Defence Secretary Rajesh Kumar Singh on Friday issued a firm warning to defence suppliers, declaring that India will terminate contracts if companies fail to meet delivery deadlines. His message addresses a long-standing concern raised by Air Force Chief Air Chief Marshal Amar Preet Singh, who has repeatedly highlighted that delayed timelines — including those affecting Tejas Mk-1A fighter jet delivery — remain a major obstacle to India’s defence preparedness.
Singh made it clear that the new rule will apply uniformly to all vendors, without exceptions based on nationality or corporate size. During the National Security Summit in New Delhi, he explained that the government has taken a strict position for the current round of emergency procurement: if delivery is not completed within one year, the contract will be foreclosed, regardless of the supplier or country involved. He emphasised that such measures are necessary to enforce real accountability in meeting delivery targets.
Along with the threat of contract termination, the Ministry of Defence has proposed stricter liquidated-damage penalties for missed timelines. Singh reiterated that the new provisions will be implemented universally across suppliers. The objective is to bring discipline, predictability, and transparency to the defence procurement process.
A key context behind the announcement is that delays are not confined to domestic manufacturers. Singh pointed out that supply disruptions have become a global concern, citing setbacks in deliveries of the Russian S-400 air-defence systems, Israeli equipment, and General Electric engine orders. While acknowledging that not every delay is the fault of Indian suppliers, he noted that “overpromising and underdelivering” remains a persistent issue in the sector.
Separately, Singh revealed that India is nearing the conclusion of an agreement with a major international engine manufacturer for the joint development of a 120 kN fighter-jet engine. The plan is for full manufacturing to take place in India with complete retention of intellectual property rights — a major step toward technological self-reliance. The engine project is expected to require 10 to 12 years and will complement the proposed India–France collaboration under the AMCA engine programme. Final clearance for the deal is anticipated soon at the highest levels of government.
Together, these developments signal a sharper push for accountability, indigenous capability, and strategic autonomy in India’s defence sector.
