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31 Dec 2025·Source: The Hindu
2 min
Polity & GovernanceEconomyScience & TechnologyNEWS

Defence Ministry Secures ₹4,600 Crore Contracts for Army and Navy Modernisation

Defence Ministry signs ₹4,600 crore contracts for Army and Navy, boosting indigenous defence manufacturing.

Defence Ministry Secures ₹4,600 Crore Contracts for Army and Navy Modernisation

Photo by Belov Sergey

The Ministry of Defence has signed two significant contracts worth over ₹4,600 crore to bolster the capabilities of the Indian Army and Navy. These agreements include the procurement of 70,000 SIG Sauer assault rifles for the Army and the acquisition of Heavy Weight Torpedoes for the Navy.

A crucial aspect of these contracts is the emphasis on indigenous manufacturing, with a substantial portion of the procurement being sourced from Indian vendors, aligning with the 'Make in India' and 'Aatmanirbhar Bharat' initiatives in the defence sector. This move is vital for enhancing national security and promoting self-reliance in defence production.

मुख्य तथ्य

1.

Defence Ministry signed contracts worth over ₹4,600 crore.

2.

Procurement for Indian Army and Navy.

3.

Includes 70,000 SIG Sauer assault rifles for Army.

4.

Includes Heavy Weight Torpedoes for Navy.

5.

Emphasis on indigenous manufacturing ('Make in India', 'Aatmanirbhar Bharat').

UPSC परीक्षा के दृष्टिकोण

1.

Defence Procurement Policy (DAP 2020) and its categories

2.

'Aatmanirbhar Bharat' and 'Make in India' in defence

3.

Role of Public and Private Sector in defence manufacturing

4.

Strategic importance of indigenous defence production

5.

Challenges and opportunities in defence R&D and technology transfer

दृश्य सामग्री

Defence Modernisation Contracts: Key Highlights (Dec 2025)

This dashboard presents the crucial figures from the recent Ministry of Defence contracts, highlighting the scale of procurement and the strategic focus on indigenous manufacturing.

Total Contract Value
₹4,600 Crore

Significant investment in enhancing the capabilities of the Indian Army and Navy, aligning with long-term modernization plans.

SIG Sauer Assault Rifles
70,000 Units

Procurement for the Indian Army, crucial for infantry modernization and operational effectiveness.

Heavy Weight Torpedoes
For Indian Navy

Enhances the anti-submarine warfare capabilities of the Indian Navy, critical for maritime security.

Indigenous Manufacturing Focus
Substantial Portion

A core aspect of the contracts, promoting 'Make in India' and 'Aatmanirbhar Bharat' in defence production.

और जानकारी

पृष्ठभूमि

India has historically been one of the world's largest importers of defence equipment. Post-independence, efforts were made to establish a domestic defence industrial base, primarily through Public Sector Undertakings (PSUs) and Ordnance Factories. However, technological gaps and strategic dependencies persisted. Recent geopolitical shifts and the 'Make in India' initiative have intensified the focus on indigenous defence manufacturing.

नवीनतम घटनाक्रम

The Ministry of Defence has signed significant contracts worth ₹4,600 crore for the Indian Army and Navy, including SIG Sauer assault rifles and Heavy Weight Torpedoes. A key highlight is the strong emphasis on indigenous manufacturing, aligning with the 'Aatmanirbhar Bharat' (self-reliant India) initiative. This move aims to reduce import dependence, boost domestic industry, and enhance national security.

बहुविकल्पीय प्रश्न (MCQ)

1. With reference to India's defence procurement and 'Aatmanirbhar Bharat' initiative, consider the following statements: 1. The recent contracts for the Indian Army and Navy primarily emphasize procurement from foreign vendors to ensure rapid modernization. 2. Heavy Weight Torpedoes are primarily used by the Navy for anti-submarine warfare. 3. The Defence Acquisition Procedure (DAP) 2020 prioritizes procurement categories that involve indigenous design, development, and manufacturing. Which of the statements given above is/are correct?

उत्तर देखें

सही उत्तर: B

Statement 1 is incorrect. The news explicitly states that a crucial aspect of these contracts is the emphasis on indigenous manufacturing, aligning with 'Make in India' and 'Aatmanirbhar Bharat'. Statement 2 is correct. Heavy Weight Torpedoes are indeed a crucial weapon for naval forces, primarily used for anti-submarine warfare (ASW) against enemy submarines. Statement 3 is correct. DAP 2020, building on previous policies, places significant emphasis on indigenization, prioritizing 'Buy (Indian-IDDM)' (Indigenously Designed, Developed and Manufactured) and 'Buy (Indian)' categories to boost domestic defence industry.

2. In the context of 'Aatmanirbhar Bharat' initiative in the defence sector, which of the following statements is/are correct? 1. It includes a 'Positive Indigenisation List' of items that can only be procured from domestic sources. 2. The Defence Production and Export Promotion Policy (DPEPP) 2020 aims to achieve a turnover of ₹1,75,000 Crore in defence manufacturing by 2025. 3. The Strategic Partnership Model under DAP 2020 encourages private sector participation in manufacturing high-tech defence equipment. Select the correct answer using the code given below:

उत्तर देखें

सही उत्तर: D

Statement 1 is correct. The Ministry of Defence has periodically released 'Positive Indigenisation Lists' (now called 'Positive Indigenisation Lists' for Services and DPSUs) of various defence equipment that will be indigenized and procured only from domestic sources over a specified timeline. Statement 2 is correct. The DPEPP 2020 indeed sets an ambitious target of achieving a turnover of ₹1,75,000 Crore (US$ 25 Billion) in defence manufacturing, including an export target of ₹35,000 Crore (US$ 5 Billion) by 2025. Statement 3 is correct. The Strategic Partnership (SP) Model, introduced in DAP 2020 (and earlier in DPP 2016), aims to create a vibrant defence industrial ecosystem by involving private sector players in the manufacturing of high-tech defence equipment like submarines, fighter aircraft, helicopters, and armoured vehicles.

3. Which of the following statements regarding defence manufacturing and procurement in India is NOT correct?

उत्तर देखें

सही उत्तर: C

Statement A is correct. The government corporatized the Ordnance Factory Board (OFB) into seven new 100% government-owned corporate entities (DPSUs) in 2021 to improve efficiency and accountability. Statement B is correct. Bharat Dynamics Limited (BDL) is a major Indian manufacturer of ammunition and missile systems, including various types of torpedoes (e.g., Varunastra) and anti-tank guided missiles. Statement C is incorrect. While the government has simplified the defence export policy and made it more industry-friendly, private sector companies still require specific licenses and approvals from the Ministry of Defence (Department of Defence Production) for exporting defence equipment, especially for sensitive items. Exports are not entirely unregulated. Statement D is correct. India's capital outlay for defence has generally seen an upward trend over the last decade, reflecting the government's focus on modernizing the armed forces and acquiring new equipment.

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