DAC Approves ₹3.60 Lakh Cr Defence Plan with 114 Rafale Jets

The council, which is chaired by the defense minister, also grants AoN for six P-8I reconnaissance aircraft for the Navy and Air-Ship Based Pseudo Satellite for the IAF, making these approvals one of the biggest capital acquisition clearances in recent years.
DAC Approves ₹3.60 Lakh Cr Defence Plan with 114 Rafale Jets

On Thursday, February 12, 2026, the Defence procurement Council, which is led by Defence Minister Rajnath Singh, granted Acceptance of Necessity (AoN) to capital procurement proposals valued at almost ₹3.60 lakh crore.

IAF is prepared to increase its 2016 procurement of 36 Rafales. About 90 of the 114 Rafales that are expected to be purchased under the Multi Role Fighter Aircraft (MRFA) Rafale project will be manufactured in India. India will be able to address obsolescence and encourage indigenization by integrating new technology into the aircraft.

The Indian Navy ordered 26 Rafale M carrier-based aircraft last year, and delivery are expected to start in 2029.

The Indian Navy’s long-delayed need for six more P-8I maritime patrol aircraft (MPA) was the next high profile item to obtain AoN. These will supplement the four more aircraft scheduled in 2016 and the eight P-8I ordered in 2009. In April 2021, the US State Department approved the FMS proposal.

The Indian Air Force’s fighter squadron strength has dropped to 29 from the authorized 42, the lowest since the 1960s, as a result of the MiG-21’s retirement last year. In the IAF, a fighter squadron consists of 16-20 aircraft.

In order to address future challenges, the IAF might need to field more squadrons than the authorized number, according to an internal study conducted after Operation Sindoor.

At a meeting of the Defence Acquisition Council (DAC), which was presided over by Defence Minister Rajnath Singh, the procurement proposals were approved.

The approval was given a few days prior to French President Emmanuel Macron’s planned trip to India for an AI summit.

The DAC granted acceptance of need (AoN) for a number of service proposals, with an approximate value of ₹3.60 lakh crore. AoN was authorized to purchase combat missiles, air ship based high altitude pseudo satellites, and multi-role fighter aircraft (MRFA-Rafale) for the Indian Air Force (IAF), according to the government.

The ministry said that the purchase of MRFAs will greatly increase the IAF’s deterrence capabilities with long range offensive strikes and improve capability in carrying out air dominance duties across the spectrum of conflict.

Although the Navy greatly values the MPA, the purchase was put on hold because to the hefty cost of more than $2.42 billion. It is believed that the program currently costs more than $3 billion.

The MoD and HAL inked a ₹2312 crore ($257 million) agreement on February 12 to acquire eight more Do-228 aircraft for the ICG. Additionally, AoN was given permission by the DAC to purchase Electro Optical/Infra Red systems for ICG’s Do-228 aircraft.

AoN was also approved for 4 MW marine gas turbine-based electric power generators for the Indian Navy. 55 of these generators will be produced as part of India’s Defence Acquisition Procedure 2020 Make 1 program. This endeavor will reduce reliance on outside producers.

Along with other power plants, the Navy also needs larger 12 MW gas turbine systems, which are now in different stages of development.

For military uses, the IAF will also seek to purchase Air-Ship Based High Altitude Pseudo Satellites (AS-HAPS) for electronic intelligence, telecommunication, remote sensing, and persistent ISR. DRDO is working on these systems, which may also find use in the navy.

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