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Military & Defence vocabulary · Defence Industry & Procurement

Offset

Meaning in military & defence, with examples

/ˈɒfset/nounAdvanced term

In military & defence, offset means: An arrangement in which a foreign supplier that wins a defence contract agrees to invest in, buy from or share technology with the buying country's industry.

In Turkish: offset, sanayi katılımı

How it is used

Common in international defence contracts: offset agreement, offset obligation, direct and indirect offset. Direct offset is linked to the product being bought; indirect offset involves other projects or sectors.

Example sentences

  1. The contract includes an offset obligation worth half of its value.

  2. Local companies will produce some parts as part of the offset agreement.

Common collocations

  • offset agreement
  • offset obligation
  • direct offset
  • indirect offset
  • offset credit
  • procurementThe whole process of obtaining equipment, services or works, from defining the need and running a competition to signing and managing the contract.
  • contractorA company or person that signs a contract to supply goods, build something or provide services, for example to a defence ministry.
  • defence industryThe companies and organisations that design, develop, produce and support military equipment and services for armed forces.
  • tenderA formal competition in which suppliers are invited to offer goods or services at a stated price, or one of the offers they submit.

More terms: Defence Industry & Procurement

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