DAC Approves ₹54k Acquisition After CDS Raises Concerns

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T-90 tank

T-90 tank (Image credit X.com)

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DAC Approves Guidelines to Speed up Capital Acquisition Process

By TRH News Desk

New Delhi, March 20: A day after the Chief of Defence Staff (CDS) Anil Chauhan raised concerns over slow process of defence acquisitions, the Centre on Thursday gave its nod to the guidelines to expedite military procurement.

“Under the chairmanship of Raksha Mantri Rajnath Singh, the Defence Acquisition Council (DAC), on March 20, 2025, accorded Acceptance of Necessity (AoNs) to eight capital acquisition proposals amounting to over ₹54,000 crore,” said the Ministry of Defence in a media statement.

The approval entailed AoN for procurement of 1350 HP Engine for the Indian Army. This included the proposal to upgrade the present 1000 HP Engine for the T-90 Tanks.

“This will enhance the battlefield mobility of these tanks especially in high-altitude area by increasing the power to weight ratio,” added the Ministry of Defence.

For the Indian Navy, AoN for procurement of Varunastra Torpedoes (Combat) was accorded by DAC. Varunastra Torpedo is an indigenously developed ship-launched anti-submarine torpedo developed by Naval Science & Technological Laboratory.

“Induction of additional quantities of this torpedo would enhance the Navy’s capability against adversaries’ submarine threats,” said the government in the statement.

For the Indian Air Force, AoN for procurement of Airborne Early Warning & Control (AEW&C) Aircraft Systems was accorded by DAC. AEW&C systems are capability enhancers which can change the complete spectrum of warfare and exponentially increase the combat potential of every other weapon system.

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It also stated that “as a part of celebrating 2025 as ‘Year of Reforms’ in the Ministry of Defence, DAC also approved the guidelines for reducing the timelines at various stages of the Capital Acquisition Process to make it faster, more effective and efficient”.

Bharat Shakti in a report said that the CDS had voiced concerns over “India’s sluggish procurement process at the Raisina Dialogue 2025 on March 19”. It quoted Chauhan, saying that “delays in acquisitions hinder the military’s ability to integrate new technologies at the desired pace”.

“Our procurement procedures are so slow that it becomes difficult for the armed forces to imbibe technology at the desired pace,” the CDS was quoted having said at the Raisina Dialogue.

“The Defence Ministry’s decision to introduce new guidelines aligns with its broader objective of simplifying procurement procedures,” said Bharat Shakti in its report, adding that the move is aimed at bureaucratic inefficiencies not bogging down crucial acquisitions.

The news portal also said that the DAC decision “marks a step toward enhancing India’s defence readiness and strengthening strategic capabilities in an evolving global security environment”. Bharat Forge shares rose 5% after government approval for a ₹7,000 crore purchase of indigenous ATAGS artillery guns.

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