₹2,563 crore contract for IAF’s dedicated communication satellite and ₹1,543 crore deal for indigenous Navy torpedoes to strengthen India’s defence capabilities
NEW DELHI, OCTOBER 15: The Ministry of Defence has signed contracts worth approximately ₹4,106 crore for the acquisition of the GSAT-7C dedicated communication satellite capability for the Indian Air Force (IAF) and Varunastra heavyweight torpedoes for the Indian Navy, marking another step towards strengthening India’s indigenous defence manufacturing ecosystem.
The agreements were signed in New Delhi on October 15, 2026, in the presence of Additional Secretary and Director General (Acquisition), Department of Defence, A. Anbarasu.
The two contracts focus on enhancing secure military communications and strengthening anti-submarine warfare capabilities, in line with the government’s Aatmanirbhar Bharat and Make in India initiatives.
GSAT-7C Satellite to Strengthen IAF Communications
The Ministry of Defence signed a contract worth ₹2,563 crore with NewSpace India Limited (NSIL), Bengaluru, for the GSAT-7C dedicated communication satellite capability.
The satellite has been indigenously designed, developed and manufactured. It is intended to enhance secure, resilient and seamless communication capabilities for Indian Air Force assets.
Reliable communication networks are essential for coordinating military operations, maintaining connectivity between assets and supporting operational effectiveness. The GSAT-7C capability is expected to strengthen the IAF’s communications infrastructure and improve its ability to operate in demanding situations.
The contract also highlights the growing importance of indigenous space-based systems in meeting India’s strategic and defence requirements.
Varunastra Torpedoes to Boost Indian Navy’s Anti-Submarine Warfare
Under the second agreement, the Ministry of Defence signed a contract worth ₹1,543 crore with Bharat Dynamics Limited (BDL), Hyderabad, for Varunastra heavyweight torpedoes.
Varunastra is an indigenous, ship-launched anti-submarine torpedo developed by the Naval Science and Technological Laboratory (NSTL).
Equipped with advanced manoeuvring capabilities, the torpedo is designed to engage enemy submarines at long ranges. Its induction will strengthen the Indian Navy’s anti-submarine warfare capabilities and support efforts to counter underwater threats.
The contract also reinforces the role of India’s domestic defence industry in developing and supplying advanced weapons systems for the armed forces.
Aatmanirbhar Bharat Push in Space and Underwater Warfare
The two contracts cover distinct but strategically important areas of modern warfare: secure satellite communications and underwater combat capabilities.
While GSAT-7C is intended to strengthen the Indian Air Force’s communication infrastructure, Varunastra will enhance the Navy’s ability to detect and engage submarine threats through its anti-submarine warfare capabilities.
Both agreements support the government’s broader objective of expanding domestic defence production and developing critical technologies within India.
The involvement of NewSpace India Limited and Bharat Dynamics Limited also highlights the contribution of Indian public-sector enterprises to the country’s defence and strategic technology ecosystem.
Strengthening India’s Indigenous Defence Ecosystem
The ₹4,106 crore contracts represent a continued push towards self-reliance in critical defence technologies under the Make in India initiative.
By investing in indigenous satellite capabilities and advanced naval weapons, the Ministry of Defence aims to strengthen the operational capabilities of the armed forces while supporting domestic technological development and manufacturing.
With secure military communications and anti-submarine warfare emerging as critical components of modern defence preparedness, the GSAT-7C and Varunastra contracts mark an important step in strengthening India’s indigenous defence capabilities across space and maritime domains.