'Majority will be manufactured in India': Govt clears Rs 3.60 lakh crore Rafale deal; key details
For the Indian Army, the council cleared the procurement of Anti-Tank Mines and the overhaul of vehicle platforms for armoured recovery vehicles, T-72 tanks, and infantry combat vehicles
- Feb 12, 2026,
- Updated Feb 12, 2026 5:50 PM IST
The government on Wednesday approved defence procurement proposals worth about Rs 3.60 lakh crore, clearing the way for the acquisition of Rafale fighter jets, combat missiles and a range of equipment for the Army, Navy and Coast Guard.
The decision was taken by the Defence Acquisition Council (DAC), the country's highest body for capital military procurement, chaired by Defence Minister Rajnath Singh. The clearance of the mega deal came ahead of French President Emmanuel Macron's visit from February 17-19.
In a statement, the Ministry of Defence said: "The Defence Acquisition Council, under the chairmanship of Raksha Mantri Rajnath Singh, accorded Acceptance of Necessity (AoN) for various proposals of the Services at an estimated value of about Rs 3.60 lakh crore, on February 12, 2026."
For the Indian Air Force (IAF), the council approved the procurement of Multi Role Fighter Aircraft (MRFA) {Rafale}, combat missiles and Air-Ship Based High Altitude Pseudo Satellite (AS-HAPS) systems.
"The procurement of MRFA will enhance the capability of undertaking air dominance roles across the spectrum of conflict and significantly boost the deterrence capabilities of IAF with long-range offensive strikes," the ministry said. It added that "the majority of MRFA to be procured will be manufactured in India."
The ministry said the combat missiles would "enhance the stand-off ground attack capability with deep strike power and very high accuracy," while the AS-HAPS platforms would be used for "persistent Intelligence, Surveillance and Reconnaissance, Electronic Intelligence, telecommunication and remote sensing for military purposes."
Army focus on mines and armoured platforms
For the Indian Army, the council cleared the procurement of Anti-Tank Mines (Vibhav) and the overhaul of vehicle platforms for Armoured Recovery Vehicles (ARVs), T-72 tanks and Infantry Combat Vehicles (BMP-II). "Vibhav mines will be laid as an anti-tank obstacle system to delay the advance of enemy mechanised forces," the statement said.
It added that overhauling ARVs, T-72 tanks and BMP-II vehicles would "enhance service life of equipment, ensuring readiness and operational effectiveness of the Indian Army."
Naval propulsion and maritime patrol
The Indian Navy received approval for a 04 MW Marine Gas Turbine based Electric Power Generator and P8I Long Range Maritime Reconnaissance Aircraft.
According to the ministry, induction of the 04 MW Marine Gas Turbine-based Electric Power Generator under the Make-I category of the Defence Acquisition Procedure 2020 "will minimise the dependency on foreign manufacturers, ensure self-reliance in power generation requirement of the Indian Navy."
The acquisition of P8I aircraft, it said, will significantly boost the Navy's combat/war-fighting capability of long-range anti-submarine warfare, maritime surveillance and maritime strike capability.
Surveillance boost for Coast Guard
For the Indian Coast Guard, the council approved the procurement of Electro-Optical/Infra-Red systems for Dornier aircraft. "The procurement will assist in enhancing the efficacy of maritime surveillance capability of the ICG," the statement said.
The AoN marks the first formal stage in India's defence acquisition process, establishing the requirement before detailed tendering and contracting begin.
The government on Wednesday approved defence procurement proposals worth about Rs 3.60 lakh crore, clearing the way for the acquisition of Rafale fighter jets, combat missiles and a range of equipment for the Army, Navy and Coast Guard.
The decision was taken by the Defence Acquisition Council (DAC), the country's highest body for capital military procurement, chaired by Defence Minister Rajnath Singh. The clearance of the mega deal came ahead of French President Emmanuel Macron's visit from February 17-19.
In a statement, the Ministry of Defence said: "The Defence Acquisition Council, under the chairmanship of Raksha Mantri Rajnath Singh, accorded Acceptance of Necessity (AoN) for various proposals of the Services at an estimated value of about Rs 3.60 lakh crore, on February 12, 2026."
For the Indian Air Force (IAF), the council approved the procurement of Multi Role Fighter Aircraft (MRFA) {Rafale}, combat missiles and Air-Ship Based High Altitude Pseudo Satellite (AS-HAPS) systems.
"The procurement of MRFA will enhance the capability of undertaking air dominance roles across the spectrum of conflict and significantly boost the deterrence capabilities of IAF with long-range offensive strikes," the ministry said. It added that "the majority of MRFA to be procured will be manufactured in India."
The ministry said the combat missiles would "enhance the stand-off ground attack capability with deep strike power and very high accuracy," while the AS-HAPS platforms would be used for "persistent Intelligence, Surveillance and Reconnaissance, Electronic Intelligence, telecommunication and remote sensing for military purposes."
Army focus on mines and armoured platforms
For the Indian Army, the council cleared the procurement of Anti-Tank Mines (Vibhav) and the overhaul of vehicle platforms for Armoured Recovery Vehicles (ARVs), T-72 tanks and Infantry Combat Vehicles (BMP-II). "Vibhav mines will be laid as an anti-tank obstacle system to delay the advance of enemy mechanised forces," the statement said.
It added that overhauling ARVs, T-72 tanks and BMP-II vehicles would "enhance service life of equipment, ensuring readiness and operational effectiveness of the Indian Army."
Naval propulsion and maritime patrol
The Indian Navy received approval for a 04 MW Marine Gas Turbine based Electric Power Generator and P8I Long Range Maritime Reconnaissance Aircraft.
According to the ministry, induction of the 04 MW Marine Gas Turbine-based Electric Power Generator under the Make-I category of the Defence Acquisition Procedure 2020 "will minimise the dependency on foreign manufacturers, ensure self-reliance in power generation requirement of the Indian Navy."
The acquisition of P8I aircraft, it said, will significantly boost the Navy's combat/war-fighting capability of long-range anti-submarine warfare, maritime surveillance and maritime strike capability.
Surveillance boost for Coast Guard
For the Indian Coast Guard, the council approved the procurement of Electro-Optical/Infra-Red systems for Dornier aircraft. "The procurement will assist in enhancing the efficacy of maritime surveillance capability of the ICG," the statement said.
The AoN marks the first formal stage in India's defence acquisition process, establishing the requirement before detailed tendering and contracting begin.