DRDO purchase norms go easy on startups

New Delhi, October 20

Defence Minister Rajnath Singh today released a new version of the procurement manual for the Defence Research and Development Organisation (DRDO) to facilitate the local defence industry.

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The aim is to encourage participation of the industry, including startups and micro, small and medium enterprises, in defence research under the “Atmanirbhar Bharat” initiative. “The new DRDO Procurement Manual will facilitate the indigenous Defence Industry by simplifying the processes and ensuring their participation in design and development activities,” Rajnath tweeted. The Defence Ministry said the manual aimed at facilitating faster execution of research and development projects. The modified features would allow the placement of order to the second lowest bidder in case the lowest bidder backs out.

There will be no negotiations for commercial off-the-shelf items and services wherever price is being decided through market forces. The internal procedures have been further simplified for faster engagement with the industry.