DAC Clears ₹2.38 Lakh Crore Defence Modernisation, Self-reliance Push

In one of the largest defence procurement decisions in recent years, the Defence Acquisition Council (DAC), chaired by Raksha Mantri Shri Rajnath Singh, has granted Acceptance of Necessity (AoN) for multiple capital acquisition proposals worth ₹2.38 lakh crore.

The approvals mark a significant step in strengthening India's military capabilities across land, air, and maritime domains, while also advancing the country's push for modernisation and self-reliance in defence.

Major Capability Boost for the Indian Army

The DAC approved several critical systems for the Indian Army, aimed at enhancing combat effectiveness, surveillance, and communication:

• Air Defence Tracked System

  • Enables real-time air defence control and reporting

  • Strengthens protection against aerial threats

• Armour Piercing Tank Ammunition

  • Enhances anti-tank lethality in battlefield scenarios

• High Capacity Radio Relay

  • Provides robust, secure, and fail-proof communication networks

• Dhanush Gun System

  • Improves artillery capability with long-range precision strikes

  • Effective across diverse terrains

• Runway Independent Aerial Surveillance System

  • Offers advanced surveillance capabilities without reliance on airstrips

These acquisitions collectively aim to enhance the Army's operational readiness, mobility, and firepower, especially in high-threat environments.

Indian Air Force: Focus on Strategic Mobility and Advanced Warfare

For the Indian Air Force (IAF), the DAC cleared key proposals that will significantly upgrade both offensive and defensive capabilities:

• Medium Transport Aircraft

  • To replace ageing fleets like AN-32 and IL-76

  • Strengthens strategic and tactical airlift capability

• S-400 Long Range Surface-to-Air Missile System

  • Provides advanced air defence against long-range threats

  • Protects critical assets and strategic locations

• Remotely Piloted Strike Aircraft (RPSA)

  • Enables precision offensive operations

  • Supports stealth ISR (Intelligence, Surveillance, Reconnaissance) missions

• Overhaul of Su-30 Aero Engine Aggregates

  • Extends service life of frontline fighter aircraft

  • Enhances operational availability

These decisions reflect a shift toward network-centric and technology-driven warfare, with emphasis on air dominance and rapid deployment capabilities.

Strengthening Coastal Security: Indian Coast Guard

The DAC also approved procurement of Heavy Duty Air Cushion Vehicles (Hovercraft) for the Indian Coast Guard, which will be deployed for:

• High-speed coastal patrolling

• Search and rescue operations

• Reconnaissance and surveillance

• Logistics and personnel transport

These platforms are particularly effective in shallow waters, marshy terrains, and coastal zones, enhancing India's maritime security framework.

Record Defence Procurement Momentum

The approvals come amid a record year for defence acquisitions:

• 55 AoNs worth ₹6.73 lakh crore cleared in FY 2025–26

• 503 capital procurement contracts worth ₹2.28 lakh crore signed so far

Both figures represent the highest-ever in a single financial year, highlighting the government's accelerated push toward defence modernisation.

Strategic Implications

The latest AoNs reflect a comprehensive approach to defence preparedness:

• Strengthening multi-layered air defence systems

• Enhancing artillery and surveillance capabilities

• Modernising transport and strike capabilities of the Air Force

• Improving coastal and maritime security infrastructure

The focus on advanced technologies, coupled with ongoing reforms in defence procurement, is expected to:

• Improve operational efficiency of armed forces

• Reduce dependence on imports through indigenisation efforts

• Build a future-ready military force

Towards Aatmanirbhar Defence Ecosystem

The scale and diversity of approvals also align with India's broader goals of:

• Aatmanirbhar Bharat (self-reliance) in defence production

• Encouraging domestic manufacturing and innovation

• Strengthening public-private partnerships in defence sector

A Defining Year for Defence Preparedness

With record-breaking approvals and contracts, FY 2025–26 is emerging as a defining year in India's defence modernisation journey, laying the groundwork for a technologically advanced, agile, and self-reliant military.