New rules for Ukrainian drone market: DPA presents updated procurement model

The Defence Procurement Agency (DPA) of Ukraine’s Ministry of Defence has unveiled a new model for purchasing drones for the Armed Forces of Ukraine. The aim is to stimulate the growth of the domestic drone industry, establish transparent market rules, and help manufacturers plan production. Procurement should be not only fast and predictable but also more accessible and open for producers.

The DPA is introducing several new mechanisms at once:

• Direct contracts – for acquiring unique or highly specialised drones. While some previous approaches remain, the focus is shifting towards niche equipment.
• Framework agreements – open tenders for drones with similar technical specifications (initially, FPV drones). This will enable broader participation and foster healthy competition.
• DOT-Chain Defence – a drone marketplace where military units can independently choose the equipment they need. This is expected to reduce delivery times to just a few weeks and increase supply flexibility.

“In 2025, we have over UAH 128 billion allocated for drone procurement. The goal is to ensure this funding is used effectively: by making the process clear to the market, predictable for manufacturers, and beneficial for the military,” said Gleb Kanevsky, Director of the Defence Procurement Policy Department at the Ministry of Defence.

According to the DPA, the model update was developed in response to feedback from both manufacturers and the military. The main issues raised included opaque procedures, difficulty entering the market, and a lack of communication.

One key innovation is the verification of suppliers for direct contracts. This process ensures companies have no links to Russia, Iran or Belarus and possess the production capacity and financial standing to fulfil contracts. Verified suppliers are added to a special register, which reduces future verification time and enables faster responses to procurement requests.

The full updated procedure is available in a step-by-step guide published on the DPA website — covering the entire supplier journey from codification and verification to contract signing.