The India Decade

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.

By The India Decade

Business — Defence Ministry signs ₹4,106-crore contracts for IAF satellite and Navy torpedoes
Business — Defence Ministry signs ₹4,106-crore contracts for IAF satellite and Navy torpedoes · The India Decade

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.

ItemService branchSupplierValue
GSAT-7C satelliteIndian Air ForceNew Space India Limited₹2,563 crore
Varunastra torpedoesIndian NavyBharat 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

WhatFigureSource
Total value of contracts₹4,106 croreMinistry of Defence
GSAT-7C satellite contract value₹2,563 croreMinistry of Defence
Varunastra torpedoes contract value₹1,543 croreMinistry of Defence

In this story

NameRole in the story
Bharat Dynamics LimitedHyderabad-based company manufacturing the Varunastra torpedoes.
Ministry of DefenceAwarded the contracts worth ₹4,106 crore.
New Space India LimitedBengaluru-based firm awarded the ₹2,563 crore satellite contract.
Indian Air ForceEnd user receiving the GSAT-7C communication satellite.
Indian NavyEnd user receiving the Varunastra heavyweight torpedoes.

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