In order to promote indigenous manufacturing, the arms and ammunition sector has been opened to the private industry. Further, in order to facilitate ‘Ease of doing Business’, several steps have been taken by the Government in this regard, including, inter alia, grant of lifetime validity of Manufacturing license for arms and ammunition, permitting Initial Public Offering (IPO) in arms and ammunition manufacturing sector, and removing the necessity for prior permission for enhancement of annual production capacity in a manufacturing plant.

As a result of regular interaction with all stakeholders, including private domestic manufacturers of weapons, Directorate General of Quality Assurance (DGQA) has created Defence Industry Quality Assurance Management Cell (DIQAMC) for allotment of Proof ranges to private manufacturers.

Guidelines have been issued for procurement of non-critical arms and ammunition through open tender enquiry to provide a level playing field to all the manufacturers.

Financial powers of DGs of CAPFs have been enhanced from Rs.20 Crore to Rs.50 Crore for procurement of arms and ammunition through open tender enquiry.

Representatives of CAPFs have visited sites/factories of various private manufacturers of weapons.

Enforcement of ‘Make in India’ clause has been ensured.

Open tender enquiries have been floated for procurement of weapons.

DGs’ powers for procurement for trial purposes have also been utilized.

To provide equal opportunity to private manufacturers of weapons, trials have been conducted by CAPFs on the basis of No Cost No Commitment (NCNC).

The process of finalizing Qualitative Requirements and Trial Directives (QRs/TDs) has been simplified by delegating the powers for approving QRs/TDs to DGs of the nodal CAPFs. 

This was stated by the Minister of State for Home Affairs, Shri Nityanand Rai  in a written reply to a question in the Rajya Sabha.

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RK/ASH/AKS/RR/PR/AK/542

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