GLOBE & NATION

Post-Operation Sindoor, India Approves Massive ₹1 Lakh Crore Defence Procurement

Herald Team

IN SHORT

  1. DAC clears ₹1.05 lakh crore defence deals under Make in India.

  2. Approvals include missiles, EW systems, and naval vessels.

  3. Defence production hits ₹1.46 lakh crore; exports ₹24,000 crore.

In a major push toward self-reliance in defence manufacturing, the Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, has approved military procurement proposals worth ₹1.05 lakh crore. All acquisitions have been cleared under the Buy (Indian–Indigenously Designed, Developed, and Manufactured) [IDDM] category, underscoring the government’s continued focus on the Make in India initiative.

Strategic Approvals for Armed Forces Modernization

The DAC granted Acceptance of Necessity (AoN) for ten capital acquisition proposals aimed at strengthening the operational capabilities of the Indian Army, Navy, and Air Force.

Key approvals include:

  • Armoured Recovery Vehicles for enhanced mobility and battlefield support

  • Electronic Warfare Systems to counter modern threats

  • An Integrated Common Inventory Management System across the three services to streamline logistics and supply chains

  • Surface-to-Air Missiles to bolster air defence readiness

Naval Capabilities Get a Major Boost

The Indian Navy will see a significant upgrade with the acquisition of:

  • Mine Counter Measure Vessels (MCMVs)

  • Moored mines for strategic deterrence

  • Super Rapid Gun Mounts

  • Submersible Autonomous Vessels

These assets are aimed at closing a critical operational gap, as the Navy currently lacks functioning minesweepers. The new systems will enhance protection for both naval and commercial maritime assets.

Indigenous Defence Ecosystem on the Rise

India's indigenous defence production reached a record ₹1.46 lakh crore in 2024–25, with defence exports crossing ₹24,000 crore—a testament to the growing global competitiveness of Indian defence manufacturers.

Over 16,000 MSMEs now contribute to the defence supply chain, driving technology infusion, job creation, and private sector participation. The latest DAC approvals are expected to further accelerate the modernization of India's armed forces while deepening the nation’s commitment to indigenous innovation and production.

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