The Ministry of Defence (MoD) has launched a comprehensive review of its procurement procedures, aiming to streamline acquisition timelines and foster a more business-friendly environment for the private sector.

This strategic initiative, spearheaded by Defence Minister Rajnath Singh, underscores the government’s commitment to strengthening India’s defence manufacturing ecosystem and enhancing operational readiness of the armed forces.

A special committee, led by the Director General (Acquisition), has been constituted to undertake extensive consultations with all stakeholders—including senior MoD officials, industry representatives, and members of academia.

The committee’s mandate is to recommend transformative changes to the existing Defence Acquisition Procedure (DAP), with the goal of ensuring timely and efficient acquisitions. Former DG (Acquisition) Apurva Chandra has been appointed as the principal advisor to the committee, bringing valuable expertise to the process. The committee has called for suggestions from stakeholders by July 5, 2025, reflecting an inclusive and participatory approach.

One of the primary challenges the armed forces have faced is the protracted procurement process, which typically takes two to three years to complete due to rigorous checks, extensive testing, and prolonged commercial negotiations. In contrast, the recently introduced Emergency Procurement (EP) procedure has demonstrated the benefits of expedited acquisitions, enabling equipment to be ordered within weeks and delivered within a year—a significant improvement over previous timelines.

The proposed overhaul is expected to introduce a fast-track procurement mechanism, potentially reducing the selection and ordering process to under six months. This would provide a substantial boost to the defence industry, which depends on swift orders and deliveries to maintain business momentum. 

The revised procurement framework will also prioritize the infusion of indigenous technology, support the Make in India initiative through joint ventures and technology transfers, and encourage foreign direct investment (FDI) by global defence manufacturers.

Additionally, the committee’s terms of reference include positioning India as a global hub for defence manufacturing and Maintenance, Repair, and Overhaul (MRO) services. By promoting innovation, facilitating public-private partnerships, and attracting international investment, the MoD aims to elevate India’s stature in the global defence sector.

The defence ministry’s proactive review and planned overhaul of procurement rules represent a pivotal step towards modernizing India’s defence acquisition process, empowering the private sector, and advancing the nation’s goal of self-reliance in defence production.

Agencies