DEFENCE PROCUREMENT PROCEDURE 2016 CAPITAL PROCUREMENT

DPP-2016 has introduced specific provisions that will act as a growth stimulus to the domestic defence
industry. In order to promote indigenous design and development of defence equipment, DPP 2016 has
introduced the „Buy-IDDM‟ category of acquisition and accorded it the top most priority. For the first
time ever, provision to procure equipment with enhanced performance parameters, has been
accounted for – this will enable the armed forces procure the most advanced weapon systems available
in the market. DPP 2016 also provides greater impetus to the MSMEs, with certain category of „Make‟
projects reserved exclusively for them. There are also other provisions and procedural measures that
have been introduced to make the procurement process more efficient and effective.
Ministry of Defence (MoD) is determined to treat DPP 2016 as a dynamic and an evolving document and
is committed to making improvements based on emerging data and anecdotal evidence, to realize the
vision of „Make in India‟ in the defence sector