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MoD slashed timelines for some processes in procurement cycle, saved 69 weeks: Defence Secretary
MoD slashed timelines for some processes in procurement cycle, saved 69 weeks: Defence Secretary

Mint

timea day ago

  • Business
  • Mint

MoD slashed timelines for some processes in procurement cycle, saved 69 weeks: Defence Secretary

Defence Secretary Rajesh Kumar Singh said that the Ministry of Defence (MoD) has significantly reduced timelines for key military equipment procurement processes as part of major reforms to improve efficiency and promote India's goal of 'Aatmanirbharta' in the defence sector, according to an official release. Speaking at a defence conclave in the national capital on Friday, Singh stated that the decision will save an overall 69 weeks, noting that the Defence Acquisition Procedure (DAP) 2020 is being revisited to reflect current realities, shifting from the traditional nomination-based cost-plus procurement to a competitive pricing model where both public and private sectors can vie for orders. This approach is already being implemented for shipbuilding and recently for the AMCA project, he added. Singh's statement came amid concerns raised by Chief of Air Staff, Air Chief Marshal AP Singh, during his address at the CII Annual Business Summit 2025 on Thursday, where he highlighted ongoing delays in defence projects, unrealistic timelines, and their adverse effect on operational readiness. Air Chief Marshal pointed at the recurring pattern of delays in project execution and criticised the practice of committing to unachievable deadlines in the context of the reported ongoing challenges with projects like the delivery of the aircraft. Singh emphasised the critical role of self-reliance in preserving India's strategic autonomy and achieving the vision of Viksit Bharat while urging private industries to invest heavily in research and development (R&D) and capital equipment to strengthen the domestic defence ecosystem. Deliberating upon India's Defence Vision, Defence Secretary Rajesh Kumar Singh said that it centres around Aatmanirbharta for preserving the strategic autonomy of the country. It is also critical in achieving the broader goal of Viksit Bharat, such as expanding our GDP from the current 4 Trillion Dollars to 32 Trillion Dollars by 2047, growing our manufacturing sector, enhancing India's start-up culture and widening our industrial base, generating employment and also its spin-off benefits that come from the dual use of technology. He underscored the impact of indigenisation over the past decade, stating that India has transitioned from being the top importer in 2015 to becoming one of the top 25 exporters today. Over 100 Indian companies are now exporting to 100-plus countries. The list of products includes missiles such as Brahmos, rocket launchers like Pinaka, simulators, armoured vehicles, the Dornier aircraft, different types of ships, offshore patrol vessels, etc. The upsurge in exports can be gauged from the fact that our exports have grown 30 times in the last ten years to ₹ 23,622 crores in the last financial year. Our defence industry today includes 16 Defence PSUs, 430 licensed companies and approximately 16000 MSMEs. Domestic defence sales also increased from ₹ 43746 crores in 2014 to ₹ 127000 crores in 2023-24. Singh also highlighted record achievements in the financial year 2024-25, noting that the MoD has completely utilised the defence modernisation budget for the first time in the past five years and signed contracts worth a record ₹ 2 lakh crores during the last financial year, which is the highest ever achieved and double that of the figures for 2023-24. This would ensure that the armed forces' modernisation process keeps pace. It would also help the Ministry demand a higher share in the union budget, leading to a minimum defence to GDP ratio of 2.5 per cent in five years as a first step and thereafter to 3 per cent in the medium term.

MoD slashes timeline to procure weapons
MoD slashes timeline to procure weapons

Hindustan Times

timea day ago

  • Business
  • Hindustan Times

MoD slashes timeline to procure weapons

The government is taking steps to shorten the weapon procurement cycle to accelerate the modernisation of the armed forces, defence secretary Rajesh Kumar Singh said, adding that the timelines have already been cut by more than a year. Speaking at a defence conclave on Friday, Singh said that move will save 'about 69 weeks' and the Defence Acquisition Procedure 2020, the document that spells out the procurement process, is being revisited to reflect current realities. 'The defence ministry has already, in the year of reforms, slashed the timelines for some of the processes in the procurement cycle. This would save about 69 weeks overall in the process timeline.' 'There is a need to shift away from the traditional nomination-based procurement focused mostly on the public sector to a more competitive pricing model where both the public and private sector can compete for orders,' Singh said. He highlighted that the new approach is 'already being implemented for shipbuilding and recently for the AMCA (advanced medium combat aircraft) project'. The government on May 27 unveiled the plan to fast-track the development of AMCA — an indigenous fifth-generation stealth fighter — and announced that the execution model will be competitive and provide equal opportunities to public and private sector firms to participate in the project. The approval of the industry partnership model by defence minister Rajnath Singh came at a critical moment as state-run plane maker Hindustan Aeronautics Limited (HAL) — the sole manufacturer of fighter jets in the country — was so far believed to be the front-runner for the project. The model unlocks new possibilities for the local aerospace industry, including firms such as Tata Advanced Systems Limited, Larsen & Toubro, Adani Defence and Aerospace and the Mahindra Group. To be sure, HAL is still a strong contender for the project. The defence secretary said, 'Atmanirbharta (self-reliance) in defence is critical not only for preserving the strategic autonomy of the country, but also for achieving the broader goal of Viksit Bharat (developed India).' Measures such as shifting from cost-based pricing to competitive bidding, removing legacy aspects such as product reservation for public sector units and slashing procurement timelines by weeding out rigid and redundant procedures would lead to broadening and diversification of the defence industrial base, he said. The defence ministry has declared 2025 as the year of reforms aimed at transforming the military into a technologically advanced, combat-ready force capable of tackling new challenges. On May 29, the chief of the air staff Air Chief Marshal AP Singh put the spotlight on the armed forces' agonising wait for new weapons and systems, saying he could not recall a single instance of a project being executed on time. 'Timelines are a big issue,' he said, in his first public comments after the May 7-10 military confrontation with Pakistan under Operation Sindoor.

Defence Secy bats for competitive bidding, says Centre cut red tape to save up to 69 weeks
Defence Secy bats for competitive bidding, says Centre cut red tape to save up to 69 weeks

The Print

time2 days ago

  • Business
  • The Print

Defence Secy bats for competitive bidding, says Centre cut red tape to save up to 69 weeks

He revealed that the 'government has already cut timelines across multiple stages of the procurement process, potentially saving up to 69 weeks'. Speaking at the Confederation of Indian Industry (CII) Annual Business Summit held here Thursday and Friday, Singh emphasised the defence ministry's ongoing efforts to reduce procurement delays and implement structural reforms aimed at boosting private sector participation in the defence economy. New Delhi: Defence Secretary Rajesh Kumar Singh has stressed the need to move away from the traditional nomination-based, cost-plus procurement model—historically dominated by public sector undertakings (PSUs)—and adopt competitive bidding to create a level playing field for both public and private defence manufacturers. He added that the ministry is currently revising the Defence Acquisition Procedure (DAP) 2020 to better align with operational realities and expedite decision-making. Implementations of these reforms are underway in key programmes such as shipbuilding and the Advanced Medium Combat Aircraft (AMCA) programme. As ThePrint reported in March, the ministry had then approved a proposal to nearly halve procurement timelines—an initiative expected to feature in the updated DAP, anticipated later this year. Among changes under consideration are introduction of deemed licensing beyond a defined time frame to ensure accountability, removal of outdated practices such as product reservation for defence PSUs and streamlining of procedural bottlenecks that have historically slowed defence acquisitions. Defence Secretary Singh's comments come at a time when delays in defence production and delivery remain a pressing concern. Earlier at the same event, Air Chief Marshal A.P. Singh also alluded to these challenges, citing constant delays in defence projects and failure to stick to delivery schedules, especially of fighter jets. 'While signing the contract itself, sometimes we are sure that it is not going to come up, but we just sign the contract. Uske baad dekhenge kya karna hai (we'll see what to do about it later). Of course the process gets vitiated,' he said. This was a direct reference to the contract for the 83 Tejas Mk-1A contract signed in 2021, delivery of which is yet to begin. ThePrint had in 2021 reported that while the IAF signed the contract with state-owned HAL, the fear was that the delivery would not begin on time. The first aircraft was to be handed over to the IAF in February last year. While assuring the private sector of improved ease of doing business and a level playing field, the defence secretary further stressed the importance of long-term investments in research and development, saying that the future of India's defence sector will rest on the depth of its innovation capacity. He underlined that companies without adequate engineering manpower, capital equipment or willingness to invest in R&D would have limited relevance in the country's strategic ecosystem. Defence Research and Development Organisation (DRDO) chief Dr Samir V. Kamat, who also spoke before him at the summit, echoed these views, stating that both the government and private sector must increase their R&D outlays. 'Today, we spend 5 percent of our defence budget on R&D. The Raksha Mantri has promised that in the next five years, this will be scaled up to 10 percent,' he said. He further stressed that the private sector must also match this commitment by dedicating a similar proportion of their budgets to research. Further, Air Chief Marshal A.P. Singh, during his remarks urged the industry to voluntarily commit a tenth of their budgets to innovation. Drawing a parallel with the Sikh practice of 'dasvandh', the tradition of donating one-tenth of one's earnings for collective welfare, he said such a step was necessary to build credible self-reliance in defence. (Edited by Amrtansh Arora) Also Read: India used this battlefield hack to keep Soviet-era missile systems firing against Pakistan in Op Sindoor

MoD slashed timelines for some processes in procurement cycle, saving about 69 weeks: Defence Secretary
MoD slashed timelines for some processes in procurement cycle, saving about 69 weeks: Defence Secretary

India Gazette

time2 days ago

  • Business
  • India Gazette

MoD slashed timelines for some processes in procurement cycle, saving about 69 weeks: Defence Secretary

New Delhi [India], May 31 (ANI): Defence Secretary Rajesh Kumar Singh announced that the Ministry of Defence (MoD) has significantly shortened timelines for key processes in the military equipment procurement cycle as part of sweeping reforms aimed at boosting efficiency and advancing India's goal of 'Aatmanirbharta' in the defence sector, as per an official release. Speaking at a defence conclave in the national capital on Friday, Singh stated that the decision will save an overall 69 weeks, noting that the Defence Acquisition Procedure (DAP) 2020 is being revisited to reflect current realities, shifting from the traditional nomination-based cost-plus procurement to a competitive pricing model where both public and private sectors can vie for orders. This approach is already being implemented for shipbuilding and recently for the AMCA project, he added. Singh's remark followed serious concerns raised by the Chief of Air Staff and Air Chief Marshal AP Singh during his address at the CII Annual Business Summit 2025 on Thursday over persistent delays in defence projects, the systemic issue of unrealistic timelines, and their impact on operational readiness. Air Chief Marshal pointed at the recurring pattern of delays in project execution and criticised the practice of committing to unachievable deadlines in the context of the reported ongoing challenges with projects like the delivery of the aircraft. Singh emphasised the critical role of self-reliance in preserving India's strategic autonomy and achieving the vision of Viksit Bharat while urging private industries to invest heavily in research and development (R&D) and capital equipment to strengthen the domestic defence ecosystem. Deliberating upon India's Defence Vision, Defence Secretary Rajesh Kumar Singh said that it centres around Aatmanirbharta for preserving the strategic autonomy of the country. It is also critical in achieving the broader goal of Viksit Bharat, such as expanding our GDP from the current 4 Trillion Dollars to 32 Trillion Dollars by 2047, growing our manufacturing sector, enhancing India's start-up culture and widening our industrial base, generating employment and also its spin-off benefits that come from the dual use of technology. He underscored the impact of indigenisation over the past decade, stating that India has transitioned from being the top importer in 2015 to becoming one of the top 25 exporters today. Over 100 Indian companies are now exporting to 100-plus countries. The list of products includes missiles such as Brahmos, rocket launchers like Pinaka, simulators, armoured vehicles, the Dornier aircraft, different types of ships, offshore patrol vessels, etc. The upsurge in exports can be gauged from the fact that our exports have grown 30 times in the last ten years to Rs 23,622 crores in the last financial year. Our defence industry today includes 16 Defence PSUs, 430 licensed companies and approximately 16000 MSMEs. Domestic defence sales also increased from Rs 43746 crores in 2014 to Rs 127000 crores in 2023-24. Singh also highlighted record achievements in the financial year 2024-25, noting that the MoD has completely utilised the defence modernisation budget for the first time in the past five years and signed contracts worth a record Rs 2 lakh crores during the last financial year, which is the highest ever achieved and double that of the figures for 2023-24. This would ensure that the armed forces' modernisation process keeps pace. It would also help the Ministry demand a higher share in the union budget, leading to a minimum defence to GDP ratio of 2.5 per cent in five years as a first step and thereafter to 3 per cent in the medium term. (ANI)

MoD slashed timelines for some processes in procurement cycle, saving about 69 weeks: Defence Secretary
MoD slashed timelines for some processes in procurement cycle, saving about 69 weeks: Defence Secretary

Time of India

time2 days ago

  • Business
  • Time of India

MoD slashed timelines for some processes in procurement cycle, saving about 69 weeks: Defence Secretary

Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel New Delhi [India], May 31 (ANI): Defence Secretary Rajesh Kumar Singh announced that the Ministry of Defence (MoD) has significantly shortened timelines for key processes in the military equipment procurement cycle as part of sweeping reforms aimed at boosting efficiency and advancing India's goal of ' Aatmanirbharta ' in the defence sector, as per an official at a defence conclave in the national capital on Friday, Singh stated that the decision will save an overall 69 weeks, noting that the Defence Acquisition Procedure (DAP) 2020 is being revisited to reflect current realities, shifting from the traditional nomination-based cost-plus procurement to a competitive pricing model where both public and private sectors can vie for approach is already being implemented for shipbuilding and recently for the AMCA project, he remark followed serious concerns raised by the Chief of Air Staff and Air Chief Marshal AP Singh during his address at the CII Annual Business Summit 2025 on Thursday over persistent delays in defence projects, the systemic issue of unrealistic timelines, and their impact on operational Chief Marshal pointed at the recurring pattern of delays in project execution and criticised the practice of committing to unachievable deadlines in the context of the reported ongoing challenges with projects like the delivery of the emphasised the critical role of self-reliance in preserving India's strategic autonomy and achieving the vision of Viksit Bharat while urging private industries to invest heavily in research and development (R&D) and capital equipment to strengthen the domestic defence upon India's Defence Vision, Defence Secretary Rajesh Kumar Singh said that it centres around Aatmanirbharta for preserving the strategic autonomy of the country. It is also critical in achieving the broader goal of Viksit Bharat, such as expanding our GDP from the current 4 Trillion Dollars to 32 Trillion Dollars by 2047, growing our manufacturing sector, enhancing India's start-up culture and widening our industrial base, generating employment and also its spin-off benefits that come from the dual use of underscored the impact of indigenisation over the past decade, stating that India has transitioned from being the top importer in 2015 to becoming one of the top 25 exporters today. Over 100 Indian companies are now exporting to 100-plus countries. The list of products includes missiles such as Brahmos, rocket launchers like Pinaka, simulators, armoured vehicles, the Dornier aircraft, different types of ships, offshore patrol vessels, etc. The upsurge in exports can be gauged from the fact that our exports have grown 30 times in the last ten years to Rs 23,622 crores in the last financial year. Our defence industry today includes 16 Defence PSUs, 430 licensed companies and approximately 16000 MSMEs. Domestic defence sales also increased from Rs 43746 crores in 2014 to Rs 127000 crores in also highlighted record achievements in the financial year 2024-25, noting that the MoD has completely utilised the defence modernisation budget for the first time in the past five years and signed contracts worth a record Rs 2 lakh crores during the last financial year, which is the highest ever achieved and double that of the figures for would ensure that the armed forces' modernisation process keeps pace. It would also help the Ministry demand a higher share in the union budget, leading to a minimum defence to GDP ratio of 2.5 per cent in five years as a first step and thereafter to 3 per cent in the medium term.

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