New Delhi, Sept 09: Defence Minister George Fernandes today favoured indigenisation in the armed forces in the context of the country's strategic needs. "The Defence Ministry's facilities including Defence Research and Development Organisation's (DRDO) laboratories are available to provide technological guidance to the small scale industries for increasing their productivity," he said at a vendor development programme organised by Laghu Udyog Bharti.

Fernandes said "swadeshikaran" or indigenisation was important particularly in meeting the country's strategic needs and the SSI sector would be playing a very important role in this. He said about 120 SSI units were involved in making the country's first light combat aircraft 'Tejas'. The sector has also played an important part in producing the advanced light helicopter.

Fernandes said the ministry was ready to provide all possible support to the sector which was facing tremendous difficulty in procuring credit, and loan repayment.

Coming down heavily on the "Inspector Raj" afflicting the country's industry, the Defence Minister said the procedures must be simplified to ease the problems of the small and tiny businessmen.

Union Small Scale Industries Minister C P Thakur said the SSI sector should be lauded for surviving in the age of WTO.

Thakur said the sector's productivity in adverse conditions was based on three qualities -- "quality, cost competitiveness and combativeness". Bureau Report