Defense Spending: Prioritizing Jet Engine Manufacturing over Off-the-Shelf Bullet Trains

Often the debate arises over whether it is more prudent to invest in defense-related technology, such as jet engines for fighter aircraft, or in other infrastructure projects, like bullet trains. This discussion is not merely a choice between purchasing advanced military gear or public transportation but a strategic decision that impacts a nation's self-reliance and long-term security. In this article, we will explore the implications of opting for off-the-shelf technology versus investing in indigenous manufacturing capabilities.

Indirect Cost Sharing

One of the key arguments against investing in defense technology is the belief that such projects are costly. However, this perspective overlooks the significant cost-sharing arrangements that can occur. For instance, in the case of India's acquisition of a bullet train technology from Japan, only 20% of the total cost is borne by the Indian government. The remaining 80% is covered by a soft loan from the Japanese government. This arrangement helps to mitigate the financial burden on the host country, making such projects more feasible and practical.

The Erosion of International Technology Collaboration

A major concern is that the countries that possess the technology to manufacture jet engines are hesitant to share it. This is largely due to commercial and national security reasons. According to experts, even if India wanted to procure the technology for jet engines, it would be extremely challenging. The methods and processes used in manufacturing turbine blades are proprietary and highly sensitive. Companies that have developed these technologies do not simply sell the blueprints; instead, they prefer to sell complete engines to ensure their intellectual property is protected and to maintain their competitive edge.

The Absence of Tech Transfer in Military Purchases

Furthermore, past experiences have shown that the United States, which has a significant presence in the defense manufacturing industry, does not readily offer tech transfer as part of its defense deals. In 2016, when India bought the Rafale fighters from the French government, it was under the assumption that a technology transfer agreement would be included. However, the contract did not provide for the transfer of the necessary technology, which turned out to be a significant oversight. This lack of tech transfer underscores the importance of developing indigenous capabilities in defense technology.

India's Self-Reliance and National Security

Nation-building and national security are closely intertwined, and investment in indigenous manufacturing capabilities is crucial for a country's long-term strategic interests. The ability to produce jet engines and other critical defense technologies not only enhances a nation's military readiness but also strengthens its economy by creating jobs and fostering innovation. As per the President of the Confederation of Indian Industry, India must develop these technologies on its own to ensure it has the necessary military power and economic strength to defend itself and its interests.

Conclusion

In conclusion, while off-the-shelf technology can offer immediate benefits, investing in the manufacturing of jet engines for fighter aircraft aligns more closely with a nation's long-term defense and economic goals. The risks and challenges associated with foreign technology limitations highlight the importance of developing an independent defense industry. India, like many other nations, must make the strategic decision to focus on indigenous manufacturing capabilities to ensure it is not reliant on external sources for critical defense technologies.