Defense Acquisition Council (DAC) meeting gave initial approval to defense procurement proposals worth Rs 13165 crore for modernization and operational needs of the forces. Out of this, 87 per cent i.e. about Rs 11486 crore will be procured from local sources. Its approval was given in a meeting chaired by Defense Minister Rajnath Singh on Wednesday. The military equipment that has been approved for procurement includes ammunition for 25 Modern Light Helicopters (ALH) and rockets.
The aircraft will be manufactured indigenously by HAL in the Buy Indian category. The Defense Ministry has issued a statement saying that domestic procurement of ammunition for the rockets worth Rs 4962 crore has also been approved. The ministry said the cost of procuring the helicopter has been estimated at Rs 3,850 crore. At the same time, a consignment of rocket ammunition will be purchased for Rs 4,962 crore.
The Ministry said that the DAC accorded imperative approval to the capital procurement proposals of about Rs 13,165 crore for the operational requirements and modernization of the Indian Armed Forces. Out of the total sanctioned amount, Rs 11,486 crore (87 per cent) is to be procured from domestic sources. Along with this, the DAC also approved some amendments to the Defense Procurement Procedure 2020, the ministry said.