Defence📖 3 min read

India Clears 1.10 Lakh Crore Indigenous Defence Procurement

India's Ministry of Defence has approved a massive indigenous procurement package, boosting 'Make in India' in the defence sector.

Source: GNews Indian Military
Summary of News

India's Ministry of Defence has given preliminary approval for defence acquisition proposals worth 1.10 lakh crore. This significant package focuses on indigenous procurement for all three services: the Army, Navy, and Air Force. The Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, cleared these proposals. The aim is to strengthen India's self-reliance in defence manufacturing and reduce dependence on foreign imports. This move aligns with the 'Aatmanirbhar Bharat' (Self-Reliant India) initiative. The approved projects include various platforms and systems, which will be designed, developed, and manufactured within India. This push for indigenous defence procurement is expected to create jobs and foster technological advancements in the country.

Why It Matters

This news is crucial for competitive exams, especially for topics related to Defence, Economy, and Government Schemes (UPSC GS Paper III, SSC General Awareness). It highlights India's commitment to 'Make in India' and 'Aatmanirbhar Bharat' in the strategic defence sector. Aspirants should understand the role of the Defence Acquisition Council and the implications of indigenous defence manufacturing on national security and economic growth.

Key Points for Exam
  • India cleared indigenous defence procurement worth 1.10 lakh crore.
  • The proposals were approved by the Defence Acquisition Council (DAC).
  • Defence Minister Rajnath Singh chairs the Defence Acquisition Council.
  • The procurement package is for all three services: Army, Navy, and Air Force.
  • The initiative aims to boost 'Make in India' and 'Aatmanirbhar Bharat' in defence.
  • This is a preliminary approval, known as Acceptance of Necessity (AoN).
Important Keywords Explained
Defence Acquisition Council (DAC)organization

The DAC is the highest decision-making body in the Indian Ministry of Defence for capital acquisitions. It was formed in 2001 following the recommendations of the Group of Ministers on reforming the national security system. The Defence Minister chairs the DAC, which approves new policies and capital acquisitions for the Indian Armed Forces.

Aatmanirbhar Bharat Abhiyanscheme

Launched by Prime Minister Narendra Modi in 2020, this is an economic package and vision to make India self-reliant. It focuses on five pillars: Economy, Infrastructure, System, Demography, and Demand. In defence, it promotes indigenous manufacturing and reduces reliance on imports.

Acceptance of Necessity (AoN)concept

AoN is the first step in India's defence procurement process. It signifies the Ministry of Defence's formal acceptance of the need for a particular defence item or system. Once AoN is granted, the procurement process, including tendering and evaluation, can begin.

Additional Facts & Context
1India was the world's largest arms importer between 2019-2023, according to SIPRI.
2The defence budget for India in 2024-25 was approximately 6.21 lakh crore.
3The government aims to achieve a defence manufacturing turnover of $25 billion by 2025.
4India has set a target to export defence items worth 35,000 crore by 2025.
Examiner's Tip

Exams frequently ask about government initiatives like 'Make in India' and 'Aatmanirbhar Bharat', especially their application in key sectors like defence. Questions may also focus on the roles of bodies like the Defence Acquisition Council.

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Memory Trick

Remember 'DAC' (Defence Acquisition Council) as 'Decides All Capital' for defence, chaired by the Defence Minister.

Frequently Asked Questions

What is the significance of indigenous defence procurement for India?

Indigenous defence procurement is significant for India as it enhances national security by reducing dependence on foreign suppliers. It also boosts the domestic defence industry, creates jobs, fosters technological innovation, and saves foreign exchange, aligning with the 'Make in India' and 'Aatmanirbhar Bharat' initiatives.

Who chairs the Defence Acquisition Council (DAC) in India?

The Defence Acquisition Council (DAC) in India is chaired by the Union Defence Minister. The DAC is the highest decision-making body for defence procurement, ensuring strategic and efficient acquisition processes for the Indian Armed Forces.

What is the 'Make in India' initiative in the context of defence?

The 'Make in India' initiative in defence aims to encourage domestic manufacturing of defence equipment and systems. It seeks to transform India into a global manufacturing hub, reduce import dependency, and promote self-reliance in critical defence technologies and production.

Connected Concepts / Topics
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