SF Prep Notes

Rajnath Singh releases Defence Procurement Manual 2025, effective 1 November

Defence Minister Rajnath Singh released the Defence Procurement Manual (DPM) 2025 in New Delhi on 23 October 2025; it governs about ₹1 lakh crore of revenue procurement from 1 November 2025.

Summary

On 23 October 2025 in South Block, New Delhi, Defence Minister Rajnath Singh released the Defence Procurement Manual (DPM) 2025. From 1 November 2025 it will govern revenue procurement of about ₹1 lakh crore by the three Services and other Defence Ministry bodies; RFPs issued up to 31 October stay under DPM 2009. Liquidated damages for late delivery are eased: the maximum of 10% applies only for inordinate delay, and for indigenisation cases the rate is 0.1% per week instead of 0.5%. Indigenously developed items can get assured orders of up to five years and beyond, and limited tender enquiry is allowed up to ₹50 lakh. The need for a no-objection certificate from the erstwhile Ordnance Factory Board is dropped. Volume I has 14 chapters, including three new ones on self-reliance through innovation and indigenisation, ICT procurement, and consultancy and non-consultancy services.

Key facts

Released
23 Oct 2025, South Block, New Delhi
Effective
1 Nov 2025 (replaces DPM 2009 for new RFPs)
Scope
Revenue procurement of ~₹1 lakh crore
Liquidated damages
Max 10% only for inordinate delay; 0.1%/week for indigenisation (vs 0.5%)
Limited tender
Up to ₹50 lakh
Structure
2 volumes; 14 chapters in Vol I incl. 3 new

Practice MCQs 3 questions

Q1

From which date does the Defence Procurement Manual (DPM) 2025, released by the Defence Minister in October 2025, come into effect?

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Correct answer: B — 1 November 2025

PIB: DPM 2025 is effective from November 01, 2025; RFPs issued up to October 31, 2025 remain under DPM 2009.

Q2 Advanced

Under DPM 2025, what rate of liquidated damages per week applies in indigenisation cases for delayed delivery?

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Correct answer: C — 0.1% per week

PIB: in indigenisation cases only 0.1% LD per week will be levied instead of 0.5% per week; overall, maximum LD of 10% applies only in cases of inordinate delay.

Q3 Advanced

Consider the following statements about the Defence Procurement Manual 2025: 1. RFPs issued after 1 November 2025 will be governed by DPM 2025, while earlier RFPs remain under DPM 2009. 2. It governs capital acquisition of major weapon platforms worth about ₹1 lakh crore. Which of the statements given above is/are correct?

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Correct answer: A — 1 only

Only 1 is correct. PIB: DPM 2025 governs revenue procurement (not capital acquisition) of approx ₹1 lakh crore by the three Services and other MoD establishments.

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