Under the leadership of Defence Minister Rajnath Singh, the Defence Acquisition Council approved various capital acquisition proposals totaling ₹2.23 lakh crore by granting Acceptance of Necessity (AoNs). Out of the entire sum, 98 percent, equivalent to ₹2.20 lakh crore, will be procured from domestic industries.
"This will give a substantial boost to the Indian Defence Industry towards the aim of achieving the goal of 'Aatmanirbharta'," a defence ministry statement said.
The council has granted approval for the procurement of two types of Anti-tank Munitions, namely, Area Denial Munition (ADM) Type-2 and Type-3. These munitions possess the capability to neutralize Tanks, Armoured personnel carriers, and enemy personnel.
In the effort to replace the Indian Field Gun (IFG), which has reached the end of its service life, approval for the procurement of a state-of-the-art Towed Gun System (TGS) has been given. This system is expected to become a cornerstone in the artillery forces of the Indian Army.
Additionally, approval has been granted for the 155 mm Nubless projectile for use in 155 mm Artillery guns. This procurement aims to enhance the lethality and safety of the projectiles. All these equipment for the Indian Army will be obtained under the Buy (Indian-IDDM) category.
Approval has been granted for the procurement and integration of Automatic Target Tracker (ATT) and Digital Basaltic Computer (DBC) for T-90 Tanks under the Buy (India) category. This move is aimed at maintaining the combat edge of T-90 tanks over adversary platforms.
Furthermore, approval has been accorded for the procurement of Medium Range Anti-Ship Missiles (MRAShM) for the surface platform of the Indian Navy under the Buy (Indian-IDDM) category. The MRAShM is envisioned as a lightweight Surface-to-Surface Missile, serving as a primary offensive weapon on Indian Naval Ships.
Additionally, the Defence Acquisition Council has approved the procurement of 156 Light Combat Helicopter (LCH) for the Indian Air Force (IAF) and Indian Army, along with 97 Light Combat Aircraft (LCA) Mk 1A for IAF, sourced from Hindustan Aeronautics Limited (HAL) under the Buy (Indian-IDDM) category. The DAC has also given approval for the indigenous upgradation of 84 Su-30 MKI Aircraft from HAL.
While the procurement of these equipment is poised to significantly enhance the Indian Air Force's (IAF) capabilities, sourcing from domestic defence industries will elevate indigenous capabilities and substantially reduce dependence on foreign Original Equipment Manufacturers (OEMs).
Moreover, the Defence Acquisition Council (DAC) has granted approval for a significant amendment in the Defence Acquisition Procedure (DAP) 2020. Going forward, a minimum of 50 percent indigenous content in materials, components, and software manufactured in India will be required in all categories of procurement cases. The calculation of indigenous content will exclude the cost of Annual Maintenance Contract (AMC), Comprehensive Maintenance Contract (CMC), and after Sale Service.
Additionally, the Defence Acquisition Council (DAC) has made decisions to boost the involvement of start-ups and MSMEs in the defence ecosystem. In procurement cases with AoN costs up to ₹300 crore, registered MSMEs and recognized start-ups will be considered for the issuance of Request for Proposal (RFP) without financial parameter stipulations. This flexibility can be further extended with the approval of the Defence Procurement Board (DPB) for AoN costs up to ₹500 crore on a case-by-case basis.
Image source: Hindustan Times