INDIA SETS THE STAGE FOR A ₹2.12-LAKH-CRORE MILITARY MODERNISATION DRIVE AS DRONES, ARTILLERY AND MISSILE DEFENCES TAKE CENTRE STAGE
October 26, 2026
India has cleared defence acquisition proposals worth approximately ₹2.12 lakh crore for the Army, Navy and Air Force, marking a major step in the country’s efforts to modernise its armed forces, strengthen operational preparedness and expand domestic defence manufacturing. The Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, granted Acceptance of Necessity (AoN) to the proposals on Monday, October 26, 2026.
Around 82 per cent of the proposed procurement is expected to be sourced from Indian industry, according to the Ministry of Defence. The approvals cover a broad range of military equipment, including artillery systems, helicopters, short-range air defence platforms, surveillance aircraft, long-range drones, counter-drone systems and naval missile-defence equipment.
The decision reflects the growing importance of mobility, surveillance, precision engagement and protection against emerging aerial threats in contemporary military operations. However, the approvals represent an initial stage in the acquisition process rather than completed purchases. Individual procurement procedures, contractual negotiations and other required clearances must follow before the equipment can be delivered to the armed forces.
ARMY TO RECEIVE NEW ARTILLERY, SURVEILLANCE AND DRONE SYSTEMS
For the Indian Army, the DAC approved proposals covering High Mobility Vehicles (HMVs), a Self-Propelled Tracked Gun System, a Gun Shot Response System (GSRS), Light Multi Role Helicopters (LMRH), Very Short-Range Air Defence Systems (VSHORADS) and platform-based Counter-Unmanned Aerial Systems (C-UAS).
The Army’s proposed acquisitions also include long-range unmanned aerial systems, surveillance unmanned aerial vehicles, an Integrated Surveillance and Strike System and Long Range Kamikaze Drone Systems.
High Mobility Vehicles are intended to improve troop movement, logistical support and operational mobility in difficult terrain. Such capabilities are particularly relevant in areas where steep gradients, limited road infrastructure and challenging weather can complicate the movement of personnel, ammunition, supplies and equipment.
The Self-Propelled Tracked Gun System is intended to provide mechanised formations with a combination of firepower and mobility. Tracked artillery platforms can move alongside armoured formations and reposition as operational requirements change. The proposal forms part of the broader effort to strengthen the Army’s artillery capabilities and support mobile ground operations.
The Gun Shot Response System is designed to improve situational awareness by helping identify the location of hostile firing. Rapid detection and localisation of incoming fire can assist commanders in assessing threats and coordinating an appropriate response.
The proposed Very Short-Range Air Defence Systems are intended to counter emerging low-altitude aerial threats, including small and relatively difficult-to-detect targets. As unmanned aircraft become more widely used for reconnaissance and attacks, short-range air defence has become an important component of protecting troops and military installations.
The platform-based counter-drone systems are expected to improve the survivability of tanks and other military platforms against unmanned aerial threats. Their intended role reflects the changing character of land warfare, where relatively inexpensive drones can threaten equipment that is costly to manufacture and maintain.
The Army’s proposed long-range drones and integrated surveillance-and-strike systems are intended to strengthen reconnaissance, target identification and engagement capabilities. Long-range kamikaze drones, which are designed to strike targets by crashing into them, provide another option for precision attacks against selected targets. Their effectiveness in practice will depend on factors including detection, communications, navigation, target identification and the countermeasures deployed by an adversary.
NAVY’S ANTI-MISSILE DEFENCES IN FOCUS
For the Indian Navy, the council approved the procurement of an Active Offboard Decoy System (AODS), along with other major naval platforms.
The Active Offboard Decoy System is intended to strengthen protection against modern anti-ship missiles. Such systems can deploy decoys away from a vessel to divert or confuse incoming missile seekers, reducing the likelihood that a missile will strike the ship itself. Their performance depends on the type of threat, the system’s technical capabilities and the circumstances in which it is deployed.
The proposed naval platforms are expected to enhance the Navy’s operational and combat capabilities. The Ministry of Defence has emphasised indigenous design and construction for the relevant platforms, reinforcing the government’s stated objective of developing domestic expertise in complex naval systems.
The proposed acquisitions come amid growing attention to maritime security, protection of naval assets and the need to operate effectively across a wide range of maritime environments. Modern naval operations require not only ships and weapons, but also surveillance, electronic systems, reliable logistics and layered defences against missiles and unmanned threats.
AIR FORCE TO ACQUIRE HELICOPTERS, WEAPONS AND WEATHER RADARS
The Indian Air Force will also benefit from the proposed acquisitions. The DAC approved proposals covering helicopters, air defence systems, weapons and a Mobile X-Band Doppler Weather Radar System.
The proposed Special Utility Helicopters are intended to meet important air-transport requirements. The Light Multi Role Helicopters are envisaged for use by both the Army and the Air Force, with roles including reconnaissance, surveillance, combat support, search and rescue, and humanitarian assistance and disaster relief.
Helicopters remain important for operations in areas where fixed-wing aircraft cannot provide the same flexibility, particularly for moving personnel and supplies, supporting isolated units and conducting rescue missions. Their value depends on suitable equipment, maintenance, trained crews and the availability of supporting infrastructure.
The Air Force’s proposed air defence systems and weapons are intended to strengthen its operational and war-fighting capabilities. The Mobile X-Band Doppler Weather Radar System will provide high-resolution, localised weather information in forward areas, helping military personnel assess conditions that can affect flying operations and other activities.
Reliable weather information is particularly important for air operations because rapidly changing visibility, precipitation, wind and storm conditions can affect aircraft movement, mission planning and safety. Mobile radar capabilities can help provide more detailed information in operational areas where existing weather-monitoring infrastructure may be insufficient.
DOMESTIC INDUSTRY TO SUPPLY THE MAJORITY OF PROPOSED PROCUREMENT
One of the most significant features of the approvals is the planned domestic sourcing of approximately 82 per cent of the proposed acquisitions. The government has presented this emphasis on Indian industry as part of its broader drive to increase self-reliance in defence manufacturing.
Domestic procurement can create opportunities for Indian manufacturers, component suppliers, engineering firms and specialised technology companies. It may also help develop industrial capabilities in areas such as electronics, sensors, communications, aerospace, propulsion, unmanned systems and weapons integration.
However, the proportion of procurement earmarked for Indian industry does not, by itself, establish how much of the equipment’s technology or components will be developed entirely within the country. The practical impact will depend on manufacturing arrangements, technology development, supply-chain resilience, delivery schedules and the ability of domestic suppliers to meet the armed forces’ technical and operational requirements.
For the armed forces, timely delivery and dependable performance will remain essential. New equipment must be integrated with existing platforms, supported by maintenance and training, and tested under operational conditions. The acquisition process must therefore balance the objectives of domestic industrial development with cost, reliability, interoperability and military requirements.
APPROVAL IS THE BEGINNING OF THE PROCUREMENT PROCESS
The Defence Acquisition Council’s Acceptance of Necessity is an important administrative milestone, but it is not equivalent to the signing of contracts or the immediate induction of new equipment. Further stages of the procurement process will determine the final specifications, acquisition arrangements, suppliers, costs and delivery schedules.
The overall value of ₹2.12 lakh crore represents the estimated cost of the proposals that received approval in principle. It should not be interpreted as an amount already spent or as confirmation that every proposed system has been contracted for delivery.
The proposals nevertheless demonstrate the breadth of equipment requirements being addressed across the three services. The Army’s priorities include mobility, artillery, surveillance and protection against drones; the Navy’s include missile defence and naval platforms; and the Air Force’s include helicopters, weapons, air defence and operational weather monitoring.
Taken together, the planned acquisitions reflect the growing importance of integrating conventional military capabilities with unmanned systems, rapid threat detection and layered defence. The success of the modernisation drive will ultimately depend on whether the approved proposals translate into equipment that reaches the armed forces on schedule, performs reliably and meets the operational needs for which it was intended.
India’s latest defence approvals thus mark a substantial step in the planning of future military capabilities, while leaving the crucial work of contracting, manufacturing, testing and induction still to be completed.
