High-level committee to review defence procurement policies

New Delhi, Aug 17 (IANS) A 12-member high-level committee has been formed by the Union government to revise and align the procedure of Defence procurement with the aim of strengthening the 'Make in India' initiative.

The panel headed by the Director-General (Acquisitions) has been tasked to review the Defence Procurement Procedure (DPP) 2006 and the Defence Procurement Manual (DPM) 2009.

The DPP contains policies and procedures for procurement and acquisition from the capital budget of the Defence Ministry in order to modernise the Armed Forces including the Coast Guard. The DPM contains principles and procedures relating to procurement of goods and services for the Defence Services, organisations and establishments.

The panel will also include provisions in the policies in order to promote Indian start-ups and boost research and development.

Defence Minister Rajnath Singh has approved the constitution of the panel that has been given six months to submit its report of recommendations.

"The panel will revise and align the procedures with the aim of ensuring seamless flow from asset acquisition to life cycle support. The review panel will lay down policies to remove procedural bottlenecks and hasten defence acquisition. The primary task of the panel is to simplify policy and procedures to facilitate greater participation of indigenous industries and to develop a robust defence industrial base in the country," said a Defence Ministry official.

The panel will examine and incorporate new concepts, such as life cycle costing, life cycle support, performance-based logistics, Information Communication Technology (ICT), lease contracting, codification and standardisation, added the official.

Apart from the Director-General (Acquisitions), the panel also comprises 11 other members, not below the equivalent rank of Joint Secretary or Major General.