Andriy Taran: State Defence Order 2020 stipulates more than UAH 10bn supply of military products

Thanks to the fulfillment of the state defense order last year, the supply of military products worth more than UAH 10 billion is expected in 2021. Due to orders completed in 2020 (contracts signed), the Armed Forces of Ukraine to receive 10 million pieces of ammunition, 3,300 missile and artillery systems, 2,700 reconnaissance and surveillance devices, more than 320 vehicles, more than 60 armored personnel carriers and armored vehicles, about four dozen unmanned vehicles aviation complexes, as well as six aircraft this year, the Journalist reported with reference to the press center of the Ministry of Defence.

To Minister of Defence, the planning of measures for the procurement of goods, works and services for defense purposes took place back in 2020 according to the legislation of that time. Procurement procedures under existing contracts continue in accordance with previous legislation. Now the process of forming a regulatory framework is underway to ensure compliance with the norms of the new law “On Defense Procurement” and a transition to planning activities and the budget is under way.

“The Ministry of Defense is actively involved in working out the regulatory framework to ensure the implementation of the Law on Defense Procurement. The process of harmonizing regulatory legal acts is being completed. They will be considered and adopted by the Government within the timeframes specified in the Decree of the President of Ukraine,” said Andriy Taran.

In 2021, the Ministry of Defense will focus on adapting the procurement mechanism for military products to the requirements of the Law of Ukraine “On Defense Procurements”. The provisions of this Law to replace the state defense order introduce new competitive and transparent procedures for the procurement of weapons and military equipment and other defense products. Separate closed purchases, without exception, provide for competitive procedures, and manufacturers’ proposals will be reviewed by interdepartmental commissions and will published in all possible ways.

“The production of weapons has a long production cycle, for example, the same high-tech complexes are manufactured for more than one year. Having financed and concluded contracts worth over UAH 10 billion last year, we provided our partners with working capital, which, in turn, from the beginning of the year guaranteed the uninterrupted operation of dozens of enterprises of the military-industrial complex, among which, for example, Luch State Design Bureau, Kharkiv Machine Design Bureau (Morozov KMB), State Enterprise Iskra and others,” said Andrey Taran.

The Defense Ministry has now identified the development priorities of the Armed Forces. During 2021, the Ukrainian army will receive new and modernized weapons in accordance with a specific and agreed need for financing provided by the state budget of Ukraine.