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Vendor Development

In order to develop a robust supply chain, following measures being taken up by HSL in order to increase import substitution and thereby synchronising Defence Procurements with the ‘Make in India’ initiative.

  • Inclusion of the provisions contained in ‘Public Procurement (Preference to Make in India), Order 2017’ issued by Department of Industrial Policy and Promotion (DIPP), Ministry of Commerce and Industry in Purchase manual and its effective implementation.
  • Assurance of orders for future requirement in 5 years on the same Indian firm which executed import substitute order successfully.
  • Relaxation of norms (prior experience and prior turnover) for MSEs and Start-ups in all public procurements subject to meeting quality and technical specifications.
  • Alignment of payment terms i.e. provision of advance payment to MSEs.
  • Deemed registration of vendors (vendors registered in other Defence PSUs are to be considered as Deemed Registered).
  •  Efforts are being made to identify Tier I and Tier II vendors, so as to facilitate development of import substitutes. 

Public Procurement (Preference to Make in India), Order 2017