New Delhi, March 27 – In a major defense acquisition move, India on Friday approved the purchase of a fresh batch of five S-400 missile systems from Russia and 60 medium transport aircraft, along with several other military platforms, for a total cost of Rs 2.38 trillion to enhance the combat capabilities of the armed forces.
The procurement proposals were approved by the Defence Acquisition Council (DAC), the highest decision-making body in the Ministry of Defence for military procurement. It was chaired by Defence Minister Rajnath Singh.
While the Ministry of Defence confirmed that the DAC had approved the purchase of S-400 missile systems and military transport aircraft, it did not specify the exact quantities. However, authoritative sources said the approval covers five S-400 units and 60 transport aircraft.
The Indian Air Force (IAF) is procuring the military transport aircraft to replace its aging fleet of Soviet-era AN-32 and IL-76 planes. The Lockheed Martin C-130 J Super Hercules, Embraer's KC-390 aircraft, and Airbus Defence and Space's A-400M plane are among the leading contenders for this multi-billion dollar deal. The IAF already operates 12 C-130 J Super Hercules.
It is learned that 12 aircraft will be procured in ready-to-use condition, while 48 will have to be manufactured in India.
The decision to procure an additional batch of five S-400 air defense missile systems came months after their capabilities were proven during Operation Sindoor. These missile systems played a crucial role in India's dominance over Pakistan during the hostilities between May 7 and 10 last year.
In October 2018, India had signed a USD 5 billion deal with Russia to purchase five units of the S-400 air defense missile system, despite a warning from the US that proceeding with the contract might invite US sanctions under the provisions of the Countering America's Adversaries Through Sanctions Act (CAATSA).
Sources say that India does not expect any hindrance from US sanctions as the new procurement will be a "follow-on" order of the previous procurement.
The DAC also gave the green light to the procurement of remotely piloted "Strike aircraft" and the overhaul of Sukhoi-30 aero engines, in addition to approving the acquisition of the Dhanush gun system for the Indian Army.
In the 2025-26 financial year, the DAC has approved proposals amounting to Rs 6.73 trillion. Moreover, capital procurement contracts for 503 proposals amounting to Rs 2.28 trillion have been signed in the current fiscal year.
According to the Ministry of Defence, both the amount of approval and capital contracts signed so far are the highest in any given financial year.
The DAC granted "Acceptance of Necessity" (AoN) or initial approval for various proposals worth an estimated cost of about Rs 2.38 trillion, the ministry said in its Friday announcement.
"For the Indian Air Force, proposals were cleared for the procurement of medium transport aircraft, the S-400 long-range surface-to-air missile system, remotely piloted Strike aircraft, and the overhaul of Su-30 Aero engine aggregates," it said.
The induction of medium transport aircraft will meet the strategic, tactical, and operational airlift requirements of the services, it said.
"The S-400 system will counter enemy long-range air vectors targeting vital areas, while the remotely piloted Strike aircraft will enable offensive counter and coordinated air operations, also providing stealth intelligence, surveillance, and reconnaissance activities," the ministry said.
"The overhaul of the Su-30 Aero engine and its aggregates will increase the service life of the aircraft and fulfill the operational requirement of the Air Force," it said.
For the Indian Army, approval was granted for the air defense tracked system, armored piercing tank ammunition, high capacity radio relay, Dhanush gun system, and runway independent aerial surveillance system, the ministry said.
The air defense tracked system will provide real-time air defense control and reporting capability, while the high-capacity radio relay will provide "reliable and fail-proof communication," it said.
The Dhanush gun system will enhance the artillery's capabilities to engage targets at longer ranges in all terrains with enhanced lethality and accuracy.
"The runway independent aerial surveillance system will provide surveillance capabilities to the Army units, while the armored piercing tank ammunition will enhance the lethality of anti-tank ammunition," the ministry said.
For the Indian Coast Guard, approval was granted for heavy-duty air cushion vehicles.
These vehicles will be used for multipurpose maritime coastal operational roles, including high-speed coastal patrolling, reconnaissance, search and rescue operations, rendering assistance to ships, and carrying personnel and stores, including logistics, the ministry said.