The authorisation and holding of army’s equipments is as per operational requirement of the Indian Army. Modernisation of the Armed Forces is a continuous process undertaken to keep the Forces in a state of readiness to meet operational and security challenges. The modernisation projects are progressed as per approval of Services Capital Acquisition Plans and Annual Acquisition Plans in terms of extant Defence Procurement Procedure (DPP). Based on the allocation of funds under Budget Estimates / Supplementary / Revised Estimates, sufficient funds are made available to meet the critical requirements of Services including Army. The allocated funds are optimally and fully utilised towards operational activities.
DPP-2016 focuses on institutionalizing, streamlining and simplifying defence procurement procedure to give boost to ‘Make in India’ initiative of the Government, by promoting indigenous design, development and manufacturing of defence equipment, platforms, systems and sub-systems. During the last three years and current year (up to October, 2018), 121 contracts have been signed with the Indian vendors.
This information was given by Raksha Rajya Mantri Dr. Subhash Bhamre in a written reply to Shri Derek O’Brien in Rajya Sabha today.