Defense Ministry approves purchase of military equipment worth over Rs 13,000 crore
Giving a boost to the armed forces, the Ministry of Defense (MoD) on Wednesday approved the purchase of military equipment worth Rs 13,165 crore, including 25 locally developed ALH Mark-III helicopters and rocket ammunition .
“The Ministry of Defense has approved the purchase of military equipment worth Rs 13,165 crore. The purchase of military equipment approved by the ministry includes 25 advanced light helicopters and rocket ammunition, ”said officials quoted by the PTI news agency.
The cost of acquiring the helicopters has been estimated at Rs 3,850 crore, while a batch of rocket ammunition will be purchased for Rs 4,962 crore, the Defense Ministry said.
The purchase proposals were approved at a Defense Acquisition Council (DAC) meeting chaired by Defense Minister Rajnath Singh.
Out of the total purchases, equipment and platforms worth Rs 11,486 crore will come from national entities.
“The DAC has granted Acceptance of Need (AoN) for capital procurement proposals for the modernization and operational requirements of the Indian Armed Forces amounting to approximately Rs 13,165 crore. Of the total amount approved, purchases worth Rs 11,486 crore (87%) are from domestic sources, ”the ministry said in a statement.
In addition, the DAC has approved some changes to the Defense Acquisition 2020 procedure as part of the ‘reengineering of operational processes to ensure greater ease of doing business for the industry as well as measures to improve the ‘purchasing efficiency and reducing lead times,’ the ministry mentioned.
This comes at a time when the Center has asked Indian defense manufacturers to increase their production. Singh recently stated that the the share of purchases by domestic industry has risen to nearly 65 percent for the modernization of defense, and private domestic industry at 15 percent. Speaking at the annual session of the industry body Society of Indian Defense, Singh said: “It is a big problem for everyone that the percentage of domestic purchases has increased to 64.09% of the amount allocated for modernization. of the defense. In addition, the percentage of direct private sector purchases in domestic capital purchases has increased to 15%.
He also said the government “provides an appropriate growth environment for the private sector” and stressed that “we have opened up opportunities to build a mega defense program for fighter jets, helicopters, tanks and sub- sailors through a strategic partnership model “.
Earlier this year, the Center approved budget support of nearly Rs 499 crore for research and innovation in the defense sector for the next five years.
Last week, the Center placed an order for 118 new Arjun Mk-1A main battle tanks, featuring superior firepower, off-road mobility and multi-layered protection compared to older models. Arjun has been a mainstay of the military for 15 years. The new tanks, developed by the Defense Research and Development Organization, will be manufactured at the government’s heavy-duty vehicle plant in Chennai. The order is worth Rs 7,523 crore.
(With PTI inputs)