9. Strategic Defense Acquisitions: MoD Inks Rs 5,083 Crore Contracts for ALH Mk-III and VL-Shtil

• Combined Strategic Investment: The Ministry of Defence (MoD) has finalized two major contracts totaling Rs 5,083 crore to bolster the maritime and aerial combat capabilities of the Indian Coast Guard (ICG) and the Indian Navy. • Indigenization of Aviation: A Rs 2,901 crore contract was signed with Hindustan Aeronautics Limited (HAL) for six ALH Mk-III (Maritime Role) helicopters under the Buy (IDDM) category, specifically designed for shore-based and ship-borne operations. • Advanced Air Defence: The Indian Navy will procure \'Vertical Launch - Shtil\' surface-to-air missiles from Russia’s JSC Rosoboronexport for Rs 2,182 crore to provide high-velocity, all-weather protection for frontline warships. • Socio-Economic Multiplier: The ALH project alone is set to involve over 200 MSMEs and generate approximately 65 lakh man-hours of employment, reinforcing the \'Aatmanirbhar Bharat\' and \'Make in India\' paradigms in the defense sector. • Operational Versatility: The ALH Mk-III (MR) incorporates state-of-the-art sensor suites to enhance the protection of artificial islands, offshore installations, and the marine environment, while the Shtil missiles strengthen the Navy\'s layered air defense architecture. • Strategic Partnership: While the helicopter deal pushes for self-reliance, the missile contract underscores the \'time-tested\' defense ties between India and Russia, ensuring critical technology for contested maritime environments. Key Definitions • Buy (IDDM): Indigenously Designed, Developed and Manufactured. It is the highest priority category for procurement under the Defence Acquisition Procedure (DAP), requiring at least 50% Indigenous Content (IC). • Vertical Launch System (VLS): An advanced system for firing missiles from mobile platforms like ships. It allows for a 360-degree engagement capability and a higher rate of fire compared to older rail launchers. • Shtil-1 Missile System: A ship-borne multi-channel medium-range surface-to-air missile system designed to provide defense against aircraft, helicopters, and anti-ship missiles. Constitutional & Legal Provisions • Seventh Schedule (Article 246): \'Defence of India\' is a subject under the Union List (Entry 1), giving the Central Government exclusive power to legislate and enter into defense contracts. • Defence Acquisition Procedure (DAP) 2020: The guiding regulatory framework that streamlines the procurement process to ensure transparency, accountability, and the promotion of the domestic defense industry. • Article 297: Provides that all lands, minerals, and other things of value underlying the ocean within the territorial waters, or the continental shelf, or the exclusive economic zone (EEZ) of India shall vest in the Union, necessitating the ICG\'s role in their protection. Additional Key Points • Role of the Indian Coast Guard: The ALH induction helps the ICG fulfill its statutory duties under the Coast Guard Act, 1978, particularly regarding the safety of offshore terminals and assistance to fishermen. • Layered Air Defence: The Shtil missiles function as a medium-range layer, complementing short-range systems (like Barak-1) and long-range systems (like LRSAM/Barak-8), ensuring 360-degree survivability. • Technological Edge: The ALH Mk-III features a glass cockpit, high-intensity searchlights, and maritime patrol radars, making it superior to older legacy platforms like the Chetak. The simultaneous focus on domestic manufacturing (HAL) and strategic imports (Russia) reflects India\'s pragmatic \'Multi-Alignment\' defense policy. By enhancing the Coast Guard\'s surveillance and the Navy\'s interceptive capabilities, the MoD is securing India’s vast EEZ against both traditional and nontraditional threats. This dual-track approach balances the immediate need for advanced technology with the long-term goal of total self-reliance in defense production. UPSC Relevance • GS Paper II: Bilateral, regional and global groupings and agreements involving India; Effect of policies of developed and developing countries on India’s interests (India-Russia ties). • GS Paper III: Indigenization of technology and developing new technology; Security challenges and their management in border areas—Maritime Security; Role of external state and non-state actors in creating challenges to internal security. • Prelims: Specifics of the \'Buy (IDDM)\' category, capabilities of ALH Mk-III, and the geography of India\'s maritime boundaries/offshore installations.