Overview The Ministry of Defence ( MoD ) has entered a capital acquisition contract with Bharat Electronics Limited ( BEL ) worth approximately Rs 1,950 crore . The deal, signed on 31 March 2026 in New Delhi, is for the supply of two indigenously developed Mountain Radars , along with associated equipment and infrastructure for the Indian Air Force ( IAF ). Key Developments Contract valued at Rs 1,950 crore under the Buy category. Radars are designed and developed by the Electronics & Radar Development Establishment of the DRDO . Manufacturing will be carried out by BEL, leveraging the Make‑in‑India drive. Project aligns with Aatmanirbhar Bharat objectives. Important Facts Two Mountain Radar units to be installed at strategic high‑altitude locations for enhanced air‑defence coverage. The contract includes ancillary equipment, training, and infrastructure required for operational readiness. Indigenous production is expected to cut reliance on foreign radar systems, thereby improving strategic autonomy. Project timeline and delivery schedule were not disclosed, but commissioning is anticipated within the next fiscal year. UPSC Relevance Understanding this procurement helps aspirants answer questions on: India’s defence‑modernisation strategy and the role of defence procurement reforms. Implementation of indigenisation under Aatmanirbhar Bharat and Make‑in‑India . Role of public sector undertakings like BEL in strategic sectors. Geopolitical implications of strengthening air‑defence capabilities in mountainous regions bordering hostile neighbours. Way Forward To maximise the benefits of the contract, the government should: Ensure timely transfer of technology from DRDO to BEL for future upgrades. Integrate the Mountain Radars with existing air‑defence networks for seamless situational awareness. Promote further R&D collaborations between DRDO, BEL and private sector firms to expand the indigenous radar ecosystem. Monitor performance metrics post‑commissioning to assess cost‑effectiveness and operational impact.