India Enforces Zero-Tolerance Policy on Delayed Military Deliveries, Threatens Contract Cancellations
India has issued a stern warning to both domestic and foreign defence manufacturers, indicating that any delays in military deliveries will lead to the cancellation of contracts. This was announced by Defence Secretary Rajesh Kumar Singh at the National Security Summit held in New Delhi on November 28.
Singh made it clear that the Ministry of Defence (MoD) will no longer accept delays in crucial defence procurements. According to the updated policy for emergency purchases, suppliers are required to deliver equipment within one year of signing the contract. Any failure to meet this timeline will automatically result in the termination of the contract, with no exceptions allowed.
This measure is intended to address the persistent issue of commitments not being met in defence manufacturing. Air Chief Marshal Amar Preet Singh recently highlighted concerns regarding the delayed production of TEJAS MK-1A fighter jets as an example of this problem.
The Defence Secretary pointed out that delays are not restricted to domestic projects. India has also experienced setbacks from several international partners, such as:
| Country | Issue |
|---|---|
| Russia | Slow delivery of S-400 Triumf systems due to the Ukraine conflict |
| Israel | Lagging timelines for critical defence equipment |
| General Electric (USA) | Slippage in engine delivery schedules |
The $5.4 billion S-400 deal signed in 2018 has been notably delayed, with the final two squadrons now expected to arrive only in 2026.
Singh emphasized that such delays underline the necessity for accountability across the board, insisting that every supplier, regardless of their origin, must adhere to their contractual obligations promptly.
In a significant development, Singh announced that India is nearing the finalization of a partnership with a major international engine manufacturer to co-develop a 120 kN fighter jet engine. This engine will be entirely manufactured in India, with complete control over intellectual property rights retained by India.
This project, which is expected to span 10–12 years, will run concurrently with India's ongoing discussions with France’s Safran for the AMCA fighter engine under a government-to-government agreement. Approval from the highest level is anticipated shortly.
Singh also highlighted that 2025 will be designated as the “Year of Reforms,” with significant changes being implemented in the Defence Acquisition Procedure (DAP) 2020. These changes include:
| Reform |
|---|
| Faster user trials |
| Streamlined cost negotiations |
| Reduced procurement cycle times |
| Greater emphasis on proven foreign systems for urgent needs |
The goal of these reforms is to improve India’s operational readiness by removing bottlenecks in procurement processes, particularly in light of lessons learned from the Ladakh standoff and other recent conflicts.
The government’s message to the industry is clear:
| Objective |
|---|
| Enforce strict delivery timelines |
| Improve accountability across the defence manufacturing sector |
| Strengthen preparedness through timely induction of platforms |
| Support domestic manufacturing under Aatmanirbhar Bharat |
India’s firm warning serves as a notice that vendors who do not meet delivery deadlines will lose business. The MoD’s strong stance is designed to ensure that the armed forces receive essential systems without delay, thereby enhancing national security in an increasingly turbulent region.
