DRDO came up with a prototype in 2018. By 2022 it clears all trials. Order will be placed shortly.
Please show me a single statement by Army which said the missile passed the trials. Entire Nag program is nothing but a hoax and only Helina has been ordered under pressure by the army.
As for why the government should fund the R&D. Multiple reasons. I will list a few.
1. It’s industry standard. If a customer wants anything developed specifically for its own use, they have to pay R&D fees. Whether it’s the design of a fabric for making dresses or the simulator of a plane or high end defense items, the client always pays development fees upfront. You would know if you ever worked in any such sector.
2. Paying for R&D is always cheaper for the government as government’s cost of capital is lower than any private entity (or even a DPSU backed by the government itself) can ever manage.
3. Let’s assume a case where a private company invests its own money. Now if they pass the trials, it will have to recover the R&D costs as well, and will add them to the cost of the product. It will also have to setup the infra which again will go into the cost.
Now take the second case where DRDO is given money by the center. It develops a product which also clears the trials. Then it will give it to a production company. If it is private company, then the company will add the infra cost to the final product cost, but won’t have to add any R&D cost. If it is a DPSU, then there won’t be any infra cost either.
So in the end, no private company can ever compete in a tender if DRDO is involved. The cost can never come below what DRDO will provide because it is getting free money from the GoI.
So either the government shall provide R&D funds, or keep the project only and only for private companies, keeping DRDO and DPSUs out. That is not the case with any tender so far. Armed forces, MoD and private companies made this case in the NUH tender, but HAL butted in. All private companies ran away and Navy hasn’t even received a prototype even after 7 years of RFI. And that was after HAL had already worked on it for many years. So either give them funds or don’t give funds to DRDO either. Have a level playing field for everyone.
4. Years hats the ultimate goal of MoD’s budget? To get weapons for the armed forces. When CAG itself has said in writing that DRDO is lying to MoD and many of its programs are nothing but a fraud, why should they get even a single penny? Why shouldn’t that money be given to more competent authorities?