Defence Acquisition Council Approves Eight Proposals Worth Over ₹54,000 Crore

Major Defence Procurements Cleared for Faster Acquisition

The Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, has approved Acceptance of Necessity (AoN) for eight key defence proposals, totaling over ₹54,000 crore. The approvals, announced on March 20, cover procurements for the Indian Army, Indian Navy, and Indian Air Force (IAF).

Additionally, the DAC has approved new guidelines aimed at reducing acquisition timelines, ensuring faster and more efficient procurement of critical defence equipment. The move aligns with India’s push for self-reliance in defence production under the Aatmanirbhar Bharat initiative.

Upgraded 1350 HP Engine for T-90 Tanks to Enhance Battlefield Mobility

For the Indian Army, the DAC has granted AoN for the procurement of a 1350 HP engine to upgrade the existing 1000 HP engine used in T-90 tanks.

• The upgrade is designed to enhance battlefield mobility, particularly in high-altitude areas.
• With an improved power-to-weight ratio, the T-90 tanks will gain greater operational effectiveness in challenging terrains.
• This move is part of India’s long-term modernization strategy for its armored fleet, ensuring superior combat readiness.

Indian Navy to Acquire Indigenously Built Varunastra Torpedoes

For the Indian Navy, the DAC has granted AoN for the procurement of Varunastra torpedoes, an indigenous ship-launched anti-submarine weapon.

• Varunastra is developed and manufactured by Bharat Dynamics Limited (BDL), reinforcing the Make in India initiative in the defence sector.
• The torpedo is designed to counter submarine threats and enhance India’s maritime warfare capabilities.
• Following the announcement, BDL’s stock surged by nearly 4%, reflecting investor confidence in India’s domestic defence manufacturing sector.

Airborne Early Warning & Control Aircraft for the Indian Air Force

The Indian Air Force (IAF) has secured AoN approval for the procurement of Airborne Early Warning & Control (AEW&C) aircraft systems.

• AEW&C aircraft act as force multipliers, significantly enhancing India’s air defence capabilities.
• These systems use advanced radar technology to detect and track hostile aircraft and UAVs from long distances.
• The IAF already operates Netra AEW&C systems, which are mounted on Embraer aircraft. The new procurement will further boost surveillance and early-warning capabilities.

New Guidelines to Accelerate Defence Acquisitions

Along with these procurement approvals, the DAC has approved new guidelines aimed at reducing acquisition timelines under the Capital Acquisition Process.

• The revised framework is expected to streamline various stages of defence procurement, ensuring faster decision-making and implementation.
• These reforms are part of India’s broader defence modernization efforts, focusing on cybersecurity, space warfare, artificial intelligence (AI), and machine learning (ML).

India’s Defence Procurement Drive Gathers Momentum for 2025

The latest approvals reflect India’s aggressive push to strengthen its defence capabilities in response to regional security challenges.

• The Centre has already announced plans for major defence reforms in 2025, focusing on next-generation warfare technologies.
• The indigenous production of key defence assets under Aatmanirbhar Bharat is expected to reduce dependence on foreign imports and boost India’s defence exports.

With these strategic acquisitions and policy reforms, India is positioning itself as a self-sufficient global defence powerhouse.