New Delhi: The Indian Army, Navy and Air Force are in the process of signing over 100 contracts under the emergency procurement powers given to them.

These powers were first given to the armed forces after the 2016 Uri attack to help them circumvent the slow bureaucratic system of procurement, and under these, the services can ink contracts worth Rs 300 crore each on their own.

Since 2016, these emergency procurement powers have been renewed multiple times, and have now been extended for an additional six months.

The latest extension has been given because the forces needed more time to complete the process of procurement that was initiated in the financial year 2022-23, sources in the defence and security establishment said.

According to sources, these procurements, which will be indigenous with at least 60 per cent localisation, will cater to a large number of niche technology, drones and ammunition.

This comes even as the Union Ministry of Defence (MoD) raced against time to sign a spate of large-scale procurement orders before the lapse of the budget allocation for the 2022-23 financial year.

For example, with just two days left for the end of the financial year on 31 March, the ministry signed contracts worth several thousand crores.

Sceptics, however, point out that such a rush in wrapping up contracts does not make the defence ministry look good as it shows lack of planning.

“It is akin to the Public Works Department rushing to spend the allotted money towards the end of the fiscal lest it is taken back,” a critic remarked.

Sources, however, argued that the procurement process takes time and orders inked towards the end of the fiscal had gone through multiple levels of processes over the last two years before being finalised.

“The March rush is always there, including in the defence ministry, just like other ministries. The capital budget has also increased every year and hence the spending powers increase,” Laxman Kumar Behera, chairperson, Special Centre for National Security Studies at Jawaharlal Nehru University, said.

“Also, the fact is that they are not signing many contracts with foreign companies but with Indian companies. It might take time initially because of the various trials, but it is good in the long term,” he added.