DAC Clears Rs 2.38 Lakh Crore Defence Push Including S-400 Systems — CLAT GK

CURRENT AFFAIRS | MARCH 28, 2026

CLAT GK + CONSTITUTIONAL LAW

The Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, approved capital acquisitions worth Rs 2.38 lakh crore in a single sitting — the largest-ever defence procurement clearance in India’s history. The acquisitions include additional S-400 Triumf air defence missile systems from Russia, indigenous Advanced Medium Combat Aircraft (AMCA), naval multi-role helicopters, and a range of precision-guided munitions and surveillance systems. The decision comes against the backdrop of heightened geopolitical tensions in the Middle East and India’s push to modernise its armed forces under the Atmanirbhar Bharat framework.

The S-400 component of the deal is particularly significant. India had previously contracted for five S-400 squadrons from Russia in 2018 for approximately $5.43 billion. The new acquisition adds further squadrons to bolster India’s integrated air defence network, particularly along the western and northern borders. The S-400 system, manufactured by Russia’s Almaz-Antey, can simultaneously track and engage multiple aerial threats at ranges up to 400 km, including ballistic missiles, aircraft, and drones. The procurement has diplomatic implications due to the US CAATSA (Countering America’s Adversaries Through Sanctions Act) 2017, which threatens sanctions against nations making significant defence purchases from Russia.

A significant portion of the Rs 2.38 lakh crore package is earmarked for indigenous platforms, reflecting the government’s push to achieve 75% domestic procurement by 2027. The Buy (Indian-IDDM) category — Indigenously Designed, Developed, and Manufactured — now accounts for over 68% of total capital expenditure approvals. The Advanced Medium Combat Aircraft (AMCA), a fifth-generation stealth fighter being developed by the Aeronautical Development Agency (ADA) and Hindustan Aeronautics Limited (HAL), received full development funding. The aircraft is expected to enter service by 2035 and will replace ageing MiG-29 and Jaguar fleets.

The DAC’s decision also approved a comprehensive drone warfare strategy, including armed Medium Altitude Long Endurance (MALE) drones and counter-drone systems for forward deployments. This reflects the lessons learned from recent conflicts where unmanned systems have played decisive roles. The Indian Army’s requirement for loitering munitions and the Navy’s need for ship-launched unmanned combat aerial vehicles (UCAVs) were both addressed in the acquisition package. The entire procurement process will be governed under DAP 2020, which mandates a maximum timeline of 100 weeks from the Acceptance of Necessity (AoN) to contract signing.