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OFFSETS (2) answer(s).
 
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1
ID:   160796


Indo-US Defence industry cooperation: : a prognosis / Behera, Laxman Kumar   Journal Article
Behera, Laxman Kumar Journal Article
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Summary/Abstract The defence industrial cooperation is a clear missing link in an otherwise expanding strategic relationship between India and the US. The one-way defence trade is not only out of sync with India’s traditional demand for technology transfer and license production from its arms suppliers, but is also contrary to Make in India initiative of the Indian government. It is, therefore, imperative for New Delhi in particular to find an industrial solution to its increasing yet skewed defence trade relationship with the Washington. Besides demanding industrial benefits from all possible defence deals with the US in the future, New Delhi has to do a few more things to deepen the industry-to-industry cooperation with the US. Among others, it has to use its defence offset policy carefully to facilitate greater military-specific technology transfers for its industry; and at the same time lay a strong foundation for a robust in-house industrial base which can receive and absorb all such transfers.
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2
ID:   131364


Mandated defence offsets: can they ever deliver? / Markowski, Stefan; Hall, Peter   Journal Article
Markowski, Stefan Journal Article
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Publication 2014.
Summary/Abstract Defence offsets are elements of defence procurement deals additional to the primary content. Offsets are usually expected to yield technological or industrial benefits to the purchasing country (e.g. countertrade, technology transfers, or additional jobs) and military buyers often require suppliers to make offsets available "cost-free." The authors argued previously that such strategies achieve little of value to buyers that lack market power and are unnecessary otherwise, since purchasers with the market power to extract more value for money from foreign suppliers can do so anyway. This article also focuses on the supply side of offset deals. The USA is the world's largest defence offsets supplier but the US government opposes offsets demands as economically inefficient and trade distorting. Even if offsets are inefficient and trade distorting, they may still benefit a materiel-exporting country such as the USA as they may induce exports and create associated benefits for the offsets provider.
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