allocation is the lowest since 1956-57. The revenue stores and capital modernization together play a vital role in the operational preparedness of the

Armed Forces. There is a whopping under utilisation of funds of Rs. 7,393 crore and the Army accounts for 50 per cent of total unspent funds. Poor allocation coupled with under utilisation is severely affecting modernisation and procurement process. Unlike the previous budget, this Union Budget has not provided any specific incentives to push the Make in India initiative in the defence sector. We are a country that has one of the largest armed forces. It is unfortunate that they are not receiving the support that they deserve. I appeal to the Government to consider increasing the Defence Budget allocation, especially to support not only our serving soldiers but also war veterans struggling to survive physical, psychological and financial trauma.

SADHVI SAVITRI BAI PHULE: By giving utmost priority to the security of India the government has made the budgetary allocation of Rs. 2,77,114 crores and of Rs. 85,740 crores for ex-servicemen which is being praised by the entire country today. The government gives special attention to the internal security along with external security. The efforts of the government to tackle cross border terrorism in Jammu Kashmir, terrorism in North-East, Naxalism in some states and internal terrorism in a systematic manner proved thoroughly effective and successfull. The government has succeeded in establishing peace in Tripura,

Manipur and in north-eastern states and by doing surgical strikes in Pakistan they have send a message to the entire world that India is not lax & weak. Today each citizen of India is feeling safe and respected. I would like to request the government that our Defence budget needs to be increased. In the changing global scenario our Defence Forces are needed to be strengthened. All three Forces of our country are capable of creating a prestigious history for our country.

SHRI S.P. MUDDAHANUME GOWDA: Defence is one of the vital and important ministry which mainly concerned about the security and peace of the country. Hence, allocation of Budgetary support to the Ministry of Defence becomes a necessity. During the year 2015-16, there is under spending of Rs.

13,188 crores which is nearly 14 per cent of the budgetary allocation.

Modernization of Indian armed forces for the strength of the country has been rather slow. Technologically, we are little behind indigenous development of modern defence hardware. Much thrust should be given by the Government in this area to make our defence more powerful. We are bound to increase our strength regarding modernization in every angle. This is time to infuse confidence among the army personnel. Shortage of military personnel is another serious concern.

Government should take immediate steps to fill up the required personnel. We must have a comfortable and safe defence of the country. National security of the country should be the paramount consideration for our Government.

SHRI D. K. SURESH: "The capital budget has flat-lined, which is inexplicable for a country that is growing at seven per cent. The modernisation of the Indian Forces over the years has been rather slow and, technologically, they are not where they should have been. Indigenous development of modern defence hardware continues to remain a concern. The Indian defence industry suffers from major policy, structural and cultural challenges. We all have seen a video of an

Army jawan in which he has alleged harassment by superiors for writing to Prime

Minister. If this is the way our army personnel treated, what will be the result which they can deliver. The Indian armed forces are faced with a shortage of over 52,000 personnel, including 11,000 officers. I would like to urge upon the government to take all measures to create appropriate environment for defence personnel. I also urge upon the Govt to implement One Rank One Pension in its true spirit.

DR. PRABHAS KUMAR SINGH: There is a decline in the share of the defence budget. It is one of the lowest since independence. Our armed forces face shortages in many fields, including ammunition, assault rifles, bullet-proof jackets, night vision-devices, howitzers, missiles, helicopters, fighters, minesweepers and warships. There is no special incentives to push the Make in India initiative in the defence sector. The allocation should be increased to meet the threat perceptions from our neighbouring countries.

SHRIMATI SANTOSH AHLAWAT: 'One Rank One Pension' has been implemented after this Government was formed. Now ammunitions are being manufactured indigenously under 'Make In India'. Important factors like price review of procurement, binding nature of time limit etc. have been taken into account in defence procurements.

SHRIMATI NEELAM SONKER: I thank the Minister of Finance profusely for providing Rs. 2,77,114 crores on priority basis for the nation's defence. The hon. Minister of Finance has made a provision of Rs. 85,740 crore for the ex-servicemen. The government, the Ministry of Defence apart from external security pay special attention on internal security also. In 2012 the number of violent incidents was 1025 which now has come down to 574. The number of civilians killed decreased from 97 to 46. The surgical strike inside

Pakistan gave the message to the world that the country is not helpless and weak.

Today, every citizen of India is feeling to be secured and honoured. Keeping in view the changing circumstances in the world, the Army, the Air Force and the

Navy need to be strengthened.

SHRI JAI PRAKASH NARAYAN YADAV: We all are one and will also remain so on the issue of nation. We salute our martyrs. We would like to say that there should be reservation in the Armed Forces also. The Ex-service man should be gainfully employed in the services of state governments so as to utilize their experience and service. There is a modern ordinance factory in Bihar which should be completed at the earliest. Our Government should take strong action against the attacks being perpetrated by the secessionists and from across the border.

SHRI GAURAV GOGOI: I would like say that our Armed Forces are not for the bragging rights of any party during election seasons. I request the

Government to create parity between civil, paramilitary and military officers. In the same conditions, different benefits cannot be accorded to officers belonging to different sectors. They must be looked through the lens of equality and equality.

Unfortunately, the number of vacancies in our forces is staggering. We need to fill up these vacancies and we also need to induct more women in Indian Armed

Forces. We also need to make our Armed Forces more attractive. The Ministry has written to me confirming their intention to start a new Sainik School in

Golaghat District of Assam. When it comes to Assam, there are a lot of Air Force

Squadrons which are based there. But the infrastructure in airports and air connectivity for civilians can also be improved in Tezpur and Jorhat if the Air

Force and the Army share their properties. The number of Air Force Squadrons is definitely worrying. Had this Government followed the UPA Policy on Rafale fighters, our total squadrons strength would have been close to 40, but now we are restricted to 35 squadrons and 90 aircrafts are pending. The recent fire in an

Ordnance Factory is extremely worrying. No Army can fight on an empty stomach. The rations given to our soldiers are woefully inadequate. We need to be more sensitive. What our Army and Armed Forces need is dignity and respect.

SHRI NARANBHAI KACHHADIA: Our Government has paid attention towards the modernisation of police force. Many a times the boats of fishermen get destroyed by colliding with large ships in the sea of Rajula, Jaffarabad in the state of Gujarat, while going for fishing. So, I demand for increased patrolling of coast

Guards in the sea. I request to take appropriate steps towards strengthening the security of coastal area. There is a need for modernisation of coastal police stations in the country as well as the recruitment of experienced police officers for coastal police stations.

SHRIMATI REKHA VERMA: Our forces are not only capable for securing the country but our country has become a powerful military power in the world also, Rs 356854 crores of budget allocation has been made for defence out of which, 91 percent i.e., Rs 328000 crores has been provided to all of the three forces. I thank Mr. Minister and Hon. P.M sir for the same.

SHRI RATTAN LAL KATARIA: Keeping in view the defence needs of the country, the Government has taken several steps and agreements for procurement of Rafale air craft, submarines, assault rifles, jacket for jawans, missile technology, warships etc. have been signed under a well calibrated policy in this regard. An HMT unit has been closed down in my Parliamentary

Constituency which has got about 1000 acres of land. I urge the Government to set up a facility for manufacturing of some defence related hardware there.

SHRIMATI RITI PATHAK: The pressure on security forces of country is increasing continuously. The Government has increased the defence budget. The

Government has fulfilled the long pending demand for One Rank One Pension.

India is going to deploy a multilevel ballistic missile defence system to save the country from ballistic missiles attacks. India Armed Forces are an example of discipline and they face the adverse condition.

SHRIMATI V.SATHYABAMA: There is a fear in the minds of the common people that a modest 6% hike in allocation shows that the defence spending remains a low priority area for the government. This might hurt the military's modernisation plans. There is an urgent need to focus little more on the possible threats emanating from the southern coast of Bay of Bengal. I urgent the

Government to take a serious note on the fishermen issue in the south Indian coasts which require an authoritative, "nip in the bud" action from Indian Defence Forces.

It is good to note that the Government is keen in pursuing initiative to achieve higher levels of indigenisation self-reliance in the defence sector. Present strength of DRDO manpower in various cadres needs a qualitative and quantitative increase.

SHRI N.K. PREMACHANDRAN: Three years back, this Government has started on a very promising note. Is our country safer than the condition that this Government has inherited three years back? The former Defence Minister, who has gone to Goa indicates that the political consideration will take precedence over the vital national interest. The biggest claim of this Government, during its three years of Office, is surgical strike. We are proud to say that even in the past our Armed Forces have successfully conducted surgical strikes on numerous occasions. But, in its maturity, wisdom and in the interest of national security, the

UPA Government had never politicized the brave military action just for political gains. The share of Defence budget in terms of GDP is declining which is a matter of concern. Except Air Force, both for in Navy and Army, modernization fund has not been spent or has not been utilized. The threats and challenges to the nation are increasing. Therefore, operational preparedness has to be strengthened. Our first defence against our enemies has to be built in the hearts and minds of multitudes of our people. So, let us unite beyond caste, religions, region and language for the defence and prosperity of our country.

ADV. JOICE GEORGE: I will confine myself to the welfare aspects of the ex-service personnel as regards their health care amenities. The ECHS facility is not adequate enough to meet their requirements also. Another issue regarding the ex-service personnel is the loan facilities available to them. The Prasanthi is the

Scheme available for the ex-service personnel but the interest rate charged is more than 14 per cent. I urge upon the Minister, through you, this should also be taken care of. My last issue is regarding the ration of the ex-service personnel. I urge upon the Minister, through you, that this is a long-pending demand of all the ex- service personnel from my constituency - a canteen facility also may be provided in Idukki district in Kerala. DR. KIRIT P. SOLANKI: Our country faces a grave threat of external attack. Besides, the country is facing terrorist attacks from across the border also.

Our country has to remain prepared and strengthened in these circumstances. I congratulate the Government for allocating about Rs.93000 crore for modernization and arms & ammunitions and also for putting in place advanced mechanism. This Government has taken a bold decision on the issue of OROP for which it deserves our kudos.

SHRIMATI JAYSHREEBEN PATEL: India is the largest democracy of the world sharing borders with Pakistan, China, Myanmar and Bangladesh. India has the sixteen percent population and twenty four percent of geographical area of the world. India had been invaded by foreigners for centuries but India had never invaded any country because we believe in the principle of live and let live. In order to maintain international peace and stability India has made new and meaningful efforts with several friendly countries. Indian ocean region is important for us from the strategic point of view. Terrorism and activities of the terrorist outfits is the possible gravies threat to peace and security. The government is taking strong steps to deal with these threats. I appreciate this move. Our armed forces are fully capable in protecting our country. The Minister of Finance has allocated Rs. 2,74,114 crores for defence Ministry for military modernisation? Rs.

85,740 crores have been earmarked separately for payment of pension to the ex- servicemen. An average increase of ten percent has been made in the defence budget during last three years. Defence preparedness depends on defence budget.

The government has made several efforts to make the acquisition of weapons better and transparent. A new formula will be adopted to meet the shortage of officers in the armed forces. Our defence force protect the country from external as well as internal threats. I demand that more Sainik School should be opened in the states. I demand that 29 closed military farms should be used for agricultural operations. Soil health testing centres should be set up in these closed military farms. These military farms should be made the hub of organic agriculture,

Agriculture Research Centres and Agroware-housing. Efforts should be made to ensure that the retired soldiers get jobs and there should be reservation in the military service. I support the demands of grant pertaining to the Ministry of defence.

SHRI JUGAL KISHORE: The morale of the soldiers has boosted since the day BJP under Shri Narendra Modi has come to power in Centre. Shri

Narendra Modi ji clearly sent the message that the security of the nation will not be compromised with. Modern arms for the defence forces are being acquired and manufacturing of the same has also been kickstarted in the country. The long pending demand of ex-servicemen for 'one rank one pension' has been courageously fulfilled by the Government. The soldiers from our army fearlessly entered the territory of Pakistan and destroyed the camps operating there and many terrorists were also killed. This sent a signal to the entire world that India is not a weak country. We are proud of the our army today. However, more strict steps need to be taken to curb the terrorist activities. Soldiers should be free to take action. It is also our responsibility to take care of soldiers and their families.

SHRI K. ASHOK KUMAR: The bigger question that faces the defence community is whether the latest allocation is adequate to meet the security needs of the country. For modernisation and the capital procurement budget of the three forces, the overall allocation in the 2017-18 budget has declined. As per the Inter -

Government Agreement signed on 23rd September, 2016 with the Government of

France for procurement of 36 Rafale Aircraft, the scheduled delivery of these aircraft is from September, 2019 to April, 2022. I welcome this landmark decision by the Government. In the last 3 years since 2013-14 and the current year, there have been 4 accidents involving Cheetah helicopters, in which there were 7 fatalities. I urge the Government to take necessary steps to stop such mishaps completely. The frequent attacks and killing of Indian fishermen by Srilankan

Navy has to be treated as an unfriendly aggression. India need to take serious note on the frequent aggressions made in the Northern side, by our diplomatically friendly neighbours both Pakistan and China .

SHRI RAJESH RANJAN: We believe that all expenditures in relation to subsidies, political paraphernalia and elections should be reduced and defence budget should be increased. We have about one-third scientists of the world in our country yet we are dependent on imports for our seventy percent defence requirements. The senior Army officers utilize the services of the jawans for gardening and cleaning the utensils which should be dealt with sternly. I urge that

Purnia-Chunapur airport should be developed. I would urge the Government to open a sainik school in Purnia or Kosi.

SHRI OM BIRLA: Hon'ble Speaker Madam, I am very thankful for giving me an opportunity to participate in the discussion for Demand for Grants on

Defence. It's not easy to become a soldier. Indian army sacrifice their lives for the safety and security of the country, when the situation arises. Speedy measures requires to be taken to attract domestic and foreign investment in defence sector.

Defence is such a sector operated by Protocol in which huge investment and technology is required. We should focus more on research development and latest manufacturing capabilities. There is also a need to speed up the effort to make the

Indian companies more capable. The Government of India must focus on stealth system, unmanned system, monitoring through satellites and cyber-war besides modernisation and indigenisation. There is a need to develop indigenous defence technology in the country. It is quite essential for the security of the country to be self-reliant in the production of armed techniques and ammunitions. With this,

India should also restrict itself in regard to the tendency to import weapons. At present we are importing 70 per cent hardware and software military requirements.

Actually, there is no alternative of indigenisation and self-reliance. We can be blackmailed from imported technology. Our Government has certainly made an honest effort in defence sector but it requires to be more sound and efficient.

SHRI GAJENDRA SINGH SHEKHAWAT: India's superior geographical position has always been a thorn in the eyes of its neighbours. On our borders it is sheer resilience of our armed forces that prevents various schemes which have been precisely doctored to slowly bleed this nation. The recent surgical strike has been able to puncture the ever expanding aspirations of the nation's villains. I congratulate this Government for having kept the high tradition alive in this year's budget. Defence experts have pointed out that Air force will play a bigger role than Indian army if India has to face a full fledged war from all sides. Thus the increase allocation certainly adds teeth to our plan of preparedness.

However, the fact that only 12% of the modernistion budget is kept for signing new schemes while the rest is kept for committed liabilities arising out of older schemes. I thank the Government for having appointed a 11 member expert panel who are working on how more money can be funnelled into scaling up military capabilities and what steps should be taken to improve the military's tooth-to-tail- ratio--the number of personnel (tail) required to support a combat soldier (tooth).

The One Rank One Pension, a contentious issue that had plagued India since the last four decades was put to a final rest due to efforts of this Government. The

Defence Ministry's acquisition council have the green light to several key projects including 420 air defence guns for Rs. 16,900 crore, 814 artillery guns for Rs.

15,750 crore and 118 Arjun MK-II tanks for Rs. 118 Arjun Mk-II tanks for 6,600 crore. However, critical gaps still need to be addressed, ranging from bullet-proof vests, assault rifles to minesweepers, choppers and submarines. The change in

Defence Procurement Policy has been able to shift focus of Make in India to

MSME's who supply to the defence industry. Nearly 6000 MSME's who supply to the Defence Industry shall benefit from the reduction in Income Tax from 30% to

25%, this shall give a boost to Make in India. Nearly 50 MOU's have been signed and 350 Licenses given with main focus of Make in India, the highest since independence gives us a glimpse of the changing times. The Peace Research

Institute, Stockholm has pointed out that India is world biggest importer of defence weapons at 14% imports. Today India has a lion's share and a world renowned reputation in launching small satellites into space.

KUNWAR PUSHPENDRA SINGH CHANDEL: Rupees 2.74 lakh crores has been earmarked for defence sector of the country by making an increase of ten per cent in it as compared to previous year which comes to twelve per cent of total budget allocation of Rupees 21.4 lakh crores. India ranks seventh in world so far Defence expenditure is concerned. India has a complicated defence scenario. Our country is facing external as well as internal challenges in the field of defence. We are making constant efforts to improve our relation with our neighbours. India should be made self-reliant in defence equipments. I demand from the Government to raise Bundelkhand Regiment.

SHRI BHARTRUHARI MAHTAB: The defence outlay works out to just 1.63 per cent of the GDP, the lowest such figure since the 1962 war with

China. This time India's defence budget has been hiked by 6 per cent to Rs. 274114 crore. The armed forces have grave shortages in many areas ranging from ammunition, assault rifles, bullet proof jackets, man-packed radars, might fighting devises to howitzers, missiles, helicopters, fighters and warships. For adequate defence preparedness, the present ratio needs to change for the better, for which allocation under revenue stores and capital modernisation needs to be augmented substantially. In 2017-18, only 17 per cent of Army's total allocation has been earmarked for capital expenditure. Among the three forces, Air Force is the only service whose modernisation budget has increased, whereas both the Army and

Navy have witnessed a decline. The decline in the modernisation budget is a source of great concern. What is of greater concern is that under-utilisation has become a recurring feature of India's defence budget, despite numerous improvements in the procurement procedures undertaken by the Ministry in the past two and a half decades. Steady modernisation is a pre-requisite for building up a strong military capability, the Ministry has a big task ahead to bring the efficiency in procurement process. Unlike last year, Budget of 2017-18 has not provided any specific incentives to push Make-in-India initiative in defence. The lack of any specific incentive for the defence industry may be a source of disappointment as industry has repeatedly demanded certain concessions, which are currently extended to other sources. There is a need to augment resources substantially. This Government has talked smart, not acted smart. It has failed to channel efforts and resources to secure military capabilities principally to deter

China. India's defence budget is now the Fourth largest in the World. It should have able and agile personnel and right equipment. As economy grows attrition from the Armed Forces will occur. In 2015, India faced a shortage of 50,000 personnel including 11000 officers. Instead of desperately filling up these vacancies India could use this as an opportunity to restructure the Armed Forces into a learner, meaner, well-equipped military.

SHRI GANESH SINGH : A provision of Rs. 2,74,114,12 crore has been made for the Defence Budget of the country. Because of the wrong policies of the previous Government, Indian army's moral was very low but now our armed forces are in high spirit on our borders. Our Prime Minister has succeeded to lead the world on the issue of terrorism and now other countries of the world including

USA have accepted that Pakistan is a terrorist country. There is need of ultra modern weapons to strengthen our army and present Government is trying to fulfil the need of the army. Border disputes with Bangladesh have been resolved after

Prime Minister Narendra Modi came to power. Now there is no intrusion on

Bangladesh border. After 70 years of the Indian independence- A Tiranga Yatra was organised in which people paid homage to all the martyrs memorial. I too visited all the memorials in my constituency since 1857 till date and paid my homage. Stories of their heroic deeds of our martyrs were shared with people. The

Government of Madhya Pradesh has constructed a grand memorial in the memory of martyrs with the cost of Rs. 40 crore. I also demand to Hon. Finance Minister to allocate funds to construct memorial in my Constituency. Indian Army has displayed remarkable bravery by conducting surgical strikes in POK. Government has also allocated Rs. 12456 crore for one- rank- one- pension. Under the group insurance policies, the Central Government has given relaxation in service tax for those policies of the army, air force and navy personnel whose insurance amount will be collectively deposited. Rs. 2,74,114,12 crore has been allocated for defence budget. This does not include the amount given as pension to the ex- army personnel. SHRI BHAIRON PRASAD MISHRA: Our Government has taken historical decisions in regard to defence personnel during its tenure of about three years. One Rank One Pension Scheme has been implemented for the armed forces personnel. The Government has given free hand to the armed forces to take decision keeping in view the demand of the situation which has resulted in reduction in problems being cropped up from across the border. Special uniform and equipments have been made available the soldiers deployed in inaccessible areas. The Government has made special provisions for medical treatment of the dependents of the ex-servicemen. I have a suggestion to the Government that the soldiers who are posted in inaccessible areas should get special rank and pay and the families of those soldiers should get more assistance who dies in harness.

SHRI KRISHAN PRATAP: During the tenure of last Government many big scams surfaced in Defence deals which were facilitated by mediators and brokers as a result we lagged far behind in our defence system. In year 2004, a

Government was formed under the leadership of Hon'ble Prime Minister, Shri

Narendra Modiji in which not even a single instance of scam and corruption took place. Today the country has improved its position in the field of Defence and it boosted the morale of Defence forces and also long pending demand of "one rank- one pension" was also fulfilled by our Government. The soldiers of our forces guards our borders under extreme conditions. The complaints pertaining to substandard food and poor quality of uniform, shoes, bullet proof jacket etc. have come to our notice. I urge the hon'ble Defence Minister to take immediate steps for the welfare of our soldiers. Today modernisation of Defence forces is the need of hour. The Defence procurement process is a very lengthy process. There is a shortage of specialists who assess the quality of weapons and the Ministry of

Defence could spend 11,000 crore rupees due to not being able to take appropriate and timely decisions. I hail from Jaunpur Constituency in Uttar Pradesh and there are several youths, who wants to be recruited in Army. I request that a recruitment camp may be conducted in Jaunpur and an Army recruitment center may be opened in my Constituency to provide recruitment opportunity to the youth of my

Constituency.

SHRIMATI POONAMBEN MAADAM: I congratulate our soldiers for carrying out surgical strikes in Pakistan- occupied Kashmir. I thank Hon'ble PM,

Shri Narendrabhai Modi for this. I thank our Hon'ble FM for increasing Defence

Budget for the 2017-2018 financial year. Defence manufacturing has been a priority sector for the Government in the last three years. The Government has done a fine job in liberalizing foreign direct investment (FDI) in defence. This move was long overdue. Defence pensions have increased considerably over the last few years, on account of implementation of OPOP scheme, I would suggest better outreach of OROP for our veterans. Another positive development in the budget has been the dismantling of the Foreign Investment Promotion Board

(FIPB), will result in meaningful improvement in ease of doing business in India. I thank our former Hon'ble Defence Minister Shri Manohar Parikkar ji for approving four mobile surveillance stations along with the integration of vessel traffic management systems in two places on Gujarat coastline. I demand for stepping up resources in the sector. I suggest that there should be more impetus to indigenous procurement of defence equipments. This will also create jobs in the country. It is a welcome move that the Government has promised to reduce income tax from present 30 per cent to 25 per cent for Micro, Small and Medium Enterprises

(MSMEs) with an annual turnover of up-to Rs. 50 crore. This is likely to benefit some 6000 MSMEs. Decline in the modernisation budget is a cause of great concern. There has been an under utilisation of 7,393 crore in the last FY. MoD has a big task to bring in efficiency and expeditiousness in the procurement process. My third concern is that the army's allocation under 'stores' has come down from BE 2016-17 of Rs. 17,728.18 crore to Rs. 17,487.78 crore for the coming fiscal also for Indian Navy, the BE allocations remain constant and for

Indian Air Force, it remained static. This is a cause for concern. Little movement is expected on issues such as creation of cyber, aero-space and a spurt in research and development activities, all of which are critical for India. Therefore, the increase of five per cent in the official defence budget is inadequate. I advocate the need to augment resources under two critical heads of the defence budget- stores and capital procurement. Ministry's demand for higher allocations is a genuine but it should utilise the available resources in a time- bound manner. The sector is in need of reforms in terms of modernisation of equipments and fast tracking of pending projects.

DR. HEENA VIJAYKUMAR GAVIT: Hon'ble Finance Minister allocated Rs. 3,59,854 crore to Ministry of Defence. Indian economy showed a growth of over seven per cent per annum for three consecutive years between

2014-15 and 2016-17. The Government has promised to reduce income tax from present 30 per cent to 25 per cent for Micro, Small and Medium Enterprises

(MSMEs) with an annual turnover of upto Rs. 50 crore. This is likely to benefit some 6000 MSMEs. 10% more budgetary allocation made for acquiring new weapons and systems. The Government announced a centralised travel system for soldiers. One rank one pension have also been implemented. Almost all pensioners have been benefitted through this.

*SHRI ASHWINI KUMAR CHOUBEY:

THE MINISTER OF STATE IN THE MINISTRY OF DEFENCE (DR.

SUBHASH RAMRAO BHAMRE) replying said: I thank hon. Members for

* Please see Supplement. raising important issues in the debate. I will try to cover whatever the issues they have raised during their deliberations. The outlay for 2017-18 for the Ministry of

Defence, except Defence Pension, is Rs.2,74,114 crore. It represents a growth of six per cent over the Budget Estimates, that is, Rs.2,58,589 crore, and 5.6 per cent over the Revised Estimates, that is, Rs.2,59,000 crore. For the Defence Pension, an amount of Rs.85,740 crore has been provided in the Budget Estimates of 2017-

18. This is 4.13 per cent above the allocation during 2016-17. Some people are getting an illusion that spending on the Defence is less when it is not so.

Additional funds will be required to complete the raising of the new Mountain

Strike Corps and for Border Roads Organization to enable it to create the requisite roads infrastructure. About the security scenario, I would like to say that our

Forces are well prepared to tackle it. We have always been pursuing for peace with our neighbours. But for many years cross border terrorism and proxy war have been waged against our county. That is why when we received the specific and very definite inputs, our Army conducted the surgical strike with precision without any casualty on our side. The security situation in the North Eastern States has remained complex but due to successful execution of comprehensive action plan by the security forces against the insurgent groups, the violence levels registered a decrease of approximately 15 per cent. The situation along the India-

China border continues to be peaceful. Two new Border Post Meeting (BPM) mechanisms have been institutionalized between India and China along the northern border. There has been considerable increase in defence cooperation activities undertaken by the Indian Army. In the endeavour of enhancing defence preparedness a total of 147 contracts have been concluded at a total value of

Rs.2,00,957 crore in the last two years. Apart from this, we are close to concluding the contracts for a number of procurements, which will significantly enhance the capability of the Armed Forces. At present, we have 33 fighter squadron combat aircrafts whereas we need to have 42.

The Government is preparing a roadmap for production of fighter aircraft in

Indian Air Force through Make-in-India route. The Long Term Integrated Perspective

Plan (LTIPP), the Five Year Acquisition Plan, the Annual Acquisition Plan and the twelve Defence Plans are under progress. Capital Procurement procedure has been amended. To rationalize time taken for the field evaluation, it has been provided that the FET may be held in condition where the equipment is most likely to be deployed and stimulations in the technical evaluation. There are so many important steps taken to shorten the period of procurement. Defence Production Policy promulgated by the

Government aims at achieving substantial self-reliance in the design, development and production.

Indigenous development of defence equipment is being promoted in the

Defence Procurement Procedure 2016. Recognizing the need for promotion of defence export to make the Indian Defence Industry economical and sustainable,

Defence Export Strategy outlines various steps that have been taken. In these last two-and-a half years, exports by Ordnance Factory Boards, Defence PSUs and private sector increased by double. There is a slight shortage of work force in the Armed

Forces. Our Government has taken a number of initiatives to make employment in the armed forces attractive. More powers have been delegated to the Services for procurement of ammunition. There is a Grievance Redressal System in the Armed

Forces. The DRDO has come up with a very good missles projects. We are committed to completing the War Memorial and Defence University.

All the cut motions moved were negatived.

All the demands for Grants were voted in full.

UNION BUDGET - 2017-2018

DEMANDS FOR GRANTS - 2017-2018

Ministry of Home Affairs

SHRI MALLIKARJUN KHARGE initiating said: Ministry of Home

Affairs is an important ministry hence allocation of only four hours for discussion is absolutely inadequate. Despite it being an important ministry the lowest allocation has been made for it in this Budget. The problem of naxalims sometimes comes down but again it raises its head. I would like to place some figures before the House. The number of civilians killed in the year 2015 was 171 which increased to 213 in the year 2016. The number of security forces personnel killed in the year 2015 was 59 which increased to 65 in the year 2016. The number of encounters with police forces increased from 247 in 2015 to 328 in the year

2016. Now, it is upto you to ponder over as to whether it is a decrease or increase.

The Integrated Action Plan was started in the year 2010-11 under which the number of projects undertaken was at least 164859 out which the Government could be able to complete only 139729. There is a need to strengthen the infrastructure of security forces. There is a need to provide facilities wherever required whether they are required for CRPF or BSF because these forces are as important as the military. However, there are many lacunae to be seen. Now, I would like to quote one more figure on security related expenditure. The amounts spent under this head was Rs.869 crore in the year 2015-16 which went upto

Rs.1390 crore under the Revised Estimates. This allocation should have been at least Rs.1390 crore in the year 2017-18 because the Government is required to spend that much amount in the earlier year itself. However, the allocation was reduced to Rs.1222 crore which was a haircut of 12 per cent. I would like to know the reason for it. Have naxalism, extremism have taken a breather or terrorist activities have come to a halt? I fail to understand the reason for this reduction.

On the other hand there is the issue of modernization of police forces. The

Government has been decreasing the allocation by the year. An allocation of

Rs.800 crore was made in the year 2017-18 while it was Rs.845 crore in the year before which means a reduction of 5 per cent. Besides, the money allocated in the year 2016-17 remained unspent in various heads like the professional services, modernization of arms & ammunitions, research and IT etc. The sensitive organization like National Intelligence Grid was made an allocation of Rs.45 crore out of which only Rs.18 crore were spent in the year 2016-17. Indo-Pak Border

Security is an important subject. However, out of an allocation of Rs.120 crore made in the year 2016-17 only an amount of Rs.50 crore was spent. I would like to know the reason for this under utilization and also about those who are responsible for this. Now coming to the question of coastal security, an allocation of Rs.710 crore was made in the year 2016-17 out of which only Rs.20 was spent. All these figures are your own official figures. If the Government continues to work like this then it is certainly worth pondering as to how the state of affairs could be improved and who shall be held responsible for this. Now, I come to the issue of terrorism. I would like to know from the Government as to what follow-up action in form of improvements has been taken by the Government in pursuance of the recommendations of the Phillip Campose Committee constituted in aftermath of the terrorist attack in Pathankot. On the other hand, if we take the figures on terrorist infiltration and ceasefire then there is a increase in the number of incidents, civilians killed and the infiltrations made. If the Government do not take it seriously, it will definitely impact the entire country giving rise to extremism in the country. The Government set up the Nirbhya Fund for the safety and protection of the women. The capital outlay for the fund was to the tune of Rs.71 crore in the year 2016-17 which was brought down to Rs.13 crore under the

Revised Estimate of the same year while an allocation of Rs.23 crore was made for the year 2017-18. It means that your earlier of Rs.71 crore was merely showcasing and you only spent Rs.13 crore. Are these the right steps in direction of stopping the crimes against the women? How would you be able to stop the crimes by such measures and impart the benefits to the targeted beneficiaries? Similarly, the atrocities against SCs and STs are on the rise. The Government has to ponder over the ways to lessen these crimes. The Government should also stop the atrocities and injustice against the Dalits. Our country has always been committed to the cause of democracy, socialism and secularism, and our Constitution also makes it obligatory upon us that these values are deeply protected. Today, this is not happening rather democracy and secularism are being sacrificed.

SHRI HARISH MEENA: A sum of Rs. 80,000 crore has been provided in the budget for 2017-18 to combat terrorism giving top most priority to internal security. This allocation is 11 per cent more as compared to the last year. This shows that our government has adopted a policy of zero tolerance towards terrorism. The allocation for central paramilitary forces has been increased to Rs.

5,000 crore which is more than that of the last year. In this year's budget a sum of

Rs. 10,506 crore has been provided for women's safety. The refugees who came from West Punjab are staying in Kashmir. No rehabilitation policy has been formulated to rehabilitate them in the last 70 years. For the first time government has increased the amount for their rehabilitation to provide relief to them and their children. Besides I have also some suggestions. The first is, there are about 200 police stations in Jammu and Kashmir. Their total strength is more than one lakh which also include SPOs and home guards. The central government also provides assistance to the central forces there from time to time. We have to keep in view as to how we can bring about improvement in the situation there. I would like to give an example of Kerala. In the year 2006 an experiment was done in the State under which a students cadets - police programme was introduced in which the students of 10th, 11th and 12th class and their parents were engaged in the exercise to reduce distance between the public especially the youth and police. This exercise inculcated a sense of discipline in them to enable them to become law abiding citizens because today's youth are tomorrow's future. This experiment should also be replicated in other parts of the country also particularly this could be introduced in Central and Navodaya schools. The objectives of this exercise as introduced in Kerala were to bring the misguided youth in the mainstream of the country, to create awareness among them about law and order, to make them vigilant and to groom them for peaceful and value based society so that they become law abiding and develop all these values in their lives naturally. The

Central Government provides fund to border states under the border area development programme but after giving the funds there is no mechanism in place for monitoring of the same. I, therefore, request the hon. Minister to issue guidelines for the monitoring of the said fund. The monitoring of this fund could also be given to hon. Members of Parliament for its proper utilization. The jawans of BSF, ITBP CRPF etc. are also posted in remote and far flung areas of the country. The jawans of CRPF are also deployed in the naxal affected areas. The officers who are working in Delhi should also be posted with them for some time so that the government could get the right information about their living condition etc. and thereby enabling the government to take a right decision for their welfare.

Finally, I would like to say this much only that our government is fully committed to safeguarding the security and interests of our country.

*DR. HEENA VIJAYKUMAR GAVIT

*SHRI KAUSHALENDRA KUMAR

* Please see Supplement. *SHRI VINAYAK BHAURAO RAUT

*SHRI RAJESH RANJAN

*SHRIMATI SUPRIYA SULE

DR. KAKOLI GHOSH DASTIDAR: I think that the internal security is one of the most important issues. We have the brave jawans who are protecting us.

Therefore, I want to pay respect to all the jawans who have lost their lives in protecting us over the last few years. I would also like to congratulate this

Government for selecting a lady as the Director General of SSB. I also would like to request him that there was a decision and a promise to have about 33 per cent of the forces as women, but as of today we have about 6 per cent and these girls are working very hard to protect us. This House was very rightly passed the Maternity

Benefit Bill. I would also like to congratulate this Government and the hon.

Minister for increasing the scholarship of the children of the jawans. In Assam

Rifles, BSF, CISF, CRPF, SSB and ITBP, there are 73,464 vacancies. In filling those vacancies, cognizance to the girls may also be given. In the left-wing extremism areas, mine protected vehicles should be provided. There is a gap between expenditure, requirement and allotment which need serious concern. As far as Police Grant is concerned, if we consider the Budget Estimate the Revised

Estimate and expenditure, that is the lowest in the last three fiscals and the whole amount has not been spent. This needs to be increased because our poor jawans are facing terrorists. I do not understand why the allotment has been slashed as far as the cyber crime registry, the crime and criminal tracking system and the left- wing terrorism heads are concerned. I would like to draw the attention of the

House and that of the Minister to the fact that between July 2016 and January

2017, a number of law and order incidents shook us up in Jammu and Kashmir and the North Eastern Region. It looks like a war being raged all around our borders.

If an elevated road or a flyover is constructed from the BSF and NSG hub on

Bahadur Road to the main national highway of Jessore Road, then, in the event of any terrorist attack anywhere in the eastern part of the country, they can reach the

Airport very fast. Fencing is not complete anywhere in Bengal, Rajasthan, Gujarat and in Punjab. We should have some watchtowers to watch the coastal areas.

When we look at our judiciary, we find that those who should be setting exemplary standards of personal behavior are bickering and fighting amongst themselves and that sends out a very wrong message to society.

*DR. SUNIL BALIRAM GAIKWAD:

*SHRI TATHAGATA SATPATHY:

*SHRI ARKA KESHARI DEO:

* Please see Supplement. *SHRI T. G.VENKATESH BABU:

*SHRI MAHEISH GIRRI:

DR. RAVINDRA BABU: I would request the Home Minister to increase the MPLADS fund. We will definitely be using this money for the welfare of police and also to some extent for the welfare of paramilitary staff. We have to understand why there is so much of stress level especially among CRPF personnel who are away from their families and who are doing duty in very difficult areas.

We should periodically counsel them psychologically so as to reduce the stress level of the CRPF personnel. We should bring them back to their families and expose them to a little entertainment or some sport activities. The para-military forces who are in the tribal areas should have interactions with the anthropologists as they are well aware of the tribal culture. When the personnel of CRPF, BSF or any para-military forces retire, let us also consider them on the lines of the Defence and give them more benefits, that is, housing, education, post retirement benefits, industrial incentives, some loans or such other things. In India, especially after the

Left-Wing extremism has started, the casualty of the forces is more than that of during the war time. Let there also be a wing in the Home Ministry to understand as to why there is Left Wing extremism. Instead of treating the Left Wing extremism as a law and order issue, let us also understand that it is a socio-

* Please see Supplement. economic issue and there are so many economic conditions, tribal exploitation and tribal land alienation. If all these things are understood, the left-wing extremism can be reduced to the minimum so that the CRPF casualties also can be reduced to the minimum. I urge upon the Home Ministry to devote more time and money for the welfare of the CRPF personnel.

** ** ** **

ANOOP MISHRA Secretary General

** Supplement covering rest of the proceedings is being issued separately. © 2017 BY LOK SABHA SECRETARIAT NOTE: It is the verbatim Debates of the Lok Sabha and not the Synopsis that should be considered authoritative.

English and Hindi versions of Synopsis of Debates are also available at http://loksabha.nic.in.