Centre gives nod to defence proposals worth ₹1.44 lakh cr

CategoryDefence

Last Updated05/09/2024

Future Ready Combat Vehicles, Air Defence Fire Control Radars, Dornier-228 aircraft, Next Generation Fast Patrol and Offshore Patrol Vessels

In a significant move towards bolstering India’s defence capabilities, the Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, has approved the Acceptance of Necessity (AoN) for 10 major capital acquisition proposals worth ₹1,44,716 crore.
This decision marks a substantial step in modernising India's military forces, particularly with the procurement of advanced combat vehicles, air defence systems, and maritime assets.

The Indian Army is set to undertake its largest procurement of Future Ready Combat Vehicles (FRCVs) to replace the aging Soviet-origin T-92 tanks.
The FRCVs will be state-of-the-art Main Battle Tanks (MBTs) featuring superior mobility, all-terrain capabilities, multi-layered protection, precision firepower, and real-time situational awareness.
This acquisition will be carried out under the Make 1 procedure of the Defence Acquisition Procedure (DAP) and will be rolled out in three phases.
The initial phase will see the procurement of 590 FRCVs, eventually replacing over 1,700 T-92 tanks.
The operational relevance of these tanks has come under scrutiny, especially in light of their performance during the ongoing Russia-Ukraine conflict, where they have been considered vulnerable.

The DAC has also approved three AoNs aimed at enhancing the capabilities of the Indian Coast Guard (ICG), which will open up significant opportunities for both defence Public Sector Undertakings (PSUs) and private industries.
The ICG will receive Dornier-228 aircraft from Hindustan Aeronautics Ltd (HAL), next-generation fast patrol vessels, and offshore patrol vessels (NGOPVs). These assets will strengthen the ICG’s ability to conduct maritime surveillance, patrolling, search and rescue operations, and disaster relief efforts.
This approval complements a previous contract signed with Mazagon Dock Shipbuilders (MDL) for six NGOPVs and 14 fast patrol vessels, further boosting the ICG’s operational capabilities.

The DAC has sanctioned the procurement of advanced air defence fire control radars, which are essential for detecting, tracking, and neutralising aerial threats. These systems will replace the older fly-catcher radars, which have been in service for decades.
This procurement follows a previous import of 66 such radars from Israel, indicating a strategic shift towards indigenous development and production.

The DAC has also greenlit the procurement of Forward Repair Teams (Tracked), which are designed for in-situ repairs during mechanised operations. This equipment, developed by Armoured Vehicles Nigam Ltd, will enhance the operational readiness of both the Mechanised Infantry Battalions and Armoured Regiments.

The Ministry of Defence has underscored its commitment to indigenisation, with 99% of the total cost of these AoNs allocated to domestic sources under the Buy (Indian) and Buy (Indian-Indigenously Designed Developed and Manufactured) categories.
This initiative is in line with the government's "Atmanirbhar Bharat" (Self-Reliant India) vision, aimed at reducing dependency on foreign suppliers and bolstering the domestic defence manufacturing sector.