₹2.38 lakh crore war chest: Defence Acquisition Council fires up India’s Next-Gen combat edge

NE DEFENCE BUREAU
NEW DELHI, MAR 27

In a sweeping boost to India’s warfighting capabilities, the Defence Acquisition Council, chaired by Raksha Mantri Rajnath Singh, has granted Acceptance of Necessity (AoN) for defence proposals worth a staggering ₹2.38 lakh crore—marking one of the most decisive modernisation drives across the Armed Forces.

  • Mega AoN clears path for Army, Air Force & Coast Guard modernisation push
  • From S-400 shield to drone strike power: multi-domain capabilities get a quantum leap
  • ₹858-crore deals with Rosoboronexport & Boeing India Defense Private Ltd reinforce strategic & indigenous strength
  • Record defence pipeline: ₹6.73 lakh crore AoNs & ₹2.28 lakh crore contracts in FY26
    Aatmanirbhar Bharat gains momentum with indigenous MRO & advanced systems integration

The approvals span Army, Air Force, and Coast Guard, reinforcing India’s preparedness across land, air, and maritime domains with cutting-edge systems, enhanced mobility, and next-generation surveillance.

Army Gets Sharper Teeth & Stronger Shield

Key approvals for the Indian Army include Air Defence Tracked Systems, Armoured Piercing Tank Ammunition, High Capacity Radio Relay, Dhanush Gun System, and Runway Independent Aerial Surveillance Systems—collectively boosting real-time air defence control, long-range artillery precision, and fail-proof communications.

Air Force Scales Up Strategic Dominance

For the Indian Air Force, the DAC cleared procurement of Medium Transport Aircraft, the formidable S-400 Long Range Surface-to-Air Missile System, Remotely Piloted Strike Aircraft, and overhaul of Su-30 aero engine aggregates.

These upgrades will replace ageing fleets like AN-32 and IL-76, strengthen airlift capability, enable stealth ISR and offensive operations, and extend the operational life of frontline fighters.

Coast Guard Gets Agile Maritime Muscle

The Indian Coast Guard will induct Heavy Duty Air Cushion Vehicles, enhancing high-speed coastal patrolling, reconnaissance, search and rescue, and logistics support—critical for securing India’s vast coastline.

₹858-Crore Deals Cement Global & Local Synergy

In parallel, the Ministry of Defence signed two key contracts:

  • A ₹445-crore deal with Rosoboronexport for Tunguska Air Defence Missile Systems for the Army.
  • A ₹413-crore contract with Boeing India Defense Private Ltd for Depot-Level Inspection of P-8I maritime reconnaissance aircraft under the Buy Indian category with 100% indigenous content.

The Ministry stated, “The contract for the procurement of Tunguska air defence missile systems, valued at Rs 445 crore for the Indian Army, was signed with JSC Rosoboronexport, Russia.”

It added, “These cutting-edge missiles will enhance India’s multilayered air defence capabilities against aerial threats including aircraft, drones and cruise missiles. The agreement will further strengthen the Indo-Russian strategic defence partnership.”

On the naval contract, the Ministry said, “The contract for the inspection of P8I aircraft under Buy Indian category with 100 per cent indigenous content will ensure depot-level maintenance of the fleet at an MRO (Maintenance, Repair, and Overhaul) facility.”

The P-8I aircraft, a critical asset for maritime surveillance and anti-submarine warfare, remains central to India’s dominance in the Indian Ocean Region, with the Navy currently operating a fleet of 12 aircraft.

Record-Breaking Defence Momentum

The numbers underline an unprecedented surge: 55 AoNs worth ₹6.73 lakh crore and 503 capital procurement contracts worth ₹2.28 lakh crore have already been cleared in FY 2025–26—the highest ever in a single financial year.

With this, India is not just upgrading its arsenal—it is architecting a future-ready, self-reliant, and globally integrated defence ecosystem.