Defence Procurement Policy

Defence Procurement Procedure (DPP) 2016 focuses on institutionalizing, streamlining and simplifying defence procurement procedure to give a boost to “Make in India” initiative of the Government of India, by promoting indigenous design, development and manufacturing of defence equipment, platforms, systems and sub-systems.

  • Several initiatives have been taken to promote greater participation of industry which includes revision in Defence Procurement Procedures to introduce ‘Make-I’ and ‘Make-II’ processes, introduction of Strategic Partnership Model, increase in FDI through automatic route to 49%, restricting licensing requirements for critical items, de-notifying several items previously produced only by OFBs for production by industry etc.

Objectives

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