On August 17, 2019, Defence Minister of India, Shri Rajnath Singh has approved the formation of 12-member high-level committee, headed by the Director-General (Acquisitions), Apurva Chandra, to revise and align the procedure of Defence procurement with the aim of strengthening the ‘Make in India’ initiative.
Key points:
i. Task: The committee has been tasked to review the Defence Procurement Procedure (DPP) 2006 and the Defence Procurement Manual (DPM) 2009.
ii. Time-limit: The high-level panel has been given 6 months to submit its report of recommendations.
iii. TOR: Terms of Reference(TOR) of the Committee include,
- To revise and align the procedures as given in DPP 2016 and DPM 2009& lay down policies to remove procedural bottlenecks and accelerate defence acquisition.
- To simplify policy and procedures to facilitate greater participation of the Indian Industry and develop robust Defence Industrial base in India.
- To examine and include new concepts, such as life cycle costing, life cycle support, performance-based logistics, Information Communication Technology (ICT), lease contracting, codification and standardization.
- Incorporation of new provisions to boost Indian start-ups and research & development.
DPP 2006: It comprises policies & procedures for procurement and acquisition from the capital budget of the Defence Ministry aims at modernizing Armed Forces including the Coast Guard.
DPM 2009: It contains principles & procedures for procurement of goods and services for the Defence Services, organizations and establishments.
About Ministry of Defence:
Formation: 15 August 1947(as Ministry of Defence)
Headquarters: New Delhi