‘Make’ procedure under new DPP has been simplified

New Delhi, May 7 (KNN) The ‘Make’ Procedure in the new Defence Procurement Policy 2016 has been simplified with provisions for earmarking projects not exceeding development cost of Rs.10 crore (Government funded) and Rs.3 crore (industry funded) for MSMEs, Minister of State for Defence Rao Inderjit Singh has said.

In 2014-15, the total procurement of defence equipment for the three services from the foreign sources and Indian sources was of Rs 77986.32 crore, out of which Rs 29159.69 crore was from foreign vendors while Rs 48826.63 was from Indian vendors.

In 2015-16, the total procurement was of Rs 76169.57 crore, out of which Rs 26190.46 crore was from foreign vendors and Rs 49979.11 crore was from Indian vendors.

The Defence Production Policy, aims at achieving substantive self-reliance in the design, development and production of equipment, weapon systems, platforms required for defence in as early a time frame possible; creating conditions conducive for the private industry to take an active role in this endeavour, enhancing potential of SMEs in indigenisation and broadening the defence R&D base of the country, Singh said

Indigenous manufacturing of defence equipment is encouraged by the Government through several policy measures, he added.