New Delhi: Defence Secretary Rajesh Kumar Singh outlines plans to accelerate defence procurement, restructure the Defence Research and Development Organisation (DRDO) and expand private-sector participation, identifying an annual $20–25 billion opportunity for domestic industry over the next decade. Speaking at the Society of Indian Defence Manufacturers (SIDM) annual conference in New Delhi on October 9, Singh says major acquisition programmes are being processed at the highest levels, with some contracts potentially reaching the signing stage before the end of 2026.
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On procurement, Singh identifies the Multi-Role Fighter Aircraft (MRFA) programme and other major acquisitions among the proposals under consideration. He stresses that established procedures must be followed to preserve accountability and avoid legal or institutional challenges. The government is also pursuing reforms to the Defence Acquisition Procedure (DAP), with final approval targeted before the end of the year. The proposed changes aim to simplify procedures and reduce delays in field trials, evaluations and cost negotiations.
A central element of the proposed reforms is to refocus DRDO on research and development rather than routine manufacturing or systems integration. Singh says clearer roles and responsibilities are being introduced, while production responsibilities are expected to shift towards industry, except in specialised strategic areas where alternatives are unavailable. The government also plans to transfer technology for conventional missile systems to private industry for commercial production by November 2027.
The restructuring also involves rationalising DRDO’s laboratory network, with recommendations pointing towards consolidation into approximately 33–35 core research centres to reduce duplication and improve focus. Singh highlights talent recruitment and accountability for project timelines as additional priorities, while acknowledging DRDO’s contributions to strategic programmes and indigenous defence technology.
For industry, Singh estimates an annual defence budgetary outlay of around $20–25 billion over the next decade, with 75% of capital procurement earmarked for domestic sources. He encourages public-sector companies, private manufacturers, start-ups and MSMEs to work as industry partners rather than isolated suppliers. Private industry currently accounts for approximately 24% of India’s defence production, and the government wants to move towards a more balanced partnership, with a larger private-sector contribution.
The policy direction signals a broader effort to connect defence research, procurement and manufacturing into a more responsive domestic ecosystem. Its success will depend on whether procedural reforms translate into faster contract awards, timely project delivery and meaningful technology transfer, while allowing Indian companies to scale production and compete in global defence supply chains.
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