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The Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, approved capital acquisition proposals worth approximately ₹2.12 lakh crore on Monday. The approvals span major equipment modernization for the Indian Army, Indian Navy, and Indian Air Force.
Significantly, the government earmarked approximately 82 per cent of the total procurement value for domestic Indian industry. Consequently, this decision reinforces the national push toward self-reliance in defence manufacturing under the Make in India initiative.
DAC ₹2.12 LAKH CRORE PROCUREMENT ALLOCATION
+-----------------------------------------------------------+
| Total Capital Acquisition Clearance |
| (₹2.12 Lakh Crore) |
+-----------------------------+-----------------------------+
|
+---------------------+---------------------+
| |
v v
+-----------------------+ +-----------------------+
| Domestic Sourcing | | Global Procurement |
| Component (82%) | | & Direct Import (18%) |
| (~₹1.74 Lakh Crore) | | (~₹38,000 Crore) |
+-----------------------+ +-----------------------+
Strategic Capability Enhancements for the Armed Forces
For the Indian Army, the council cleared proposals covering self-propelled tracked gun systems, high-mobility vehicles, and light multi-role helicopters. Furthermore, the approvals included Very Short-Range Air Defence (VSHORAD) systems, counter-drone equipment, surveillance UAVs, and long-range kamikaze drones.
Meanwhile, naval approvals prioritized modern electronic warfare and missile defense platforms. Specifically, the council cleared Active Offboard Decoy Systems to defend surface warships against advanced anti-ship cruise missiles.
+--------------------------------+-------------------------------------------------------+
| Service Branch | Key Cleared Capability Platforms |
+--------------------------------+-------------------------------------------------------+
| Indian Army | Tracked Guns, UAVs, VSHORAD & Kamikaze Drones |
| Indian Navy | Active Offboard Decoy Systems & Naval Warships |
| Indian Air Force | Helicopters, Air Defence & Doppler Weather Radars |
| Procurement Model | 82% Earmarked for Domestic Defence Manufacturing |
+--------------------------------+-------------------------------------------------------+
Air Force Readiness and Weather Surveillance
Besides land and naval systems, the Indian Air Force received approvals for additional utility helicopters, air defence weapons, and advanced munitions. Additionally, the DAC sanctioned Mobile X-Band Doppler Weather Radar Systems.
Therefore, these specialized radar platforms will significantly improve localized weather monitoring and tactical air surveillance along critical forward operational areas.
Regulatory Process and Acceptance of Necessity
However, these approvals represent Acceptances of Necessity (AoNs), which provide in-principle administrative sanction rather than finalized commercial contracts. Thus, individual proposals must progress through tendering, field evaluation trials, and commercial negotiations before contract execution.
Ultimately, allocating over ₹1.74 lakh crore to domestic defense manufacturers provides long-term revenue visibility for defense PSUs and private OEMs.
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