OFFSET AGREEMENTS IN DEFENCE DEALS

There are 15 Offset Agreements in defence deals signed during the last five years, details of which are tabulated below:

The total contracted offset amount from the year 2017 to 2022 in 15 Offset Agreements with nine foreign vendors is 1.86 Billion USD. Further details being sensitive and strategic in nature, cannot be disclosed. Out of the 15 Offset Agreements, the cumulative percentage of claims fulfilled are 175.48%. However, the specific liability in some of these Offset Agreements still pending is Rs 89.08 crore.

During the said period, in three Offset Agreements, the vendors have not fulfilled their due offset obligations. For unfulfilled offset obligations, penal action has been taken on the defaulting vendors as per the relevant provisions of the Defence Offset Guidelines under the applicable Defence Procurement Procedure.

This information was given by Raksha Rajya Mantri Shri Ajay Bhatt in a written reply to Shri Sanjay Singh in Rajya Sabha today.

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