To Speed up Private Sector Project Plan, MoD Makes Key Changes

New Delhi: Taking note of the possible impact on supplies of spares and services due to the crisis arising out of Russian invasion of Ukraine, feedback from industry keen to enter the defence ecosystem and the ever increasing importance of self-reliance, the defence ministry has brought in key changes to simplify the contract negotiating process and procurement timelines. These changes will accelerate private sector led military design and development projects and lay the platform in signing of significant deals with Indian companies in near term.

According to officials, the five-month deadline for signing of a contract, if a private company led initiative to develop a defence system prototype has been deemed successful is a major change incorporated into procurement rules. This significantly reduces the gap between demonstrating a prototype to the armed forces and signing of a contract that exceeded two years earlier and often resulted in major losses and cancellations.

ads

Similarly, the process of signing the contract has also been simplified, with only five officials now deemed to be part of the contract negotiating committee, thus making clearances a less time consuming and smooth.

By reducing the number of trials required before accepting an industry developed weapon system into service, the ministry has now changed the rules to deem the user assisted trial as the final word, enabling placement of quick orders on the industry.

Another simplification has been to better define the technical specifications of the weapon systems sought by the armed forces. The ministry has now deemed that the Preliminary Staff Qualitative Requirement (PSQR) itself – drawn carefully to include all requirements — would be the final document as far as the industry is concerned, giving companies more clarity on the exact technical specifications desired by the armed forces.

More like this

GRSE Sustains Growth Momentum in Q1 FY27 with Rs 1815 Crore Revenue, Rs 173 Crore PAT

Kolkata: Garden Reach Shipbuilders & Engineers Limited (GRSE), a Navratna...

Seventh Mahe-Class Ani-Submarine Warfare Shallow Water Craft ‘Machilipatnam’ Launched

Kochi: Machilipatnam (BY 529), the seventh of eight Anti-Submarine...

US Congress Approves $500 Million Allocation for Taiwan Defence

New Taipei City: US President Donald Trump is still...

Pentagon Pushes for Cheaper Long-Range Strike Weapons

Washington: With the US running low on expensive guided...

US Central Command, UAE to Establish First Bilateral Artificial Intelligence Task Force

Washington: US Central Command and the United Arab Emirates...

Rosoboronexport Presents Latest Air-to-Air Missile for Su-57E Fighter Jets   

Moscow: Rosoboronexport (part of the Rostec State Corporation) is launching...

India Rules Out New Su-30MKI Variants, Focus on Fleet Modernisation

New Delhi: India has formally ruled out new Su‑30MKI...

Apollo Micro Systems Selected by IAF Under Make-II Category for Developing Indigenous IPREK

New Delhi: Apollo Micro Systems has been shortlisted by...
Indian Navy Special Edition 2025spot_img