Defence sources said the Defence Acquisition Council (DAC) meeting on October 29 will discuss the finer details of the new blacklisting policy that will be one of the hallmark of the new Defence Procurement Procedure (DPP) being finalised.
"This time the DAC is more process-driven as discussions on key aspects of the new DPP will be held. One of the main issue under consideration would be the blacklisting policy," the sources said.
Parrikar is of the view that indiscriminate blacklisting of companies supplying defence products over "small issues" may create supply-chain problems for the armed forces.
Among other things that will come up for discussion is the Rs 4,000 crore proposal by the Indian Air Force for the upgrade of heavy cargo lifter IL 76 aircraft and IL 78, being used by India for Airborne Warning and Control System (AWACS).
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The current engine being used by the IL-78 is that of a refueller. The plane will get a more powerful engine that is generally used for AWACS aircraft.
The IAF has also mooted a Rs 1,800 crore proposal for digitisation of its Pechora surface to air missile system.
Currently, the signals for the system are analog and the plan is to convert them to digital.
The Navy has pitched for construction of four multi- purpose vessels, a project which will cost about Rs 4,000 crore.
The Army too has moved a proposal for digitisation of its Pinaka missile system.