Stating that the scheme will be launched soon and the first test facility to come up was likely to be for drones, George told reporters that it was designed to provide MSMEs
with a level playing field in defence supplies and also expand the vendor base.
The scheme would provide a grant-in-aid up to 75 per cent of the cost of equipment for the testing units, while the balance 25 per cent would be brought in by a consortium of private investors. Each facility will function as a special purpose vehicle (SPV).
L&T gets Green Channel states
Earlier in the day, L&T Valves Coimbatore, the valve-manufacturing division of Larsen & Toubro group, was awarded 'Green Channel Status’ under the Green Channel Policy introduced by the government in 2017 as a part of the Make-in-India scheme.
The status allows manufacturers to self-certify their supplies to the defence services.
L&T Valves will be the first private sector firm to get this status.
According to George, companies with a turnover of Rs 1,000 crore during the last three years and profitable for three years out of last five are eligible for apply for the Green Channel Status.
Green Channel certification is valid for five years and can be renewed.
L&T Valves caters to oil and gas, power, petrochemicals, chemicals and water sectors, apart from defence and aerospace.