Offsets

Global standards
Offset arrangements relate to the economic development of a sector or product and are a formal regulatory requirement in a number of export markets that we operate in.
They are designed to result in local capability creation, increased employment and other additional social value as a result of large public procurement contracts, including defence.  
 
Many countries have published offset requirements which often form key criteria for the award of state procurement contracts. By committing to these, companies contribute to the countries required development goals and to other long-term social and sustainable benefits of the country.
 
We have a stringent policy for offset arrangements which is governed as part of our Operational Framework.  In addition, our Code of Conduct clearly states that when we are bidding for or negotiating a contract, we will ensure offset arrangements are consistent with our Offset Policy and comply with all export control laws and regulations.  All proposals for offset put forward by our businesses are subject to a rigorous review and approvals process which includes risk-based anti-corruption due diligence.