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May 20, 20251 min read

India approves ₹40,000 Cr emergency defence buys

India approves ₹40,000 Cr emergency defence buys

India’s Defence Acquisition Council (DAC) just approved ₹40,000 crore in emergency arms buys. This marks the fifth fast-track procurement round since 2019, to speed up weapon and ammunition purchases.

The procurement is a special provision that lets the armed forces skip red tape and directly buy high-priority defence gear with contracts requiring delivery within months, not years.

What’s in the haul:

  • Surveillance drones & kamikaze drones
  • Loitering munitions and long-range artillery ammo
  • Missiles, rockets, and air defence systems
  • Drone detection radars from Bharat Electronics Limited

This gear will be used by the Army, Air Force, and Navy, all of whom are coordinating closely with defence finance teams to ensure speed and accountability.

The why: speed is strategy. With Operation Sindoor unfolding on the western border, the armed forces are moving to plug capability gaps fast.

Drones and missiles used in the operation, like the Heron Mk 2 and Rampage, were bought through earlier emergency powers.

This success has turned emergency procurement into a trusted play, with repeat orders now placed for domestic production.

Meanwhile, defence stocks are on a tear. The nifty defence index is up more than 50% over the past month.

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