Defence Acquisition Council (DAC)

Why in News?

On August 5, 2025, the Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, approved defence procurements worth ₹67,000 crore, including Medium Altitude Long Endurance (MALE) Remotely Piloted Aircrafts(RPAs), mountain radars, and maintenance for C-17, C-130J, and S-400 systems, enhancing strategic and operational readiness.

Description:

What is Defence Acquisition Council (DAC)?

• Highest decision-making body in the Ministry of Defence for capital acquisitions.
• Ensures expeditious procurement of approved requirements of the Armed Forces.
• Focuses on capability building within a defined time frame and budget.

Background & Formation:

• Formed in 2001, based on recommendations of the Group of Ministers post Kargil War (1999).
• Part of the reforms in the National Security System.

Composition:

• Chairperson: Defence Minister of India.
• Members include:
  • Chief of Defence Staff (CDS)
  • Chiefs of the Army, Navy, and Air Force
  • Defence Secretary
  • Secretary (Defence Production)
  • Secretary (Defence Finance)
  • Other senior officials as required

Major Functions:

1. Approval of Long-Term Plan: In-principle approval to 15-year Long Term Integrated Perspective Plan (LTIPP).
2. Acceptance of Necessity (AoN): First step in the procurement process; DAC accords AoN for acquisition proposals.
3. Categorization of Acquisition Proposals:
   1. ‘Buy’ (Indian/Global),
   1. ‘Buy and Make’ (Indian/Global),
   1. ‘Make’ (Indian Initiative, Innovation, Design & Development)
4. Offset Policy Decisions: For acquisition proposals worth above ₹300 crore.
5. Transfer of Technology (ToT): Decision on ToT under the ‘Buy & Make’ category.
6. Vendor Issues: Handles Single Vendor Clearance cases.
7. Field Trial Evaluation: Ensures fair and realistic field trials before final acquisition.

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