The defence ministry has traditionally bestowed lucrative contracts upon defence public sector undertakings (DPSUs) and ordnance factories (OFs) without competitive tendering. Now, however, it is taking steps to make them reduce prices.
A senior defence ministry official says DPSUs and OFs could soon be ordered to make public a price list of the equipment and weaponry they build. They would be required to hold those prices for a specified period and then raise these by only a reasonable amount. If the military demands a deviation from the baseline standard the DPSU or OF has priced, Read More