NEW DELHI: The government is planning to introduce preferential treatment for cyber security products in public procurement.
The ministry of electronics and IT (MEITY) has released a draft notification proposing preference for domestically manufactured or produced cybersecurity products for public procurement.
The draft has invited comments by October 11. The preferential procurement will be applicable on a wide range of products such as those used for advanced authentication, content protection, DoS and DDoS protection among others.
The draft follows the Public Procurement (Preference to Make in India) Order issued by the Department of Industrial Policy and Promotion (DIPP) in June to encourage ‘Make in India’. This was done to “promote manufacturing and production of goods and services in India with a view to enhancing income and employment,” the ministry said on its website.
The draft has defined a cybersecurity product as a product or appliance or software manufactured for the purpose of maintaining confidentiality, availability and integrity of information by protecting computing devices, infrastructure, programmes, data from attack, damage, or unauthorized access.
It added that companies that will qualify as local suppliers will have to be incorporated and registered in India as governed by the applicable Indian Act. Also, the revenue from the products in the Indian geography and revenue from Intellectual Property (IP) licensing should accrue to the same company in India.
It added that the local supplier at the time of tender, bidding or solicitation shall provide self-certification that the item offered meets the definition of ‘local supplier’ and in cases of procurement above Rs. 10 crores, a certificate from the statutory auditor or cost auditor of the company will have to be provided.