In a bid to ensure business ease, the Defence Ministry will now be open to business with those arms companies which were banned during the previous UPA regime. Under the new guidelines which were announced on Monday, a blanket ban of 10 years will not be imposed on companies. Erring firms will be rather suspended for only six months. The subsequent suspension of another 6 months will depend on the discretion of the Defence Minister.

Earlier this month, Defence Acquisition Council cleared a new blacklisting policy that removed blanket bans on companies indulging in corrupt acts and approved projects worth over Rs 82,000 crore for purchase of fighter aircraft, tanks, rockets and mini drones.