Connect with us

World

Indian Defence Procurement Policy Set To Boost Indigenous Industry

Published

on

Indian Defence Ministry’s acquisition council gave approval to the significant changes in the Indian Defence Procurement Procedure (DPP)-2016 to make defence procurement easy and industry-friendly.

In a major change, the submission of bank guarantees from Indian private sector banks authorised by RBI in addition to all public sector banks has been approved. The Defence Ministry told that this move will cut overhead costs of seller incurred while obtaining these guarantees from banks and enable active financial transactions.

Another significant change is the simplification of the best price determination process in which the latest government policies on GST and customs duties have now been taken into consideration to decide the lowest bidder.

The move offers Indian vendors an advantage in terms of duty as compared to foreign bidders. The rules were last revised in May last year. The Defence Acquisition Council also approved managing the date of delivery with the date of advance payment instead of date of the contract.

“This entails that the seller has adequate mobilisation of funds available to him to commence production and ensure delivery on schedule,” the Ministry said.

Changes have also been made to simplify “unwieldy aspects” of the procedure such as devolution of approval and vetting of reports. “These measures are set to provide further impetus to the indigenous defence industry in the country as also encourage foreign industry to manufacture in India,” Ministry added.

More News at EurAsian Times

Advertisement
Advertisement

Facebook

FEATURED

INDIA-CHINA INDIA-CHINA
Expert Reviews44 mins ago

‘Hot Winters’ Ahead – China Says PLA Needs To Teach A Harsh Lesson To ‘Insincere’ India – Analysis

The portents of war between China and India seem to be getting more and more darker by every passing day....

SAAB-GRIPEN SAAB-GRIPEN
Featured7 hours ago

SAAB Delivers Gripen-E Jets To Brazil; Offers ‘Exceptional Deal’ To The Indian Air Force

With India’s new FDI model under the new indigenization drive, SAAB has seen it as a lucrative offer and is...

F-35-INDIA F-35-INDIA
Europe8 hours ago

After Rafale Jets, This Air Force Wants Stealth F-35s That Was Once Meant For Turkey?

While some recent reports indicated that with the arrival of F-35s, UAE cold shed some of its F-16s and sell...

j20-vs-tejas j20-vs-tejas
Asia Pacific9 hours ago

Taiwanese Expert Says ‘Bathrooms Best Place To Hide’ During Chinese Air Raids, Missile Attack

As tensions between China and Taiwan are only increasing day by day, former Ministry of Defense advisor Sung Chao-wen on...

SU-30-MKI SU-30-MKI
Featured12 hours ago

Indian SU-30 MKI Jets Loaded With BrahMos Missiles Practice Hitting Chinese Assets Far Away From Ladakh

Soaring tensions between India and China in Ladakh has seen both the sides deploying thousands of troops, heavy artillery and...

China-and-India China-and-India
Asia Pacific12 hours ago

India-China War Highly Unlikely; Beijing Only Testing Indian Resilience – Experts

India-China War: The joint statement following the meeting said that ministers had a “frank and constructive discussion on the developments...

imran-khan imran-khan
Featured13 hours ago

India, Pakistan Clash At UNGA – Indian Diplomat Walks Out As Imran Khan Goes All-Out Over Kashmir

India strongly reacted to Pakistan PM Imran Khan's speech at UNGA calling it a 'diplomatic low'. India's envoy to the...

J-10VSF-16 J-10VSF-16
Featured22 hours ago

Next US Intervention In Taiwan & There Would Be No Taiwan – China

Amid suggestions for the United States to deploy its troops to Taiwan, Chinese military experts have warned that any such...

JARED-KUSHNER JARED-KUSHNER
Americas22 hours ago

Donald Trump Or Jared Kushner: Why Son-In-Law Kushner Is A Deserving Candidate For The Nobel Peace Prize Over Trump?

Having brokered the historic normalisation accord between the United Arab Emirates (UAE) and Israel, US President Donald Trump has been...

SU-30 SU-30
Featured1 day ago

Despite Rafale Jets, Why Su-30s Will Remain The Most Powerful Fighters In The Whole Of Asia?

Russia has won many hearts in India and China with its Sukhoi Su-30SM fighter jets, however, owing to the massive...

Advertisement