DAC Approves US$22.32 Billion Defence Procurement Proposals for Indian Military

India Approves Helicopters, Drone Systems and Air Defence Equipment in US$22.32 Billion (Rs 2.12 Lakh Crore) Defence Push.

Rajnath Singh at ground Breaking ceremony for AMCA Centre in Andhra Pradesh. 15.05.2026.

India defence minister Rajnath Singh. (File Photo).

India’s Defence Acquisition Council (DAC) has approved capital acquisition proposals worth approximately US$22.32 billion (Rs 2.12 lakh crore) for the Indian Army, Indian Navy and Indian Air Force, with around 82% of the planned procurements expected to be sourced from Indian industry.

The approvals were granted on 26 October 2026 at a meeting of the DAC, chaired by Defence Minister Rajnath Singh. The council accorded Acceptance of Necessity (AoN) to a range of proposed acquisitions covering military mobility, artillery, helicopters, air defence, unmanned systems, naval platforms and weather surveillance equipment.

Acceptance of Necessity is an initial approval in the defence procurement process. It establishes the requirement for acquiring particular equipment but does not, by itself, mean that contracts have been signed or deliveries are imminent.

The proposals cover a broad range of operational requirements across India’s three armed services, including surveillance, battlefield mobility, protection against aerial threats and the strengthening of combat capabilities.

Indian Army to receive a range of new capabilities

The Indian Army accounts for a substantial portion of the approved proposals, which include High Mobility Vehicles (HMVs), a Self-Propelled Tracked Gun System, a Gun Shot Response System (GSRS), Light Multi Role Helicopters (LMRH) and Very Short-Range Air Defence Systems (VSHORADS).

The list also includes platform-based counter-unmanned aerial systems (C-UAS), long-range unmanned aerial systems, surveillance UAVs, an Integrated Surveillance and Strike System and a Long Range Kamikaze Drone System.

The proposed High Mobility Vehicles are intended to improve troop mobility, operational flexibility and logistical support, particularly in challenging terrain. Such vehicles can help military units transport personnel, supplies and equipment across difficult landscapes.

The Self-Propelled Tracked Gun System is expected to provide mechanised formations with artillery firepower and mobility suited to their operational requirements. A tracked platform can move alongside armoured formations, allowing artillery units to operate in environments where mobility is essential.

The Gun Shot Response System is intended to improve situational awareness by providing information about gunfire incidents. Such capabilities can help forces identify potential threats and respond more quickly to hostile activity.

The Light Multi Role Helicopters are intended for use by both the Indian Army and the Indian Air Force. Their proposed roles include reconnaissance, surveillance, combat support, search and rescue, and humanitarian assistance and disaster relief operations.

These helicopters could support military operations in difficult-to-access areas while also providing assistance during emergencies and natural disasters.

Hanwha K9 SPH.

Hanwha K9 SPH. (Representative Image)

Air defence and unmanned systems in focus

The proposed acquisition of Very Short-Range Air Defence Systems is intended to help the Army counter emerging aerial threats, including newer, smaller airborne targets.

Counter-unmanned aerial systems are another important part of the approved package. Designed to address threats posed by hostile drones, these systems are intended to improve the protection and survivability of tanks and other military assets on the modern battlefield.

The Army’s proposed surveillance and drone systems are also expected to strengthen its ability to monitor operational areas and support targeting activities.

Unmanned platforms can provide information from locations that may be difficult or dangerous for personnel to observe directly. Their effectiveness, however, depends on factors such as sensor performance, communications reliability, operating conditions and integration with existing command systems.

The combination of surveillance, counter-drone and strike-related capabilities reflects the range of requirements facing modern ground forces, where the ability to identify threats, share information and respond quickly is increasingly important.

DRDO's VSHORADS missile.

DRDO’s VSHORADS missile.

Indian Navy to acquire decoy systems and naval platforms

For the Indian Navy, the DAC approved proposals covering an Active Offboard Decoy System (AODS) and other major naval platforms.

The AODS is intended to strengthen protection against incoming anti-ship missiles by helping divert or mislead threats away from their intended targets. Such systems form part of a ship’s wider defensive arrangements and are particularly relevant in an environment where modern anti-ship missiles pose significant risks to naval vessels.

The effectiveness of a ship’s defences depends on several complementary capabilities, including threat detection, tracking, electronic warfare and other defensive measures. An offboard decoy can contribute to this layered approach by creating an alternative target for an incoming missile.

The proposed naval platforms are to be designed and constructed indigenously, according to the announcement. They are expected to incorporate modern warfare capabilities and enhance the Navy’s combat potential.

The approvals indicate continued attention to naval modernisation, although details of the individual platforms, their costs and delivery schedules were not specified in the announcement.

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Akash Prime Missile.

India’s Akash Prime Missile.

Indian Air Force to strengthen air defence and transport

The Indian Air Force also received approval for proposed acquisitions involving helicopters, air defence systems, weapons and a Mobile X-Band Doppler Weather Radar System.

The helicopter procurement includes Special Utility Helicopters intended to meet important air transport requirements. Such aircraft can support the movement of personnel and equipment, particularly where operational demands require flexible air transport capabilities.

The proposed air defence systems and weapons are intended to strengthen the Air Force’s broader air defence and war-fighting capabilities.

The Mobile X-Band Doppler Weather Radar System is designed to provide high-resolution, localised weather surveillance in forward areas. Weather information is important for military aviation because atmospheric conditions can affect flight planning, aircraft operations and mission safety.

A mobile radar system could help provide more detailed weather information in operational locations where local conditions need to be monitored closely.

Together, these proposed acquisitions cover both combat-related requirements and the supporting capabilities needed to conduct air operations effectively.

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Why the 82% domestic procurement figure matters

One of the most significant elements of the announcement is the plan to source approximately 82% of the approved procurements from Indian industry.

Domestic procurement can support the development of India’s defence manufacturing sector, create opportunities for suppliers and strengthen the country’s ability to maintain and upgrade military equipment.

It can also reduce dependence on overseas suppliers for certain products, although the extent of that benefit will depend on the equipment involved, the availability of domestic components and the ability of Indian manufacturers to meet the required specifications.

The 82% figure applies to the procurements covered by the approvals and should not be interpreted as evidence that all the equipment has already been manufactured in India or that every contract has been awarded to a domestic company.

The actual impact will become clearer as individual procurement programmes progress through subsequent stages, including tendering, contract negotiations, production and delivery.

The DAC’s Acceptance of Necessity approvals mark an important stage in the acquisition process, but further steps are required before the proposed equipment enters service.

Depending on the procurement, these may include the preparation of detailed requirements, the selection of suppliers, technical evaluations, commercial negotiations and the signing of contracts. Manufacturing, testing, delivery and the training of personnel may follow.

The time required can vary considerably according to the complexity of the system, the procurement method and the production capacity of the selected manufacturer.

The latest approvals cover a broad range of capabilities for the Indian Army, Navy and Air Force, from artillery mobility and helicopter operations to naval missile defence and battlefield surveillance.

The emphasis on domestic sourcing also places Indian industry at the centre of the proposed acquisitions. Whether the approvals translate into faster modernisation and stronger domestic manufacturing will depend on how efficiently the individual programmes move towards contracts, production and operational deployment.

The US$22.32 billion (Rs 2.12 lakh crore) package establishes the scale and scope of the acquisition requirements approved by the council. The next stages of procurement will determine when the armed forces can begin receiving the equipment.

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