The Defence Acquisition Council (DAC), in its meeting on 15th September 2023, under the chairmanship of Union Defence Minister Rajnath Singh, granted Acceptance of Necessity (AoN) for capital acquisition proposals of various weapons systems and platforms amounting to Rs 45,000 crore.These proposals further strive to strengthen the operational capabilities of the Indian Defence Forces and increase the incorporation of indigenous content in defence projects.
Key Highlights:
(i) The Defence Acquisition Council (DAC) has granted approval for nine procurement proposals, and all these procurements will be sourced from indigenous vendors under Buy Indian-Indigenously Designed Developed and Manufactured (IDDM) category.
- The Buy Indian-IDDM category plays a crucial role in the Indian government’s endeavours to foster self-reliance in the defence sector, primarily aimed at advancing indigenous capabilities.
- This move will further provide significant boost to the Indian defence Industry and will help in achieving the goal of ‘Aatmanirbhar Bharat’ which will further contribute towards the ‘Make in India’ initiative of the Government of India.
(ii) Defence Minister Rajnath Singh, during the high-powered Defence Acquisitions Council meeting, directed the top military officials and government bureaucrats towards ensuring a minimum of 60-65% indigenous content for IDDM projects, in the defence sector.
- Currently, the threshold for indigenous content in defence projects stands at 50%.
- The defence minister directed the Chief of Defence Staff (CDS), Service Chiefs, Defence Secretary and Director-General (DG) -Acquisition, to collaborate with the Indian industry in raising the minimum threshold for indigenous content. This directive is aimed at strengthening the self-sufficiency and capabilities of the Indian defence industry while decreasing reliance on foreign suppliers
Details of Procurements:
i) For Indian Army:
Under proposals to enhance the Indian Army’s capabilities, the DAC approved the Acquisition of Necessity (AoN) for the procurement of Light Armoured Multipurpose Vehicles (LAMV) and Integrated Surveillance and Targeting System (ISAT-S) to improve protection, mobility, attack capabilities, and overall survivability.
Additionally, the DAC cleared the AoN for the procurement of High Mobility Vehicle (HMV) Gun Towing Vehicles, enabling swift mobilization and deployment of Artillery Guns and Radars.
(ii) For Indian Air Force:
To enhance operational accuracy and reliability, the Defence Acquisition Council (DAC) approved several Indian Air Force proposals. These included the avionic upgrade of Dornier Aircraft, the procurement of Dhruvastra Short Range Air-to-Surface Missiles as potent Indigenous Precision Guided Weapons for indigenously built ALH Mk-IV Helicopters, and the acquisition of 12 Su-30 MKI Aircraft with associated equipment from Hindustan Aeronautics Limited (HAL).
(iii) For Indian Navy:
The DAC has given the green light for the acquisition of Next Generation Survey Vessels, a move that will bolster the Indian Navy’s capacity to conduct Hydrographic Operations and enhance its capabilities in this regard.
About DAC:
- Established: 2001
- Chairman – Union Defence Minister
- The DAC is the highest decision-making body in the Defence Ministry which decides on new policies and capital acquisitions for the Indian Defence services (Army, Navy and Air Force) and the Indian Coast Guard.
About Ministry of Defence:
Union Defence Minister (Raksha Mantri): Shri Rajnath Singh (Constituency – Lucknow)
Minister Of State for Defence: Shri Ajay Bhatt
