Purchase Preference To Domestic Manufacturers Of Defence Products

In order to encourage ‘Make In India’ and promote manufacturing and production of goods and services in India with a view to enhancing income and employment, Department of Industrial Policy and Promotion (DIPP) has notified the Public Procurement (Preference to Make In India), Order 2017 on 15th June 2017. Nodal Ministries/Depratments have also been appointed for implementation of this Order. Department of Defence Production (DDP) has been appointed as the nodal Department for implementation of this Order with respect to procurement of all defence related items.

Based on this mandate DDP has so far notified 127 items/Category of items procured by Ordnance Factories and Defence Public Sector Undertakings with the stipulated percentages of local content for eligibility vide orders dated 29th June 2018, 26th July 2018, 27th August 2018, 16th November 2018, 01st May, 2019 and 20th February, 2020

Further, out of 127 items notified so far, 26 items have been notified vide order dated 21st May,2020 under clause 3a of PPP-MII Order,2017 dated 29.05.2019, wherein only local suppliers will be eligible to bid irrespective of the purchase value.

A brief description of some of these items can be seen here.

The Nodal officers ( in the DPSUs/OFB) responsible for implementation of the order is enclosed.