The Indian government is poised to finalize four major defence agreements worth over ₹1.5 lakh crore before the end of the current fiscal year on March 31st. These deals aim to significantly bolster the capabilities of the Indian armed forces across various domains.
First on the agenda is a ₹63,000 crore contract with France for 26 Rafale-Marine fighter jets. These advanced aircraft, comprising 22 single-seat and four twin-seat trainer variants, will operate from the INS Vikrant aircraft carrier, significantly enhancing the Indian Navy's maritime power projection. The deal encompasses weapons, simulators, training, and logistical support. It awaits final approval from the cabinet committee on security.
A second agreement with France, valued at ₹38,000 crore, will see the acquisition of three additional Scorpene submarines. These diesel-electric submarines will be built at Mazagon Docks in Mumbai and will feature air-independent propulsion for extended underwater endurance, crucial for India's expanding underwater operational needs. The first submarine is expected to be delivered by 2031, with the remaining two following annually.
India also plans to procure 156 Prachand light combat helicopters for approximately ₹53,000 crore. These helicopters, manufactured by Hindustan Aeronautics Limited, are specifically designed for high-altitude operations. Ninety of these helicopters will be designated for the Army and 66 for the Air Force, enhancing their capabilities in challenging terrains.
Finally, a ₹8,500 crore deal will cover the acquisition of 307 advanced towed artillery gun systems (ATAGS). These guns will be produced by Bharat Forge and Tata Advanced Systems, with Bharat Forge manufacturing 60% and Tata producing the remaining 40%. The army may order additional ATAGS in the future, further modernizing its artillery arsenal.
According to sources, the Rafale deal is likely to be cleared by the CCS before the end of January, followed shortly by the Scorpene deal. The aim is to sign all four deals within this fiscal year, demonstrating the government's commitment to strengthening India's defence capabilities.
Efforts are also underway to revise the Defence Acquisition Procedure-2020 to further streamline procurement processes, reduce timelines, and ensure a level playing field for all stakeholders. These initiatives underscore India's focus on modernizing its armed forces and achieving self-reliance in defence technology.
