In a significant move to bolster the combat capabilities of the armed forces, the Ministry of Defence has granted initial approval for a mega deal worth ₹2.23 lakh crore. The deal includes the procurement of 97 Tejas light combat aircraft, approximately 150 Prachand helicopters, and other equipment.
According to the official statement, these proposals, valued at ₹1.6 lakh crore, are indigenous projects, aligning with the ‘Aatmanirbharta’ in defence. Hindustan Aeronautics Limited (HAL) is set to be the domestic supplier for Tejas and Prachand aircraft.
The Defence Acquisition Council approved capital acquisition proposals, emphasizing the goal of sourcing 98 percent from domestic industries. The acquisition includes Light Combat Helicopters, Light Combat Aircraft Mk 1A from HAL, Medium Range Anti-Ship Missiles for the Indian Navy’s surface platform, and the acquisition of Towed Gun System to replace Indian Field Gun.
Shares of HAL surged during the day, closing 1.65 percent higher at ₹2,382.30, while Cochin Shipyard saw a nearly 4 percent increase, closing at ₹1,206 apiece on BSE.
This development comes ahead of a crucial meeting scheduled with Defence Minister Rajnath Singh. The project, estimated at ₹55,000 crore, aims to complement the existing fleet of 83 Tejas jets.
The Tejas Mk-1A Light Combat Aircraft, India’s first self-made fighter jet, boasts critical operational capabilities, including an active electronically-scanned array radar, electronic warfare suite, and air-to-air refuelling capabilities. It received final operational clearance for induction into the Indian Air Force in February 2019.
The Prachand Light Combat Helicopters, the first batch of which was inducted into the Indian Air Force and the Army last year, contribute to the comprehensive enhancement of India’s defence capabilities.
