Defence Ministry signs ₹4,106-crore contracts for IAF satellite and Navy torpedoes
The agreements award ₹2,563 crore to NSIL for the GSAT-7C satellite and ₹1,543 crore to BDL for Varunastra anti-submarine torpedoes.

The Ministry of Defence has signed procurement contracts worth approximately ₹4,106 crore to supply the Indian Air Force with a dedicated military communications satellite and the Indian Navy with indigenous heavyweight anti-submarine torpedoes.
The agreements, finalised in New Delhi, represent another step in the Centre's push to build domestic defence manufacturing capability under its Make in India and Aatmanirbhar Bharat initiatives. Rather than relying on overseas suppliers for critical military hardware, both orders have been placed entirely with domestic public sector undertakings.
The contracts were executed in the presence of A. Anbarasu, Additional Secretary and Director-General (Acquisition) in the Department of Defence, alongside senior representatives from the military and industry.
What the two contracts cover
The larger of the two pacts commits ₹2,563 crore to New Space India Limited (NSIL), the commercial arm of India's space establishment based in Bengaluru, for the GSAT-7C satellite. The second contract, valued at ₹1,543 crore, goes to Hyderabad-based Bharat Dynamics Limited (BDL) for the supply of Varunastra torpedoes.
| Item | Service branch | Supplier | Value |
|---|---|---|---|
| GSAT-7C satellite | Indian Air Force | New Space India Limited | ₹2,563 crore |
| Varunastra torpedoes | Indian Navy | Bharat Dynamics Limited | ₹1,543 crore |
Upgrading Air Force communications
The acquisition of the GSAT-7C provides the Indian Air Force with a dedicated, secure space asset. Designed, engineered and manufactured domestically, the satellite is built to establish resilient, tamper-resistant real-time communications across air bases, airborne platforms and command centres.
According to the Defence Ministry, the platform will give the IAF seamless network connectivity across its operating theatres, guaranteeing reliable command-and-control links even during high-intensity operations or electronic interference.
Long-range firepower for the Navy
For the Indian Navy, the procurement of Varunastra torpedoes strengthens fleet anti-submarine capabilities at a time of rising maritime activity across the Indian Ocean.
Varunastra is an indigenous, ship-launched heavyweight torpedo engineered by the Defence Research and Development Organisation's Naval Science and Technological Laboratory (NSTL). Designed to target quiet submarines at extended ranges, the weapon features advanced manoeuvring systems and modern guidance technology.
Manufactured by Bharat Dynamics Limited, the torpedoes give front-line surface warships a decisive edge against underwater threats, reinforcing maritime stability and securing sea lanes across India's waters.
Driving defence self-reliance
Beyond immediate tactical upgrades, the deals underline steady execution in the government's strategy of directing defence capital expenditure towards the domestic industrial base. By routing ₹4,106 crore through state-run technological enterprises rather than foreign vendors, the ministry aims to foster homegrown intellectual property, retain high-value engineering skills, and eliminate dependence on overseas supply chains for frontline warfighting gear.
Key numbers
| What | Figure | Source |
|---|---|---|
| Total value of contracts | ₹4,106 crore | Ministry of Defence |
| GSAT-7C satellite contract value | ₹2,563 crore | Ministry of Defence |
| Varunastra torpedoes contract value | ₹1,543 crore | Ministry of Defence |
In this story
| Name | Role in the story |
|---|---|
| Bharat Dynamics Limited | Hyderabad-based company manufacturing the Varunastra torpedoes. |
| Ministry of Defence | Awarded the contracts worth ₹4,106 crore. |
| New Space India Limited | Bengaluru-based firm awarded the ₹2,563 crore satellite contract. |
| Indian Air Force | End user receiving the GSAT-7C communication satellite. |
| Indian Navy | End user receiving the Varunastra heavyweight torpedoes. |



