India Defence Acquisition Council Approves $11.58 Billion Military Procurement Package

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Defence Acquisition Council clears major military procurement package.

Mahindra Light Specialist Vehicle

Mahindra Light Specialist Vehicle. (Representative Image).

Defence Acquisition Council Clears Defence Procurement Worth Rs 1.1 lakh crore: India has approved a major new round of defence acquisitions, with the Defence Acquisition Council (DAC) giving in-principle approval to military procurement proposals estimated at about $11.58 billion (₹1.10 lakh crore).

The decisions, taken on 7 September under the chairmanship of Defence Minister Rajnath Singh, cover equipment and systems for the Indian Army, Indian Navy and Indian Air Force. The proposals are aimed at strengthening operational capabilities across land, sea and air, while also reducing dependence on overseas suppliers.

One of the most notable features of the package is its focus on domestic production. The government said approximately 98% of the approved procurements will be sourced from Indian industry, underlining New Delhi’s continuing push to build a stronger domestic defence manufacturing base.

The approval given by the DAC is known as an Acceptance of Necessity, or AoN. It is essentially an in-principle administrative approval that allows the procurement process to move forward. It does not mean that all the contracts have been signed or that the equipment will be delivered immediately.

What the Indian Army is set to receive

For the Indian Army, the DAC approved a range of equipment designed to improve mobility, battlefield awareness and the ability to operate in difficult environments.

Among the approvals are Chemical Biological Radiological and Nuclear, or CBRN, reconnaissance vehicles. These vehicles will be used to detect, identify and monitor areas contaminated by hazardous chemical, biological, radiological or nuclear agents. They will also be capable of marking contaminated zones, helping commanders and troops understand the risks before moving into affected areas.

The council also cleared High Mobility Vehicles, or HMVs. These vehicles are intended to improve the Army’s mobility and logistical support, particularly in challenging terrain where conventional transport can struggle.

Self-Propelled Mechanical Mine Layers have also received approval. Their purpose is to allow troops to lay mines rapidly and responsively, including in difficult terrain. Mine-laying can be an important defensive and tactical capability, particularly when forces need to control or restrict movement across particular routes.

The Army will also acquire Advanced Light Helicopters, or ALHs. These helicopters are intended to carry out complex missions across different terrains and operational situations. The approval is significant because helicopters provide forces with greater flexibility, particularly in areas where roads and conventional transport are limited.

The package further includes Trawl Tanks and the Sarvatra Bridge System. Together, these capabilities are intended to help fighting formations cross obstacles and difficult terrain during military operations. The bridge system, in particular, is designed to provide temporary crossings that can allow troops and equipment to move across gaps and obstacles.

GE's LM2500 marine engine.

GE’s LM2500 marine engine. (Representative Image).

Indian Navy focuses on surveillance and propulsion

For the Indian Navy, the DAC approved the procurement of Arudhra Radars as well as the design and development, followed by procurement, of Marine Gas Turbines.

The Arudhra Radar is intended to replace existing Air Route Surveillance Radars at various Naval Air Stations. Improved radar coverage is an important part of airspace monitoring, helping naval facilities detect and track aircraft operating in their surrounding areas.

The second major naval approval concerns Marine Gas Turbines, or MGTs. These are propulsion systems used aboard warships.

The government says the development and subsequent procurement of these turbines will help reduce the Navy’s dependence on foreign vendors. Developing such critical systems domestically is strategically important because propulsion technology is closely connected to the availability and readiness of naval platforms.

The move therefore goes beyond simply acquiring new equipment. It is also part of a broader effort to establish domestic capabilities in technologies that are critical to military operations.

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Indian Air Force gets electronic warfare and security upgrades

The Indian Air Force will receive several capabilities intended to improve its war-fighting effectiveness across fighters, transport aircraft and helicopters.

The DAC also approved the procurement of Ground-Based Multi-Purpose Jammers, or GBMPJs. These systems are designed to interfere with or disrupt adversary radar systems.

Electronic warfare has become increasingly important in modern military operations. Radar systems are used to detect, track and guide responses to aircraft and other threats. The ability to disrupt those systems can therefore provide an advantage during operations.

Another approval concerns the Defence Forces Secure Access Card, or DEFSAC, system. The new system is intended to replace paper-based identity cards, passes and permits with interoperable smart cards based on Radio Frequency Identification technology.

The change is designed to strengthen access control while making identification and verification more efficient across defence establishments.

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India's Arudhra Medium Power Radar.

BEL’s Arudhra Radar.

Why the 98% domestic share matters

Perhaps the clearest strategic message from the latest approvals is the emphasis on Indian industry.

With around 98% of the procurement value expected to come from domestic sources, the package represents a significant opportunity for India’s defence manufacturers and associated suppliers.

Domestic procurement can potentially reduce reliance on overseas supply chains and give the armed forces greater control over the availability, maintenance and future development of critical systems. It can also support investment in local manufacturing, research and engineering capabilities.

For the government, this fits into the wider objective of making India more self-reliant in defence production.

At the same time, the scale of the package shows the breadth of the military’s modernisation requirements. The approvals span battlefield mobility, mine-laying, helicopters, surveillance radars, naval propulsion, electronic warfare and secure access systems.

The DAC’s decision is therefore not a single equipment purchase but a broad set of proposed investments covering several layers of India’s military capability.

The next stages will involve the detailed procurement process, negotiations and eventual contracts before the approved systems can enter service. Delivery timelines will depend on the individual programmes and their development, manufacturing and testing requirements.

For India’s armed forces, however, the 7 September decisions mark another substantial step towards modernising equipment while simultaneously placing domestic industry at the centre of the country’s defence procurement strategy.

* 1 USD=95 INR.

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