India begins Review of Defence Procurement Procedure (DAP 2020): New Delhi, India – In a move signalling a determined push for efficiency and self-reliance, India’s Ministry of Defence (MoD) has launched a comprehensive review of its critical Defence Acquisition Procedure (DAP) 2020. This significant undertaking, initiated under the banner of 2025 being declared the ‘Year of Reforms’, aims to meticulously align the nation’s defence procurement mechanisms with broader government policies, particularly those championing indigenous capabilities and streamlined processes.
The announcement comes amidst long-standing concerns over the protracted timelines, complex bureaucracy, and often exorbitant costs associated with equipping India’s armed forces. The Defence Acquisition Procedure, the foundational rulebook governing all military purchases, has historically been a labyrinthine document, frequently amended but seldom fully liberating the procurement cycle from its inherent complexities.
A Committee Formed, Expertise Engaged
To navigate this intricate task, the MoD has constituted a high-level committee, spearheaded by the Director General (Acquisition). This panel comprises senior officials from the Ministry of Defence, alongside vital representatives from the defence industry and academia – a collaborative approach that underscores the government’s intent to gather diverse perspectives. In a strategic appointment, former IAS officer Apurva Chandra, who previously served as DG (Acquisition), has been named the Principal Advisor to the Committee, bringing invaluable institutional knowledge to the review process.
The committee has wasted no time, commencing consultations and actively inviting suggestions from all stakeholders. These crucial inputs are to be submitted by July 5, 2025, a tight deadline reflecting the urgency attached to these reforms.
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Beyond Bureaucracy: The Aims of the Review
The stated objectives of the DAP review are ambitious and multifaceted, extending beyond mere procedural tweaks to fundamentally reshape India’s defence industrial base:
Timely Modernisation for National Security: At its core, the review seeks to drastically cut down procurement timelines, ensuring the Armed Forces receive necessary equipment and technologies without debilitating delays. This is paramount for maintaining national security in a dynamic geopolitical environment.
Aligning with Government Directives: The revised DAP aims to be a cornerstone for broader government initiatives, especially ‘Aatmanirbharta’ (Self-Reliance). This involves:
Promoting Indigenous Technology: Driving the development and infusion of technology through locally designed and developed systems, reducing reliance on foreign vendors.
Boosting ‘Make in India’: Facilitating defence manufacturing within India by encouraging joint ventures, enabling seamless transfer of technology for the private sector, and attracting foreign Original Equipment Manufacturers (OEMs) through aligned Foreign Direct Investment (FDI) policies. The ultimate vision is to establish India as a global hub for defence manufacturing and Maintenance, Repair, and Overhaul (MRO).
Fostering Design & Development: Cultivating a robust ecosystem for defence innovation in both public and private sectors, with a particular emphasis on empowering startups, innovators, and the private defence industry to contribute to indigenous technology development.
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Defence Procurement Maze: India’s Enduring Challenge
India’s journey towards defence self-reliance has been fraught with challenges, largely due to a procurement framework often described as cumbersome and opaque. Decades of experience reveal a pattern of delays stemming from several systemic issues:
Bureaucratic Red Tape: The multi-layered approval processes, involving numerous committees, inter-ministerial consultations, and clearances, can stretch procurement cycles over several years, sometimes even a decade or more. Each stage, from Acceptance of Necessity (AoN) to contract signing, is prone to extensive scrutiny and delays.
Complex Procedural Rules: The sheer volume and intricate nature of rules within previous DAPs often led to confusion, misinterpretation, and a cautious approach by officials, fearing accountability. This ‘decision paralysis’ frequently resulted in projects getting stuck in procedural quagmires.
Protracted User Trials: A significant bottleneck has been the extensive and often repeated user trials of equipment. Issues arise from changing Qualitative Requirements (QRs) mid-process, difficulties in replicating trial conditions, and sometimes differing opinions among user services, leading to indefinite postponements.
Cost Escalation: The direct consequence of these delays is substantial cost escalation. What begins as a budgeted project often ends up far exceeding its original estimate due to inflation, currency fluctuations, and the sheer time lag.
Impact of Blacklisting Policies: While intended to deter corruption, rigid blacklisting policies in the past have at times inadvertently narrowed the field of potential vendors, stifling competition and limiting access to cutting-edge technology.
Lack of Long-Term Planning and Funding: Inconsistent long-term defence planning, coupled with fluctuating annual budget allocations, can disrupt procurement schedules and force last-minute adjustments, further contributing to delays.
Technology Transfer Hurdles: Even when foreign platforms are acquired, securing complete and effective transfer of critical technologies to Indian entities remains a persistent challenge, often due to stringent regulations from supplier nations or complex commercial negotiations.
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Seeking Solutions: Areas for Suggestion
The current review specifically invites stakeholders to address these pain points. Suggestions are sought on:
Streamlining Acquisition Processes: This includes simplifying categorisation, enhancing the ease of doing business for defence companies, reforming the conduct of trials, improving post-contract management, implementing truly effective Fast Track procedures, and integrating new technologies like Artificial Intelligence (AI) into procurement.
Language Improvements: A crucial aspect is to eliminate ambiguity, rectify inconsistencies, and bolster procedural clarity within the DAP document itself, making it easier to understand and implement.
Other Relevant Issues: The committee has also opened the floor for any other pertinent concerns that, if addressed, could significantly enhance India’s defence acquisition framework.
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A Critical Juncture for India’s Defence
This comprehensive review marks a pivotal moment for India’s defence ecosystem. If successfully implemented, the revised DAP 2020 could be instrumental in untangling the bureaucratic knots that have historically impeded military modernization. It represents a strong intent from the government to not only expedite the equipping of its armed forces but also to fundamentally transform India into a self-reliant defence powerhouse, capable of meeting its own needs and emerging as a significant global player in defence manufacturing and innovation. The coming months will reveal whether these ambitious reforms can truly deliver on their promise.
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