Defence Ministry Signs ₹858 Crore Deals to Boost Air Defence and Naval Capabilities

New Delhi, March 2026 : The Ministry of Defence has signed two major contracts worth a combined ₹858 crore to strengthen India’s air defence and maritime surveillance capabilities. The agreements include the procurement of advanced missile systems for the Army and a maintenance contract for key naval aircraft.

The contracts were signed at Kartavya Bhawan-2 in the presence of Defence Secretary Rajesh Kumar Singh and other senior officials.

A major portion of the deal, valued at ₹445 crore, involves the procurement of the Tunguska Air Defence Missile System for the Indian Army. The contract has been signed with JSC Rosoboronexport, Russia’s state arms exporter. These advanced systems are designed to counter a wide range of aerial threats, including aircraft, drones, and cruise missiles. The induction of these systems is expected to significantly enhance India’s multi-layered air defence network.

Officials said the agreement also reinforces the long-standing strategic defence partnership between India and Russia, particularly in the area of military technology and equipment.

The second contract, worth ₹413 crore, has been signed with Boeing India Defense Private Limited for the depot-level inspection and maintenance of the Indian Navy’s fleet of Boeing P-8I Poseidon aircraft. This deal falls under the “Buy Indian” category and features 100 percent indigenous content, highlighting the government’s push for self-reliance under the Make in India initiative.

The agreement will enable maintenance, repair, and overhaul (MRO) of the P-8I aircraft within India, ensuring operational readiness and reducing dependence on foreign facilities. Officials noted that this move aligns with the broader vision of building domestic defence capabilities and infrastructure.

The P-8I Poseidon aircraft plays a crucial role in India’s maritime security. Known as a key asset for long-range reconnaissance, it is used for intelligence gathering, surveillance, anti-submarine warfare, and anti-ship missions. The Indian Navy currently operates 12 such aircraft and has plans to expand its fleet to strengthen its presence in the Indo-Pacific region.

The aircraft is a customised version of the US Navy’s P-8A Poseidon, with India being its first international customer. It has become an integral part of monitoring activities across the Indian Ocean region, often referred to as the backbone of maritime domain awareness.

Together, the two contracts mark a significant step in enhancing India’s defence preparedness across land and sea. By investing in advanced systems and strengthening maintenance capabilities within the country, the government aims to improve operational efficiency while promoting indigenous defence production.