India signs ₹53,866 crore ($6.4 billion) contract for 8 new warships to expand naval capacity

The Cabinet Committee on Security approved the project. The cost exceeds 400 billion INR (40,000 crore). Officials signed the final contract at Kartavya Bhawan-2 in New Delhi on November 2, 2026. This procurement supports the Indian Navy goal of full self-reliance by 2047. That year marks the centenary of Indian independence. The government prioritizes indigenous design to reduce reliance on foreign technology. This policy also bolsters domestic defense manufacturing.

1. The acquisition addresses concerns about China's growing naval presence in the Indian Ocean Region. The Indian Navy will deploy eight next-generation corvettes to improve its maritime surveillance and combat capabilities.

2. The construction project will generate 72 lakh person-days of work in shipyards and 460 lakh person-days in ancillary industries and MSMEs over the next ten years.

3. The Indian Navy designed these warships. Defence public sector undertakings built them. This project marks the first time the Navy has handled the design while state-owned firms managed construction. The model grants the Navy direct control over the technical specifications and design philosophy of its combat fleet.

4. The new corvettes will replace the Khukri-class and Kora-class vessels currently in service. The new ships displace between 3,800 and 4,000 tonnes. They have a range of 4,000 nautical miles at a speed of 14 knots.

5. The new corvettes carry a 76 mm Super Rapid gun mount from Bharat Heavy Electricals Limited (BHEL). Each vessel carries eight surface-to-surface missiles. The ships mount 24 anti-missile defense weapons. Two triple 324 mm torpedo tubes complete the armament.

6. The vessels reach speeds exceeding 30 knots. The ships maintain a range of 4,000 nautical miles when traveling at 14 knots. Each vessel carries a crew of 160 sailors and 21 officers.

1. The Ministry of Defence has not explained the discrepancy between the Cabinet-approved cost and the final contract value. The Cabinet approved a cost of over 400 billion rupees, or 40,000 crore (one crore equals 10 million). The final contract value reached 538.665 billion rupees, or 53,866.50 crore.

2. The Indian Navy is designing its own warships for construction by defense public sector undertakings for the first time.

3. The Navy expects delivery of the first new corvette in 2030. Until then, the service relies on its older Khukri-class and Kora-class vessels.

4. The Defence Acquisition Council reviewed the project proposal in June 2022. The estimated cost reached 360 billion INR (36,000 crore). This figure represents an increase in projected spending over the four-year development period.