Section 7: Functions and powers of the Corporation.

(1) The Corporation shall-
(a) be charged with the operation, maintenance and control of ordnance factories for the manufacture, storage and disposal of materiel intended for or capable of being used by the armed forces, other security agencies and such other forces or persons as may be authorised;
(b) be charged with the inspection and testing, as the case may be, of ordnance, materiel and explosives;
(c) be charged with capacity building in military technology;
(d) collaborate with local and international bodies for the purpose of research development, and technology advancement in the defence industry;
(e) develop, utilise, market and export normal and advanced military technologies;
(f) complement the civil non-defence technological needs of Nigeria, where possible;
(g) initiate and manage technological projects required in actualising the objectives or responsibilities of the Corporation;
(h) support and maintain any defence industrial capabilities, resources and technologies designated by the Ministry as strategic and essential for the national defence needs of Nigeria;
(i) coordinate, harmonise and supervise the general planning of defence and allied industries specifically or mainly set up to produce for the armed forces and other security agencies and encourage other industries within the economy to produce for the general consumers, the armed forces and other security agencies, where the need arises;
(j) establish and monitor programmes and plans for giving effect to any policy, direction and recommendation of the Minister;
(k) collaborate with all the armed forces production units, research and development outfits, allied companies in partnership with armed forces and other local industries involved in military hardware and software production for the actualisation and establishment of military industrial complex;
(l) develop and embark on reverse engineering of sophisticated systems for military applications;
(m) monitor current technological trends as well as anticipated future advances by articulating technology domestication process in relation to defence industry;
(n) have power to purchase military industrial licences from advanced nations with strong and formidable defence industries and Military Industrial Complex (MIC);
(o) initiate and consolidate the co-production of strategic military hardware with advanced countries;
(p) train managerial, technical and such other staff for the purpose of running of its operations; and
(q) perform such other duties as specified under this Act.
(2) Without prejudice to the functions and powers of the Corporation under subsection (1), the Corporation shall have power to establish or acquire any factory or manufacturing industry which shall be used as an ordnance factory or ancillary factory including vehicles factory, small arms factory, electronic factory, ordnance equipment factory, ordnance clothing factory, heavy vehicle factory, ammunition factory, cordite factory, field-gun factory, gun carriage factory, grey iron factory, gun and shell factory, heavy alloy and penetrator factory, heavy vehicle factory, machine tool prototype factory, metal and steel factory, and any other defence related factory.
(3) The Corporation may-
(a) enter into contracts in form of joint venture partnerships or collaborations; and
(b) establish joint venture companies.
(4) Any contract entered into by the Corporation under subsection (3) shall only be monitored, controlled, evaluated, supervised and regulated by the President or through the Minister.