Defence Acquisition Procedure

The relevant category is Buy (Indian-IDDM) under the Defence Acquisition Procedure 2020. IDDM means Indigenously Designed, Developed and Manufactured, and the category gives preference to equipment sourced from Indian vendors with substantial indigenous content.

Eligibility under the category

A product can qualify for Buy (Indian-IDDM) through either of two prescribed routes.

• An indigenously designed, developed and manufactured product must have at least 50 per cent indigenous content in the base contract price.
• A product that was not designed and developed indigenously may also qualify if it is manufactured in India with at least 60 per cent indigenous content in the base contract price.

Place in defence procurement

The procedure accords Buy (Indian-IDDM) the highest preference among the principal capital acquisition categories. It seeks to promote indigenous design capabilities, domestic manufacturing and greater participation by Indian industry in defence production.

• The category combines preference for Indian vendors with measurable indigenous-content requirements.
• It supports technological self-reliance by encouraging domestic ownership of design, development and manufacturing capabilities.