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Centre clears military purchase proposals worth ₹2.38 lakh crore 
AoN for 55 proposals amounting to ₹6.73 lakh crore has been accorded

Centre clears military purchase proposals worth ₹2.38 lakh crore 

Mar 27, 2026
06:08 pm

What's the story

The Defense Acquisition Council (DAC), headed by Defense Minister Rajnath Singh, has cleared proposals worth ₹2.38 lakh crore to enhance India's defense capabilities. The council gave Acceptance of Necessity (AoN) for several projects, including an Air Defense Tracked System and Armored Piercing Tank Ammunition for the Indian Army. The Air Defense Tracked System will provide real-time control and reporting capabilities, while the High Capacity Radio Relay ensures reliable communication.

Army upgrades

DAC approves Dhanush gun system

The DAC also approved the Dhanush Gun System for the Army, which will improve artillery capabilities for long-range target engagement across all terrains with enhanced lethality and accuracy. The Runway Independent Aerial Surveillance System will provide surveillance capabilities to the Army units, while the Armored Piercing Tank Ammunition will enhance the lethality of Anti-Tank ammunition.

Air Force upgrades

DAC clears IAF medium transport aircraft

For the Indian Air Force, the DAC cleared proposals for Medium Transport Aircraft, the S-400 Long Range Surface-to-Air Missile System and Remotely Piloted Strike Aircraft. The Medium Transport Aircraft will replace AN32 and IL76 fleets to meet airlift requirements. The S-400 system is aimed at countering long-range air threats, while Remotely Piloted Strike Aircraft will facilitate offensive operations and intelligence activities.

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Coast Guard upgrades

DAC approves ICG air cushion vehicles

The DAC also approved Heavy Duty Air Cushion Vehicles for the Indian Coast Guard. These vehicles will be used for various maritime roles such as coastal patrolling, reconnaissance, search and rescue operations, and logistics support. In FY 2025-26, the DAC has cleared 55 proposals worth ₹6.73 lakh crore. Capital procurement contracts have been signed for 503 proposals worth ₹2.28 lakh crore this fiscal year.

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