Rs 62 Crore Lost, Ageing Guns Still in Service: Parliament Panel Questions Defence Preparedness
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Serious questions have been raised regarding production issues associated with indigenous projects like the 'Dhanush' artillery gun.
By Ajay Haldar
New Delhi, July 23: The Parliament's Public Accounts Committee (PAC) has once again sharply reprimanded the Ministry of Defence. The PAC's 49th Report (18th Lok Sabha, 2026-27) highlights a loss of Rs 62.10 crore incurred while replacing defective ammunition supplied to the Indian Army by the Ordnance Factory, Badmal. The committee has also identified the decades-long delay in the procurement of artillery guns as a major threat to the Army's operational preparedness.
Serious questions have been raised regarding production issues associated with indigenous projects like the 'Dhanush' artillery gun. The PAC has made five key recommendations, including infrastructure improvements, skill development, better decision-making processes, and timely production. This report brings to light the actual challenges involved in achieving the defence goals of 'Atmanirbhar Bharat' (Self-Reliant India).
Loss of Rs 62 Crore Due to Defective Ammunition
The PAC termed the Rs 62.10 crore loss—incurred while replacing defective ammunition supplied by Ordnance Factory, Badmal—as a serious matter. Such flaws not only result in a waste of funds but also cast doubt on the reliability of the Army's ammunition stocks. The committee has urged the Ministry of Defence to strengthen the supply chain through strict Standard Operating Procedures (SOPs) and defined timelines to prevent the recurrence of such incidents.
Indian Army Relies on Aging Guns amid 20-Year Delay in Artillery Procurement
155mm/39 calibre guns were procured from Bofors in 1986, a deal that included a transfer of technology. Following a ban imposed in 1989, attempts to procure new, higher-calibre guns were made in the 1990s; however, the process stalled due to an inability to finalize requirements and a poor response from vendors.
According to the PAC, it took the Ministry two decades to procure and induct new artillery gun systems. This resulted in a significant shortfall within the Army, forcing continued reliance on older guns with limited firepower. The committee stated that the Ministry of Defence (MoD) should establish a robust mechanism for the regular review of stocks, identification of capability gaps, and timely procurement aligned with emerging threats.
What are problems regarding the Dhanush Gun?
The Public Accounts Committee (PAC) commended the indigenous 155mm/45 calibre Dhanush gun project but expressed dissatisfaction over production delays. The committee noted that the production methodology evolved gradually because such an advanced gun had never been manufactured in India before; the existing infrastructure was not aligned with
the project's requirements.
The PAC was not satisfied with the MoD's response. It recommended a thorough assessment of domestic capabilities and infrastructure before initiating such projects to prevent delays and cost overruns. Emphasis was placed on providing greater R&D support to domestic manufacturers.
The report identified technical deficiencies—specifically regarding ballistic expertise, gun electronics, and the integration of advanced sighting systems—as major causes of the delay. Although these gaps were eventually bridged through indigenous efforts, the PAC remarked that they should have been identified at the project approval stage itself. The committee suggested introducing specialized courses in defense manufacturing at IITs and technical institutes, as well as the regular upskilling of Defense Public Sector Undertaking (DPSU) personnel, to enable India to meet global standards.
The PAC acknowledged that the Dhanush gun facilitated maintenance due to the commonality of parts with the Bofors gun; however, production delays impacted the operational readiness of the artillery division. The committee called for structural changes in the MoD's decision-making process, improved supply chain management, and stricter timelines for vendors.
Despite monitoring by the apex level of the Ordnance Factory Board (OFB) and the Army's Technical Oversight Group (TOG), several deadlines for the Dhanush project were missed. The PAC urged that additional measures be taken to complete the project within the extended timeline ending in March 2027. AWEIL was advised to adopt a proactive approach and anticipate potential disruptions in advance.
What are Challenges in 'Atmanirbhar Bharat'?
India is emphasizing the modernization of its artillery as geopolitical challenges mount. The Public Accounts Committee (PAC) warned that production delays could render designs obsolete. The report noted that delays in the defense sector harm both national security and the economy.
