Defence Ministry signs five capital acquisition contracts worth over Rs 39,000 crore

The Ministry of Defence today signed five major capital acquisition contracts worth a total of Rs 39,125.39 crore on March as part of the ministry's Atmanirbhar Bharat initiative.

These contracts, signed in the presence of Defence Minister Rajnath Singh and Defence Secretary Giridhar Aramane, are expected to give a significant boost to the Make-in-India initiative and indigenous capabilities in defence.

"As part of ‘Aatmanirbharta in Defence’ and to further boost Make-in-India initiative, the Ministry of Defence (MoD) today signed five major capital acquisition contracts worth Rs 39,125.39 crore in New Delhi," said Rajnath Singh on social media platform X. 

Among these five contracts, one contract worth Rs 5,249.72 crore was signed with Hindustan Aeronautics Limited (HAL) for the procurement of aero-engines for MiG-29 aircraft.

Two other contracts have been signed with Larsen & Toubro (L&T). One contarct, worth Rs 7,668.82 crore, is for procuring close-in weapon system (CIWS) to provide terminal air defence to select locations in the country. The other contract, worth Rs 5,700.13 crore, is for the procurement of high-power radar (HPR) to enhance terrestrial air defence capabilities of the IAF. Both projects are expected to boost indigenous manufacturing and generate significant employment.

On the other hand, two other contracts were signed with BrahMos Aerospace Private Limited (BAPL). While one contract, worth Rs 19,518.65 crore, is for procuring BrahMos missiles to meet combat outfit and training requirements of the Indian Navy, the second contract, worth Rs 988.07 crore, is for the procurement of Shipborne BrahMos system, the Indian Navy's primary weapon for maritime strike operations.