Assess how procedural reforms in defence acquisition have furthered the goal of Aatmanirbharta in defence.

Aatmanirbharta in defence means meeting the armed forces' needs mainly from Indian design and production. Procedural reform has been one of its main tools: the Defence Acquisition Procedure (DAP) 2020 and later amendments now steer orders towards Indian industry. On 26 October 2026, the Defence Acquisition Council (DAC) granted Acceptance of Necessity (AoN) for proposals worth about Rs 2.12 lakh crore, with about 82% to be sourced from Indian industry [1]. Procedure has clearly moved demand towards India. Turning that demand into indigenous capability is still incomplete.

Reforms that furthered Aatmanirbharta

• Indigenous-first categorisation: DAP 2020 gives the top priority to "Buy (Indian-IDDM)", meaning equipment that is indigenously designed, developed and manufactured.
• Import as exception: Since 2022, buying from abroad needs specific approval from the DAC or the Raksha Mantri [2].
• Easier bidding for Indian firms: Earnest Money Deposit replaced the Integrity Pact Bank Guarantee for cases with AoN above Rs 100 crore. This lowered the financial burden on bidders [2].
• Positive Indigenisation Lists: These are import-embargo lists with fixed timelines. The 4th list alone covers 928 sub-systems and components [3].
• R&D support: The Technology Development Fund ceiling was raised to Rs 50 crore per project, opening R&D funding to MSMEs and start-ups [4].
• Result: Large AoNs now go mostly to domestic firms, which builds the order book for the industrial base [1].

Limitations

• Process delays: CAG found that each procurement case passes through 11 stages, and blamed delays on the multi-level approval process [5].
• Domestic delivery gaps: CAG flagged delays in supply by Defence PSUs [6]. An Indian supplier does not guarantee delivery on time.
• Persistent dependence: India was the second-largest arms importer in 2020–24. PRS notes three weak spots: limited presence in high-tech manufacturing, low R&D spending and quality concerns [7].
• Fiscal squeeze: Capital outlay is only about 29% of the 2026-27 defence budget, against the 40% ideal set by the Standing Committee on Defence [7].
• Sourcing vs content: The 82% figure measures where orders are placed, not the indigenous content of each item.

On balance, procedural reform has shifted defence demand decisively towards Indian industry, but it has not yet produced self-reliant capability. Time limits for each stage after AoN, firm delivery clauses in contracts, higher R&D spending and a larger capital share would turn these orders into timely, truly indigenous systems. That would advance Aatmanirbhar Bharat and the Standing Committee's vision of a modern, self-reliant military.