New Defence Procurement Procedure Unveiled

  • IMR Reporter
  • 28-Mar-2016

The new Defence Procurement Procedure (DPP) was unveiled by the defence minister Manohar Parikar in Goa on 28 March 2016.

The DPP 2016 focuses on ‘Made in India’ products and was cleared on March 21. It also includes fast-tracked acquisition process. However, the Defence Acquisition Council (DAC), chaired by Defence Minister Manohar Parrikar, did not finalise the key chapter on strategic partnership, which the Minister said will be done in another couple of months.

Parrikar had then said the new blacklisting policy will also be issued separately next month and made it clear that there will be “no relaxation” for those who have already been blacklisted and “bribe givers” will be punished. The Minister had said that existing blacklisted firms will be allowed to appeal before a vigilance committee of the defence Ministry for delisting under the new policy. The Minister underlined, that procedure is only a small proportion of what has to be done. 

Many aspects of the DPP was already cleared by the DAC in February. This included a new category to acquire weapons – IDDM (Indigenously Designed, Developed and Manufactured).

The new DPP also allows the DAC to take a “fast-track” route to acquire weapons, something which was limited to only the armed forces till now.