New Delhi — The Ministry of Defence has signed two contracts worth a total of approximately Rs 4,106 crore (yaani about Rs 41.06 billion) covering a dedicated communication satellite capability, GSAT-7C, for the Indian Air Force and Varunastra heavy weight torpedoes for the Indian Navy, the Press Information Bureau (PIB) said in an official release.

Source: Press Information Bureau, Ministry of Defence (Release ID: 2323814)

Rs 4,106 croretotal value of the two contracts
Rs 2,563 croreGSAT-7C satellite contract with NSIL
Rs 1,543 croreVarunastra torpedo contract with BDL

A dedicated satellite for the Air Force

The contract for GSAT-7C, valued at Rs 2,563 crore, was inked with New Space India Limited (NSIL), Bengaluru. The indigenously designed, developed and manufactured satellite will enhance the secure, resilient and seamless communication capabilities for the assets of the Indian Air Force, thereby strengthening operational effectiveness, the ministry said.

Varunastra for the Navy

The contract for Varunastra, worth Rs 1,543 crore, was signed with Bharat Dynamics Limited (BDL), Hyderabad. Varunastra is an indigenous ship-launched anti-submarine torpedo developed by the Naval Science and Technological Laboratory (NSTL). Equipped with advanced maneuvering capabilities, it is capable of engaging enemy submarines at long ranges, thereby enhancing the anti-submarine warfare capability of the Indian Navy, according to the release.

The contracts were signed in New Delhi on October 15, 2026 in the presence of A. Anbarasu, Additional Secretary and Director General (Acquisition) in the Department of Defence, DefenceWatch reported, carrying the same PIB figures. Evertiq also reported the two contracts, putting their combined value at about USD 430 million.

Source: DefenceWatch — MoD signs Rs 4,106-crore contracts for GSAT-7C satellite and Varunastra torpedoes

Both contracts mark a significant step towards advancing domestic defence manufacturing capabilities while promoting self-reliance in critical technologies, in line with the government's 'Aatmanirbhar Bharat' and 'Make-in-India' vision, the ministry said. The signing of a contract does not mean the satellite has been launched or the torpedoes delivered — those stages follow under the contracts' own timelines.