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Army provides 75,000 crore, five-year order pipeline to defence market to stimulate long-lasting development

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Under the program, 790 T-72 tanks will be brought back over 5 years at an expense of more than 13,000 crore

The orders cover life-cycle improvement of the Army’s T-72 ‘Ajeya ‘and T-90’Bhishma ‘tanks, infantry fight automobiles and Armoured Recovery Vehicles|Image Credit: SUSHIL KUMAR VERMA

In a considerable shift targeted at offering India’s defence production community long-lasting organization certainty, the Indian Army has actually chosen to put five-year remediation and modernisation orders worth over 75,000 crore for its aging fleet of Soviet-origin tanks and armoured lorries. The relocation deals with an enduring need of the defence market, consisting of public sector endeavors and MSMEs, which have actually argued that continual order presence is important for purchasing capability, innovation and supply chains.

Market executives have actually preserved that business can not construct making abilities or broaden provider networks on the basis of short-term agreements, especially when their main client is the militaries. The five-year dedication is anticipated to offer the guarantee required for suppliers to purchase assembly line, experienced workforce and indigenisation, while minimizing reliance on imports.

Platform Renewal

The orders cover life-cycle improvement of the Army’s T-72 ‘Ajeya’ and T-90 ‘Bhishma’ tanks, infantry fight automobiles (BMPs) and Armoured Recovery Vehicles (ARVs). The remediation program is created to bring these platforms to a “near-zero-hour and no km state of functional preparedness” by changing damaged mechanical, electronic and engineering systems and substantially extending their functional life.

Army sources stated the updated platforms will keep just their standard structures while getting new-generation devices. For the very first time, the tanks will likewise be geared up with drones for intelligence, monitoring, reconnaissance and fight functions, showing lessons drawn from the Russia-Ukraine dispute. The overhaul will include replacement of parts, sub-assemblies and assemblies anywhere needed and is likewise anticipated to lower import reliance for upkeep and spares.

Modernisation Push

Under the program, 790 T-72 tanks will be brought back over 5 years at an expense of more than 13,000 crore. Defence PSU Armoured Vehicles Nigam Ltd (AVNL), through its Vehicle Factory Jabalpur, will carry out the program with assistance from an environment of around 1,200 MSMEs and start-ups. AVNL finished remediation of 2 T-72 tanks as a pilot task previously this year.

Another 200 T-90 tanks will go through phased repair over the next 5 years at an approximated expense of 56,000 crore. The army has actually likewise cleared the modernisation of 500 BMP infantry battle automobiles at an expense of under 5,000 crore. The work will be carried out by AVNL’s Ordnance Factory Medak, which has actually accomplished over 90% indigenisation.

In addition, the army has actually authorized the repair of 230 Armoured Recovery Vehicles over 5 years at an expense of 1,400 crore. Constructed by Bharat Earth Movers Ltd (BEML), these cars play an important function in recuperating and fixing tanks on the battleground.

Released on July 5, 2026

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