The government, through its Defence Acquisition Council (DAC) chaired by Defence Minister Rajnath Singh, has approved a comprehensive set of defence proposals valued at approximately ₹79,000 to ₹80,000 crore.

These approvals encompass critical upgrades and procurements aimed at bolstering the operational readiness of key military assets amid ongoing border tensions and strategic imperatives. Sources indicate the decisions were finalised in a recent DAC meeting, prioritising indigenisation and life-extension programs over fresh acquisitions.

Central to the approvals is the overhaul of T-90 Bhishma main battle tanks, targeting four ageing regiments to extend their service life by up to 20 years. The program involves resetting engines, gun barrels, and mechanical systems to modern standards, leveraging domestic expertise from the Indian Army’s Corps of Electronics and Mechanical Engineers and firms like Armoured Vehicles Nigam Limited.

This initiative builds on prior successes, such as refurbishments at the 505 Army Base Workshop since October 2024, enhancing high-altitude warfare capabilities against threats from China and Pakistan.

In parallel, the mid-life overhaul of Mi-17 helicopters has received clearance, ensuring these workhorse platforms remain combat-ready for utility and transport roles across the Army, Air Force, and Navy.

The upgrades focus on extending operational life through comprehensive maintenance, with emerging opportunities for private sector involvement beyond Air Force repair depots. This aligns with broader efforts to modernise India’s rotary-wing fleet, complementing initiatives like the indigenous electronic warfare suite integration by Bharat Electronics Limited.

Procurement of loitering munitions—also known as kamikaze drones—marks a significant push towards precision strike capabilities for the Army. These systems, proven effective during Operation Sindoor in May 2025 against terror and military targets in Pakistan and PoK, will enable tactical engagements of high-value assets.

Accompanying approvals include low-level lightweight radars and integrated drone detection systems MK-2 for enhanced surveillance and countermeasures in battle areas.

The DAC has also greenlit Medium Range Surface-to-Air Missiles (MRSAM) for both the Navy and Air Force, with a range of up to 70 km for intercepting aircraft, helicopters, UAVs, and cruise missiles. 

These vertically launched supersonic systems, already integrated on platforms like INS Vikrant, will fortify layered air defence, particularly for maritime assets amid Indo-Pacific rivalries. Recent contracts with Bharat Dynamics Limited underscore the momentum, following a ₹2,960 crore deal signed in January 2025.

Astra Mark-2 beyond-visual-range air-to-air missiles received approval to sharpen the Indian Air Force’s fighter jet edge, with over 600 units sought for integration on Su-30MKI and TEJAS platforms. 

Featuring a dual-pulse rocket motor for 140-200 km range, indigenous RF seeker, and advanced guidance, the missile counters threats like China’s PL-15 and Pakistan’s PL-15E through superior endgame manoeuvrability. This DRDO-developed system elevates standoff engagement, bolstering air superiority in contested environments.

These procurements reflect Operation Sindoor’s lessons, where long-range precision weapons demonstrated efficacy against adversarial infrastructure. The emphasis on domestic manufacturing under Atmanirbhar Bharat supports firms like Bharat Dynamics and Armoured Vehicles Nigam, fostering a robust maintenance, repair, and overhaul ecosystem.

The package sustains over 1,000 T-90s into the 2030s while addressing air defence gaps, without straining budgets during 2025’s defence reforms.

​Agencies