Defence stocks such as Hindustan Aeronautics Limited (HAL), Bharat Forge, and MTAR Technologies experienced significant gains on Friday, February 16, after the Defence Acquisition Council (DAC) sanctioned contracts worth approximately ₹84,560 crore to improve India’s defence capabilities.
Chaired by Defence Minister Rajnath Singh, the DAC approved several proposals during its latest meeting. The council is responsible for the procurement and acquisition of weapons and equipment for the Indian military.
The approved proposals encompass a range of essential defence equipment, including new generation anti-tank mines, air defence tactical control radar, heavy weight torpedoes, medium range maritime reconnaissance and multi-mission maritime aircraft, flight refueller aircraft, and software-defined radios.
Procurement of medium range maritime reconnaissance and multi-mission maritime aircraft has been given the green light to strengthen the surveillance and interdiction capabilities of both the Indian Navy and the Indian Coast Guard, as stated by the defence ministry.
Additionally, a proposal to acquire air defence tactical control radar was approved with the aim of bolstering the air defence systems, particularly the capabilities to detect slow, small, and low-flying targets.
The DAC also approved the procurement of a canister-launched anti-armour loiter munition system to enhance the operational efficiency and domination in the tactical battle area for engaging targets that are beyond visual line of sight by the mechanised forces.
Furthermore, the approval of the Flight Refueller Aircraft procurement aims to enhance the operational capabilities and reach of the Indian Air Force.
The contracts approved by the DAC are part of India’s efforts to boost its overall defence requirements and infrastructure, aligning with the country’s strategic defence priorities and modernization plans.
