Leveraging emergency procurement power, Indian Army invests Rs 7,300 crore in indigenous weaponry
An array of equipment has been predominantly ordered from the private sector. This encompasses drone and counter-drone systems, armaments, simulators, communication systems, and vehicles, as reported by individuals within the defense establishment.
In response to the border threat from China, the Indian Army has invoked its emergency purchase authority, securing weapon systems worth Rs 7,300 crore from domestic manufacturers.
Furthermore, contracts worth Rs 7,000 crore are on the verge of being finalized and are expected to be formally executed in the coming weeks.
The procurement primarily encompasses items sourced from the private sector, encompassing an array of equipment such as drones and counter-drone systems, armaments, simulators, communication systems, and vehicles. This information is sourced from officials within the defense establishment.
An insider from the defense establishment disclosed, “We have already sanctioned contracts for 49 initiatives totaling Rs 7,600 crore, and an additional 34 initiatives amounting to Rs 7,000 crore are presently in the advanced stages of procurement.”
The source also emphasized that the trials and selection procedures were conducted in close partnership with the industry.
The assortment of procured systems encompasses a range of items, such as logistical and nano drones, counter-drone systems, loiter munitions, precision-guided missiles launched from unarmed aerial vehicles, and automated spectrum monitoring systems.
In a development from last year’s August, the Defence Acquisition Council conferred the armed forces with the mandate to acquire equipment worth up to Rs 300 crore through the emergency clause.
These emergency authorities served to complement the extended procurement procedures that often extended over multiple years.
As a result, the armed forces were endowed with the ability to accelerate equipment acquisitions up to Rs 300 crore, with the stipulation that the deployment occurred within a year to address immediate needs. These emergency powers had been previously invoked by the armed forces on two occasions, notably during the Galwan crisis in 2020 and subsequent to the Balakot air strikes.
Nonetheless, marking a notable departure from prior protocols, the existing emergency powers are exclusively designated for contracts made with Indian enterprises. The majority of the issued orders, including those that are on the verge of completion, have been procured from the Indian private sector.
In the initial three installments of emergency procurement, a total of 68 initiatives amounting to Rs 6,600 crore were successfully executed.
Historically, the armed forces have issued emergency requisitions for critically needed items, which have encompassed items like loitering munitions, air-to-ground bombs, assault rifles, anti-drone systems, and drones optimized for border operations.
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