Manufacturing of items for defence aerospace and warships will now be covered by Industries (Development and Regulation) Act and will not require any licence from Commerce & Industry Ministry.
Department of Industrial Policy & Promotion (DIPP) issued Press Note 1 (2019 Series) clarifying Defence Products List requiring a compulsory licence from DIPP under Industries (Development & Regulation) Act,1951 (IDRA), and Arms Act, 1959 in consultation with Ministry of Home Affairs and Department of Defence Production.
Items of Defence Aerospace and Warships now do not require a licence under Arms Act. Such items shall now be covered by IDRA.
The Industries (Development and Regulation) Act, (IDRA), came into force from 8th May 1952 under a notification of the Central Government published in the Gazette of India.
The Act brings under the control of the Central Government the development and regulation of a number of important industries listed in the first schedule attached to the Act as the activities of such industries will affect the country and, therefore, the development of such important industries must be governed by the economic factors of all India.
What is DIPP?
Department of Industrial Policy & Promotion (DIPP) was established in the year 1995 and was reconstituted in the year 2000 with the merger of Department of Industrial Development. The department functions under the Ministry of Commerce and Industry.
DIPP is also responsible for intellectual property rights relating to patents, designs, trademarks, and Geographical indication of goods and oversees the initiative relating to their promotion and protection.
DIPP is the nodal Department in Government of India for coordinating and implementing programmes with United Nations Industrial Development Organization (UNIDO) in India