GOVERNMENT OF INDIA
MINISTRY OF DEFENCE
UNSTARRED QUESTION NO-62
Corporatisation of ordnance factories
62 . Shri Avinash Rai Khanna:
(a) whether Government proposes to corporatise some of the ordnance factories in the country;
(b) if so, the details thereof;
(c) whether Vijay Kelkar Committee had also given recommendations to corporatise the ordnance factories; and
(d) if so, the details thereof and the time by which ordnance factories will be made more accountable and their capabilities will be increased?
MINISTER OF DEFENCE:
(SHRI MANOHAR PARRIKAR)
(a) & (b): There is no proposal at present to corporatise the Ordnance Factories in the country.
(c) Yes, Sir.
(d) Kelkar Committee had recommended that “Ordnance Factories should be corporatized into a single corporation under leadership of a competitive management. This corporation should be accorded the status of Nav Ratna”. Increasing the capabilities of Ordnance Factories to meet the strategic needs of the country is a continuous process.
Ordnance Factories are required to report their performance which is reviewed periodically at Ordnance Factory Board as well as at different levels in Department of Defence Production.