India's Defense Acquisition Council approved the launch of a procurement process for military equipment worth 1.05 trillion rupees ($12.31 billion) on Thursday, marking the latest phase in the country's push to modernize its armed forces through domestic manufacturing. The approval covers ten capital acquisition proposals that will be sourced entirely from Indian companies, reinforcing New Delhi's drive toward self-reliance in defense production.
The approved acquisitions include armoured recovery vehicles, electronic warfare systems for all three military services, integrated inventory management systems, and surface-to-air missile systems12. Naval procurements encompass moored mines, mine counter-measure vessels, submersible autonomous vessels, and super rapid gun mounts designed to strengthen maritime security2.
Defense Minister Rajnath Singh chaired the council meeting that granted Acceptance of Necessity status to all proposals under the 'Buy (Indian-IDDM)' category, which emphasizes indigenous design, development, and manufacturing2. The ministry stated these procurements aim to improve mobility, air defense, logistics management, and operational readiness across the armed forces2.
Thursday's approval follows a pattern of substantial defense spending approvals throughout 2025. In March, India's defense acquisition council granted initial approval for weapons and equipment purchases exceeding 540 billion rupees ($6.26 billion), including enhanced engines for Russian-origin T-90 battle tanks and airborne warning and control systems1. The Cabinet Committee on Security also approved procurement of 156 indigenously developed 'Prachand' Light Combat Helicopters for 62,700 crore rupees in March 20252.
This builds on a $17 billion procurement approved in September 2024, which included Future Ready Combat Vehicles to modernize the Indian Army's tank fleet and next-generation patrol vessels for the navy3. According to Reuters, 99 percent of those items were designated for domestic procurement3.
India has maintained its position as the world's leading importer of major arms by value since 1950, with purchases exceeding $136 billion through 20241. The country's 2025 defense budget allocated 681,210 crore rupees ($78.57 billion) to the Ministry of Defense, representing a 9.5 percent increase from the previous year2.
The procurement strategy aligns with the government's "Make in India" initiative, with approximately 75 percent of the capital outlay budget designated for domestic industry2. The Ministry of Defense has declared 2025 as the "Year of Reform," signaling focus on joint military operations, integrated theater commands, and emerging domains including cyber warfare and artificial intelligence2.
