DAC Clears Rs 1.1 Lakh Crore Defence Procurement Push

India’s Defence Acquisition Council has cleared proposals worth ₹1.10 lakh crore for all three services, prioritising mobility, surveillance, electronic warfare and indigenous industrial participation across critical military capabilities needs

New Delhi: The Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, has granted in-principle approval for defence acquisitions estimated at approximately

₹1,10,000 crore. The proposals cover the Indian Army, Navy and Air Force and are intended to strengthen combat readiness, operational mobility and technological capabilities.

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The approvals, announced on September 7, come in the form of Acceptance of Necessity (AoN), the Defence Ministry’s in-principle administrative clearance for a procurement proposal. AoN does not represent the signing of a final contract, but enables the acquisition process to move forward through subsequent stages, including tendering, evaluation, negotiations and contract approval.

The Army’s package includes Chemical, Biological, Radiological and Nuclear (CBRN) recce vehicles, high-mobility vehicles, self-propelled mechanical mine layers, advanced light helicopters, trawl tanks and the Sarvatra bridge system.

The CBRN recce vehicles will be used to detect, identify, monitor and mark areas contaminated by hazardous agents. High-mobility vehicles are expected to improve logistics, troop movement and operational flexibility in difficult terrain. Self-propelled mechanical mine layers will provide faster and more responsive mine-laying capabilities during military operations.

Advanced light helicopters will support complex missions across varied terrains and operational conditions for both the Army and the Air Force. Trawl tanks and the Sarvatra bridge system will help fighting formations cross obstacles and waterways, allowing military units and equipment to maintain momentum during operations.

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For the Indian Navy, the DAC has cleared proposals for Arudhra radars and the design, development and subsequent procurement of marine gas turbines.

The Arudhra radar system is intended to replace existing air-route surveillance radars at several naval air stations, improving detection and monitoring capabilities around maritime facilities. Marine gas turbines, which are used in warship propulsion, are expected to reduce the Navy’s dependence on foreign suppliers and support the development of domestic expertise in a strategically important technology area.

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The Air Force approvals focus on improving the war-fighting capabilities of fighter aircraft, transport planes and helicopters. The council has also approved the procurement of ground-based multi-purpose jammers and the installation of the Defence Forces Secure Access Card, or DEFSAC, system.

Ground-based multi-purpose jammers are designed to disrupt or degrade hostile radar operations, strengthening electronic warfare capabilities. DEFSAC will replace paper-based identity cards, passes and permits with interoperable radio-frequency-identification-based smart cards, improving access control and administrative efficiency across defence establishments.

A notable feature of the latest approvals is the high level of domestic sourcing. Approximately 98 per cent of the procurements covered by the AoNs are expected to come from Indian industry, according to the Defence Ministry.

The emphasis reflects New Delhi’s continuing effort to build domestic defence-manufacturing capacity, reduce reliance on imports and develop Indian supply chains for advanced military equipment. It could benefit public-sector defence companies, private manufacturers and smaller suppliers involved in vehicles, electronics, aerospace systems, propulsion and communications technologies.

The approvals also underline the broad range of capability gaps being addressed. The Army package targets mobility, combat engineering and protection against unconventional threats. The Navy’s proposals focus on surveillance and propulsion, while the Air Force’s requirements combine platform capability with electronic warfare and secure access systems.

However, the next stage will determine how quickly these proposals translate into operational assets. Following AoN approval, each acquisition must proceed through procurement procedures, technical assessment, commercial negotiations and final contract signing. Delivery schedules will depend on the complexity of the equipment and the capacity of Indian manufacturers.

The latest decision adds to a broader acceleration in defence procurement. It combines immediate operational requirements with long-term industrial objectives, making domestic production a central element of India’s military-modernisation strategy.

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