Defence Ministry Unveils DPM 2025 to Speed Up Armed Forces Procurement and Boost Self-Reliance

Delhi desk: The Ministry of Defence on Sunday, September 14, 2025, unveiled the Defence Procurement Manual (DPM) 2025, a revamped framework aimed at simplifying, rationalising, and speeding up the revenue procurement process for India’s armed forces. The initiative seeks to ensure timely availability of essential resources without delays.

According to an official statement, the DPM 2025 provides comprehensive guidelines for all revenue-related procurements in the Defence Ministry, which are expected to total around ₹1 lakh crore in the current fiscal year.

The Ministry highlighted that the updated manual will promote better coordination among the three Services, ensuring swift decision-making and maintaining optimal military preparedness. “It will also guarantee the timely supply of required resources at appropriate costs,” the statement said.

Key Features of DPM 2025:

Boosting Self-Reliance: The manual supports India’s Aatmanirbhar Bharat vision by encouraging innovation, indigenisation, and domestic production of defence items and spares in collaboration with public and private sector companies, as well as academia.

Modernisation and Ease of Doing Business: It aligns with contemporary public procurement practices, leveraging technology to ensure transparency, fairness, and accountability.

Supplier-Friendly Provisions: During the development phase, suppliers will not incur Liquidity Damages (LD). Once a prototype is developed, a minimum LD of 0.1% will be applied, with a maximum of 5%, rising to 10% only in case of severe delays. This encourages suppliers to meet deadlines without fear of heavy penalties.

Guaranteed Orders: Suppliers are assured of receiving orders in specific quantities, reducing uncertainty and promoting confidence.

Decentralised Decision-Making: Financial authorities at field and lower levels can approve procurements quickly, reducing file movement between higher offices and ensuring timely payments.

The DPM 2025 was released after approval by Defence Minister Rajnath Singh and replaces the previous manual issued in 2009. The updated guidelines aim to make India’s armed forces procurement more efficient, accountable, and self-reliant, keeping pace with the demands of modern warfare.