Govt approves ₹54K Cr Defence deal, speeds up acquisitions

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The Defence Acquisition Council (DAC) approved ₹54,000 crore for military purchases on Thursday. It also set new guidelines to cut acquisition timelines from 96 weeks to 24 weeks.

The approved purchases include airborne early warning and control (AEW&C) systems, torpedoes, and tank engines. These acquisitions aim to boost the armed forces’ capabilities. The decision came a day after the Cabinet Committee on Security cleared a ₹7,000-crore deal for 307 locally made artillery guns and towing vehicles.

Under India’s defence procurement rules, DAC’s Acceptance of Necessity (AoN) marks the first step toward acquiring military equipment. The ministry highlighted that AEW&C systems would significantly enhance the Indian Air Force’s (IAF) combat effectiveness.

IAF inducted its first indigenous AEW&C system on a Brazilian Embraer-145 jet in 2017. Currently, it operates three Netra AEW&C systems developed by DRDO. These systems help detect enemy aircraft, missiles, and drones, allowing operators to guide interceptors to neutralize threats. IAF plans to induct six more Netra Mk-1A systems and six additional AEW&C systems on Airbus A321 aircraft.

DAC also approved new tank engines. The army will upgrade its T-90 tanks with 1350 HP engines, replacing the current 1000 HP versions. This upgrade will improve mobility, especially in high-altitude areas. Additionally, the navy will receive more Varunastra torpedoes to strengthen its underwater strike capabilities.

To speed up procurement, DAC cleared new guidelines to streamline the capital acquisition process. This move follows concerns raised by Chief of Defence Staff General Anil Chauhan. He recently warned that slow procurement hampers the military’s ability to adopt new technologies.

The defence ministry has declared 2025 as the “Year of Reforms.” It has identified nine focus areas, including simplifying weapons-buying procedures. The government aims to ensure faster, more efficient acquisitions to strengthen the armed forces.