Explained: Draft DAP-2026 and India’s Defence Procurement

Explained: Draft DAP-2026 and India’s Defence Procurement

India’s Draft Defence Acquisition Procedure-2026 signals a decisive shift from localisation to technology ownership, faster procurement, and mainstreamed innovation. ABC Live explains how the draft could reshape defence procurement.

New Delhi (ABC Live): Today, the Department of Defence, Ministry of Defence, Government of India, has released the Draft Defence Acquisition Procedure-2026 (Draft DAP-2026) for public consultation and has invited comments and suggestions from stakeholders before it is finalised and officially adopted. Once notified, it is intended to replace the Defence Acquisition Procedure-2020 and guide India’s defence capital procurement for the coming decade.

Why This Consultation Is Not Routine

This consultation is not routine. Instead, it directly affects how India equips its armed forces, how public funds are deployed, and how technological sovereignty is built. In practical terms, the draft DAP-2026 could shape military readiness, industrial growth, and defence exports up to the horizon of Viksit Bharat-2047.

ABC Live’s Role as a Public Stakeholder

As a public stakeholder, ABC Live therefore undertakes a close and critical examination of the draft DAP-2026. Accordingly, this report compares the draft with DAP-2020 so that industry participants, researchers, policy professionals, and—most importantly—citizens of India can clearly understand what is proposed, why it matters, and where improvements may still be required.

Lessons from the DAP-2020 Experience

Over the past decade, India has attempted to reduce its dependence on defence imports by prioritising indigenous manufacturing. DAP-2020 supported this shift and created an institutional preference for Indian vendors. However, experience revealed persistent challenges. Acquisition cycles remain long. Technologies often become obsolete before induction. Moreover, innovation continues to struggle to scale beyond prototypes.

What the Draft DAP-2026 Seeks to Change

Against this backdrop, the draft DAP-2026 proposes a deeper transformation. Specifically, it seeks to move the focus from manufacturing location to ownership of design and intellectual property. At the same time, it treats software and data as weapons. Furthermore, it recognises that speed is now as important as cost. Additionally, it links defence acquisition more closely with industrial scaling, MSME participation, skilling, and exports.

The Real Test: Execution

Yet, ambition alone is not enough. Ultimately, success will depend on institutional capacity, accountability, and disciplined execution.

Explainer Box | Why This Consultation Matters for Citizens

  • Defence procurement involves public expenditure running into lakhs of crores.
  • Acquisition quality directly affects soldier safety and operational effectiveness.
  • Strong indigenisation builds domestic jobs and high-technology industries.
  • Weak procedures increase delays, costs, and dependence on imports.

In short: Citizen feedback can directly influence how the final DAP-2026 is shaped and how India builds long-term national power.

Why the Draft DAP-2026 Matters Now

Modern warfare is increasingly multi-domain, software-defined, and fast-evolving. Artificial intelligence, autonomous systems, cyber operations, electronic warfare, space assets, and directed-energy weapons are already reshaping battlefields. Consequently, decade-long development cycles no longer fit operational reality.

Therefore, the draft DAP-2026 proposes fast-cycle procurement protocols, spiral development of major platforms, and formal recognition of innovation pathways. Additionally, it proposes embedding exportability as a design consideration and emphasising retention of source codes, design data, and upgrade authority inside India.

DAP-2020 vs Draft DAP-2026 Scorecard (0–10)

Dimension DAP-2020 Draft DAP-2026
Strategic Clarity 6 9
IP & Design Sovereignty 5 9
Speed of Acquisition 4 7
Innovation Integration 5 9
Private Sector Enablement 6 8
MSME / Start-up Inclusion 5 8
Technology Lifecycle Alignment 4 9
Export Orientation 3 8
Transparency & Auditability 6 8
Ease of Doing Business 5 7

Composite Score
DAP-2020: 4.9 / 10
Draft DAP-2026: 8.2 / 10

What Changed Between DAP-2020 and Draft DAP-2026

1. From “Make in India” to “Owned by India”

  • DAP-2020: Emphasised indigenous manufacturing and assembly.
  • Draft DAP-2026: Centres procurement on ownership of design, source code, and IP.

Meaning: Control of technology becomes more important than location of manufacture.

2. Indigenous Design (ID) Becomes Enforceable

  • DAP-2020: ID concept existed but verification was light.
  • Draft DAP-2026: Detailed ID definition, mandatory undertakings, MoD verification within two years, penalties for false claims, and up to 15% price credit.

Meaning: ID shifts from declaratory to audit-grade compliance.

3. Indigenous Content (IC) Becomes Formula-Based

  • DAP-2020: Percentage declarations.
  • Draft DAP-2026: Financial formula (CBCP–CFC), tier-wise reporting, and batch-wise certification.

Meaning: Indigenisation becomes auditable and traceable.

4. Technology Readiness Level (TRL) Integrated into Planning

  • DAP-2020: TRL used sporadically.
  • Draft DAP-2026: TRL must be reflected in Annual Acquisition Plans and categorisation.

Meaning: Procurement aligns with technology maturity.

5. Long-Term Capability Planning Strengthened

  • DAP-2020: LTIPP and AAP.
  • Draft DAP-2026: 10-year ICDP + Technology Perspective Capability Roadmap (TPCR) + two-year rolling AAP.

Meaning: Industry gains clearer future visibility.

6. Fast-Cycle Technology Procurement Recognised

  • DAP-2020: No special regime.
  • Draft DAP-2026: Dedicated protocols for AI, cyber, drones, EW, etc., and spiral development.

Meaning: Obsolescence risk is formally acknowledged.

7. Innovation Becomes Mainstream

  • DAP-2020: iDEX and Make were peripheral.
  • Draft DAP-2026: iDEX, TDF, Make, and Service-internal development become mainstream acquisition paths.

Meaning: Innovation moves from pilot stage to production pipeline.

8. Export Orientation Added

  • DAP-2020: Exports largely outside DAP.
  • Draft DAP-2026: Exportability becomes a desirable QR.

Meaning: Platforms are designed for foreign markets from inception.

9. Low-Cost Capital Acquisition (LCCA) Introduced

  • DAP-2020: No LCCA category.
  • Draft DAP-2026: Up to ₹75 crore per project; ₹2,000 crore annual cap.

Meaning: Encourages exploit-first, scale-later procurement.

10. Quality Assurance Philosophy Shifts

  • DAP-2020: Government inspection heavy.
  • Draft DAP-2026: Self-certification and third-party QA with audits.

Meaning: Speed increases, but safeguards become essential.

Risk Heat Map (0–100)

Risk Area Score Risk Level
Institutional Capacity 70 High
Trial & QA Reform 75 High
Compliance Burden on MSMEs 72 High
Digital Readiness 60 Medium
Vendor Misreporting 65 Medium
Budget Predictability 55 Moderate

Execution Probability Model

If the draft DAP-2026 is adopted largely in its current form and supported by parallel institutional reform, the estimated execution probability is approximately 74%.

What the Draft DAP-2026 Gets Right

  • Proposes a shift from localisation to IP ownership
  • Mainstreams innovation into procurement pathways
  • Recognises obsolescence as a core acquisition risk
  • Links defence procurement with exports and industrial scaling

Where Caution Is Needed

  • Committee-heavy governance structures remain
  • Verification and compliance burdens are high
  • Statutory timelines are limited

Suggestions and Comments on Draft DAP-2026

While the Draft DAP-2026 represents a significant conceptual advance, certain refinements can further strengthen its effectiveness, credibility, and implementability.

1. Introduce Statutory Timelines Across Key Stages

Prescribe binding timelines for AoN, trials, and contract finalisation, along with deemed-approval mechanisms where delays are not attributable to vendors.

Why: Predictability improves industry confidence and reduces cost escalation.

2. Create a Dedicated Indigenous Design (ID) Verification Authority

Establish a permanent, time-bound ID Verification Cell within MoD with standardised checklists and digital tracking.

Why: Prevents prolonged uncertainty and post-contract disputes.

3. Provide Compliance Support for MSMEs and Start-ups

Create hand-holding cells, simplified templates, and subsidised certification support.

Why: Ensures inclusion does not remain only on paper.

4. Guarantee Scaling Pathways for Successful Innovation Projects

Provide minimum assured procurement quantities or framework contracts for successful iDEX, Make-I, and TDF projects.

Why: Innovation without assured offtake discourages private risk-taking.

5. Strengthen Trial and Quality Assurance Reform Safeguards

Accredit third-party QA agencies, mandate random government audits, and impose strict penalties for false certification.

Why: Speed must not dilute operational reliability.

6. Publish Annual Defence Acquisition Performance Reports

Publish public data on timelines, category-wise outcomes, and indigenisation achievements.

Why: Transparency drives accountability.

7. Integrate All Acquisition Interfaces into a Single Digital Window

Create one portal for vendor registration, IC/ID certification, contract management, and payment tracking.

Why: Fragmented systems undermine ease of doing business.

8. Build Procurement Human Capital

Create a specialised acquisition cadre with continuous training in AI, cyber, EW, and systems engineering.

Why: Policy sophistication must be matched by human capacity.

Strategic Bottom Line

DAP-2020 helped build India’s defence manufacturing base.
The draft DAP-2026 proposes laying the foundation for India’s defence technology state.

If refined carefully through stakeholder consultation and supported by strong institutional reform, the draft can become transformative. However, if legacy procurement culture persists, it risks remaining an ambitious draft with limited real-world impact.

ABC Live Editorial Note

This analysis is based on a close reading of the Draft Defence Acquisition Procedure-2026 and a structured comparison with DAP-2020, undertaken to support informed public participation during the consultation process.

Also, Read ABC Live Reports

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