India has sanctioned a significant defence procurement package, clearing the acquisition of S-400 missile systems and 60 medium transport aircraft at a cost of ₹2.38 lakh crore. This decision, announced on March 27, 2026, aims to enhance the combat capabilities of the Indian Armed Forces.
The Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, approved these acquisitions, marking a substantial step in India’s defence modernization efforts. The S-400 systems, sourced from Russia, have been pivotal in previous operations, notably during the May 2025 hostilities with Pakistan.
The Indian Air Force (IAF) seeks to replace its aging AN-32 and IL-76 aircraft with more advanced models. Contenders for this procurement include Lockheed Martin’s C-130 J Super Hercules, Embraer’s KC-390, and Airbus’s A-400M. Twelve aircraft will be delivered in fly-away condition, while 48 will be manufactured domestically.
Historically, India signed a $5 billion deal in 2018 for the initial batch of S-400 systems, despite potential US sanctions under CAATSA. Three squadrons have been delivered, and the new order is expected to proceed without hindrance due to its status as a follow-on order.
Looking forward, the DAC’s approval of this procurement aligns with broader plans, including the overhaul of Sukhoi-30 engines and acquisition of the Dhanush gun system for the Army. These efforts underscore India’s commitment to reinforcing its defence infrastructure.
Published in SouthAsianDesk, March 28, 2026
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