The Ministry of Defence is set to implement a robust review and audit of military procurement processes, with a sharp focus on identifying and eliminating Chinese-origin components from equipment supplied to the Indian armed forces. This initiative is driven by growing national security concerns and aims to ensure both transparency and self-reliance in defence acquisitions.
A key element of this reform is the enlistment of an external consultant with expertise in cost and data analysis. The consultant’s mandate includes auditing the true extent of indigenous content in capital acquisition cases, as previous investigations have revealed that some vendors inflated claims of local content while significant portions of their systems originated from foreign—often Chinese—sources.
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The ministry will also assess whether any part of the systems being offered is sourced from countries sharing a land border with India, a clause that has been instrumental in excluding Chinese parts and technologies from defence platforms.
The issue is particularly acute in the domain of drones and anti-drone systems, where domestic companies have previously been found to use Chinese components, sometimes routed through third countries to obscure their origin.
Intelligence agencies have warned that such components could create critical vulnerabilities, potentially allowing adversaries to compromise communications, software, and operational security. The Defence Ministry has already issued advisories and initiated precautionary measures, urging industry stakeholders to avoid Chinese suppliers and adhere strictly to security standards.
Beyond content verification, the external consultant will help the ministry map vulnerabilities in supply chains for critical materials, monitor global dependencies, and conduct detailed cost analyses of procurement processes.
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This includes evaluating the valuation of patents and transfer of technology cases managed by the Defence Research and Development Organisation (DRDO), amid concerns that some private bidders have quoted unrealistically low prototype development costs—raising fears that excessive costs may ultimately be passed on to the end user.
These measures are part of a broader drive to expedite urgent acquisitions for the armed forces while safeguarding against hidden foreign dependencies and mitigating risks associated with global supply chain disruptions.
The ministry has set 2025 as a milestone year for these reforms, reflecting a strategic shift towards greater indigenisation and resilience in India’s defence manufacturing ecosystem.
Based On ET News Report
Agencies
