Thursday, March 9 2006 16:48 Hrs (IST) - World Time -

New Delhi: The Government today (Mar 09 2006) said it was examining the Kelkar Committee report recommending corporatisation of Ordinance factories.

"The report of Kelkar Committee is under examination in the Defence Ministry," Minister of State for Defence Production Rao Inderjit Singh said in Rajya Sabha in a written reply.

A decision would be taken after consultation with all the stakeholders, Singh added.

Replying to another question on FDI participation in defence oriented production, the minister said under the liberalised economic environment, investment decisions were taken by entrepreneurs on the basis of techno economic considerations.

On stiff competition from China in allowing FDI participation, Singh said the government has taken into account the geo-political environment in the sub-continent and strategic nature of the defence sector while allowing FDI participation.