The Canteen Stores Department (CSD) serves as a comprehensive store for our defense heroes, offering a range of items like AFD-I and AFD-II products. The government keeps updating the policies to benefits for our soldiers, determining factors such as the number of cars one can buy and the available items. This ongoing commitment is a way of expressing gratitude to our defense community, ensuring they and their families can access essential goods at affordable prices through evolving entitlement policies.
Revised Entitlements : CSD four wheeler Buying Policy
The Canteen Stores Department (CSD) has updated its car procurement policy, effective from 01 February , last year. For Defence Personnel in pay levels 3 to 5, the maximum number of cars they can buy during their service has increased from two to four, priced at 8 lakhs each. Individuals in pay levels 6 to 9 now have the opportunity to purchase up to five cars throughout their lifetime, with each car costing 10 lakhs. This change aims to provide more flexibility and choices to eligible CSD customers for their car purchases.
The eligibility criteria for CSD Canteen car purchases since last year have been revised for Junior Commissioned Officers (JCO) and Other Ranks (OR), ensuring transparency and fairness. Officers of Ordnance Factories are also now included in the updated policy. The new criteria are effective from February 1, 2024, and it’s essential for Armed Forces personnel to understand the modified procedure for acquiring a four-wheeler from CSD Canteen through CSD AFD.
The CSD Canteen Car Policy for Other Ranks (ORs) in 2025 applies to personnel with the rank of Sepoy to Havildar or equivalent in the Indian Air Force (IAF) and Indian Navy (IN), with a pay level ranging from 3A to 5. The maximum amount for purchasing a car is 8 lakhs, excluding taxes, and individuals can acquire up to four cars during their lifetime. Pensioner widows can use the unused quota of car purchases from the deceased individual, with an 8-year gap between acquisitions.
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For Junior Commissioned Officers (JCOs) in pay levels 6 to 9, the updated policy allows for a maximum of five car purchases throughout their lifetime, replacing the previous limitation of three cars. This benefit applies to current and former Armed Forces members, pensioners, widows, and next of kin, allowing them to purchase cars up to a maximum value of 10 lakhs, excluding taxes. The first car can be obtained after completing a minimum of five years of service, with an eight-year interval between subsequent purchases.
| For Pay Level 3 to 5 | |
| Earlier Limit | Two cars during service |
| New Limit | Four cars, each priced at 8 lakhs |
| When to Buy | Anytime during service |
| For Pay Level 6 to 9 | |
| Earlier Limit | Three cars during service |
| New Limit | Five cars throughout life, each costing 10 lakhs |
| When to Buy | First car after five years of service, then every eight years |
| For Pay Level 10 to 18 | |
| Cost Limit | Rs. 20 Lakh (excluding taxes) |
| Number of Cars | Once every eight years |
| Bonus for Electric Vehicles (EVs) | |
| Extra Limit | Up to Rs. 5 Lakh more for EVs |
| When to Buy EVs | First-time EV buyers can buy after six years from the last four-wheeler purchase. Next purchases allowed after eight years |
Samar Bhalla, Brig CS for QMG, emphasizes these changes, ushering in a new era of entitlements for four-wheelers through the CSD, aiming to cater to the diverse needs of our armed forces and defense civilians.
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Dear sir
I had purchased a car in Jul 22 through CSD and my car had major accident in Jun 25 and declared total loss by Insurance company and also not worthy on road use . What is procedure to get a car from cSD after 3 years in this case ? Kindly update
You cant buy it before 8 years after purchasing first one
Cost limit for purchasing a car by personnel falling under groups 3 to 5 may please be increased from 8 lakhs to 12 lakhs, as the cost of cars has increased a lot in the last 2yrs and we get only a base model of only very few companies.even after the GST2.0 the rates are on the higher side (more than 8 lakhs). Appreciate if this can be implemented.
Thank you
Thank you for your valuable suggestion, sir. The concern regarding the car cost limit for personnel under Groups 3 to 5 is well noted. However, such revisions and policy changes fall under the purview of the CSD Directorate and the Ministry of Defence (MoD).
It is therefore requested that you kindly address this representation directly to the CSD Department or MoD through the proper channel, so that the matter can be duly examined and considered.
Warm regards,
Team ESM Corner