DAC clears Rs 2.38 lakh crore defence deals including five S-400 systems from Russia

The Defence Acquisition Council (DAC) cleared a proposal on Friday to procure five additional S-400 long-range surface-to-air missile systems from Russia. The approvals, worth Rs 2.38 lakh crore, also include medium transport aircraft and other equipment for the Indian Air Force. The decision follows months of discussions and the S-400's demonstrated capability in Operation Sindoor.

The Defence Acquisition Council (DAC), headed by Defence Minister Rajnath Singh, cleared several key acquisition proposals on Friday worth about Rs 2.38 lakh crore. These include five additional S-400 long-range surface-to-air missile systems from Russia, which the Ministry of Defence said will counter enemy long-range air vectors targeting vital areas.

The approval for the S-400s comes months after discussions and four months following Russian President Vladimir Putin's visit to India in December last year. India signed a $5.43 billion deal in 2018 for five squadrons; three have been delivered and deployed on borders facing Pakistan, with the remaining two expected later this year.

For the Indian Air Force, medium transport aircraft will replace ageing An-32 and Il-76 fleets to meet airlift needs. Remotely piloted strike aircraft, a DRDO programme, are expected in seven to eight years for offensive operations and intelligence, surveillance, reconnaissance. Overhaul of Su-30 aero engines was also approved to extend service life.

The Army received nods for armoured piercing tank ammunition, Dhanush gun systems, air defence tracked systems, high capacity radio relay, and runway independent aerial surveillance systems. The MoD stated the Dhanush will enhance artillery's long-range engagement with greater lethality and accuracy.

The Indian Coast Guard got acceptance of necessity for heavy duty air cushion vehicles for patrolling, reconnaissance, search and rescue, and logistics.

In the 2025-26 financial year, DAC granted AoNs for 55 proposals totalling Rs 6.73 lakh crore. Capital contracts signed this fiscal year stand at 503 proposals worth Rs 2.28 lakh crore, the highest ever.

Additionally, MoD signed Rs 858 crore contracts: Rs 445 crore for Army's Tunguska air defence systems with Russia's JSC Rosoboronexport, and Rs 413 crore for P8I aircraft inspections with Boeing India Defence Private Ltd under 'Buy Indian'.

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Illustration of a New Delhi bureaucratic residential complex with sports facilities funded by the national sports fund.
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Bureaucrats use national sports fund for colony facilities

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An investigation has revealed that the National Sports Development Fund has financed sports upgrades at a New Delhi residential complex for senior bureaucrats. The fund was created to support elite athletes and promote competitive sports across India. A parliamentary panel had already flagged such diversions last year.

Russia has cleared the export of around 300 R-37M ultra-long-range air-to-air missiles to India in a US$1.2 billion deal, according to media reports. Malaysia-based Defence Security Asia said deliveries could begin within 12 to 18 months. The missiles can target Pakistani support planes such as surveillance and refuelling aircraft.

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Hindustan Aeronautics Limited Chairman and Managing Director D K Sunil said military supplies from Israel may face delays due to the ongoing conflict with Iran, but India has sufficient stocks for the current year. He expressed hope that supplies will resume normally once the war ends.

German defense firm Rheinmetall reported a record operating result for 2025 and significantly increased its dividend. The order backlog reached nearly 64 billion euros, fueled by the defense boom. For 2026, the company forecasts a sales increase of 40 to 45 percent.

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US Secretary of Defense Pete Hegseth told Estonia's defense minister on Monday that delivery of munitions for High Mobility Artillery Rocket Systems would be postponed due to needs in the war with Iran. The contract for the weapons dates to 2022, with launchers already delivered last year. Estonia's minister voiced concerns about the delay's effect on deterrence.

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