Defence stocks will be in focus in  Friday's session (July 4, 2025) after the Defence Acquisition Council (DAC), under the chairmanship of Raksha Mantri Shri Rajnath Singh on July 03, 2025, accorded Acceptance of Necessity (AoN) for 10 capital acquisition proposals amounting to around Rs 1.05 lakh crore through indigenous sourcing.

The said AoNs were accorded for procurement of Armoured Recovery Vehicles, Electronic Warfare System, Integrated Common Inventory Management System for the Tri-Services and Surface-to-Air Missiles. These procurements will provide higher mobility, effective air defence, better supply chain management and augment the operational preparedness of the Armed Forces, said the Ministry of Defence release.

AoNs were also accorded for procurement of Moored Mines, Mine Counter Measure Vessels, Super Rapid Gun Mount and Submersible Autonomous Vessels. These procurements will enable mitigation of potential risks posed to the Naval and Merchant Vessels.

To provide further push to indigenous design and development, AoNs were accorded under the Buy (Indian-Indigenously Designed, Developed and Manufactured) category.

After a recent traction, defence stocks will again gain momentum as in the next 15 days - major decisions pertaining to the Indian Army and Navy will be taken.

There may likely be a decision on minesweepers which will be made for the Indian Navy and for the same deal worth Rs 44,000 crores is possible. As part of the same, Mazagon Dock Shipbuilders and Cochin Shipyard will stand to gain.

Earlier as per a  Zee Business exclusive, the DAC was expected to meet later this week to fast-track a new round of defence deals under the Ministry of Defence. The approval push follows Operation Sindoor and aligns with the government’s thrust on ‘Make in India’, defence self-reliance, and export-oriented manufacturing.

Meanwhile, Bharat Dynamics (BDL) and Bharat Electronics (BEL) will be involved in manufacturing QR SAM or Quick Reaction Surface-to-Air Missiles for the Indian Army with a total cost of Rs 30,000 crore.  Zee Business revealed the likely development on June 11.