DAC: Powers delegated to process urgent capital acquisition up to Rs 300 crores

On July 15, 2020, the Defence Acquisition Council (DAC) empowered the Indian Armed Forces to decide on urgent capital acquisitions up to Rs 300 crores. The DAC was chaired by the Defence Minister Rajnath Singh.


The step of DAC will help Indian Armed Forces to meet their emergent operational requirement. The decision comes during an era when India-China stand-off is in its highest in decades.


The DAC was held as there is need to strengthen armed forces in Eastern Ladakh. War waging equipment and 1000s of troops have been stationed along the border as talks are taking place to defuse tensions.

Recent developments

Earlier in July 2020, the DAC approved procurement of cruise missile system and long-range land attack missiles with a range of 1,000 km. Also, DAC approved procurement of 33 frontline fighter aircrafts and Astra missiles at a cost of Rs 38,900 crores. The 33 fighter aircrafts include 12 Su-30 MKI and 21 MiG-29.

Also, in June 2020, the GoI granted financial powers up to Rs 500 crores per project to acquire ammunition and weapons.