Defence Ministry Signs Rs 4,106 Crore GSAT-7C, Varunastra Deals
The Defence Ministry signed contracts worth about Rs 4,106 crore on 15 October 2026 for the GSAT-7C satellite for the Air Force and Varunastra torpedoes for the Navy.

Why in News
On 15 October 2026 the Ministry of Defence signed contracts worth about Rs 4,106 crore for the GSAT-7C communication satellite for the Indian Air Force and for Varunastra heavy weight torpedoes for the Indian Navy.
India's defence buying machinery cleared two big orders on 15 October 2026, when the Ministry of Defence put its signature on contracts adding up to roughly Rs 4,106 crore. One of them buys the Indian Air Force a satellite of its own; the other arms the Indian Navy with heavy weight torpedoes built in India.
GSAT-7C for the Air Force
The larger of the two, worth Rs 2,563 crore, covers the GSAT-7C communication satellite and was concluded with New Space India Limited of Bengaluru. The spacecraft has been designed, developed and manufactured within the country. Once working, it will give Air Force platforms a channel of their own that is protected, hard to disrupt and continuous, so that aircraft, ground stations and commanders stay linked wherever they operate. That, the ministry said, sharpens the operational effectiveness of the service.
Varunastra torpedoes for the Navy
The second contract, valued at Rs 1,543 crore, was signed with Bharat Dynamics Limited, Hyderabad, for the Varunastra heavy weight torpedo. Varunastra is fired from a warship and hunts submarines. It was developed by the Naval Science and Technological Laboratory, and the manoeuvring package it carries lets it chase and strike hostile submarines far from the launching ship, which lifts the fleet's anti-submarine warfare punch.
Where the papers were exchanged
Both contracts were signed in New Delhi in the presence of Shri A. Anbarasu, Additional Secretary and Director General (Acquisition) in the Department of Defence. The ministry placed the two purchases squarely inside the government's Aatmanirbhar Bharat and Make in India goals, because the satellite and the torpedo alike come from Indian design houses and Indian production lines instead of from a foreign seller. Both, it added, carry forward home-grown manufacturing in critical technologies.
Why an aspirant should note it
Questions on defence procurement usually turn on three details: the rupee value, the supplier and the service that gains. Here the pairing is easy to hold in memory, because one deal joins a space company to the Air Force and the other joins a missile and torpedo maker to the Navy.
Important Facts
| Date of signing | 15 October 2026, New Delhi |
|---|---|
| Total value | About Rs 4,106 crore (two contracts) |
| GSAT-7C | Rs 2,563 crore, with New Space India Limited, Bengaluru, for the Indian Air Force |
| Varunastra | Rs 1,543 crore, with Bharat Dynamics Limited, Hyderabad, for the Indian Navy |
| Varunastra type | Indigenous ship-launched anti-submarine heavy weight torpedo |
| Developed by | Naval Science and Technological Laboratory |
| Present at signing | A. Anbarasu, Additional Secretary and Director General (Acquisition), Department of Defence |
| Policy thrust | Aatmanirbhar Bharat and Make in India |
Exam Point of View
Hold on to the total (about Rs 4,106 crore), the split (Rs 2,563 crore for GSAT-7C and Rs 1,543 crore for Varunastra), the suppliers (New Space India Limited, Bengaluru and Bharat Dynamics Limited, Hyderabad), the developer of Varunastra (Naval Science and Technological Laboratory) and the service each order serves.
Practice Questions
Which organisation received the Rs 2,563 crore contract for the GSAT-7C communication satellite?
- A.Bharat Dynamics Limited
- B.New Space India Limited
- C.Hindustan Aeronautics Limited
- D.Bharat Electronics Limited
Show answer
The Bengaluru-based company signed a contract worth Rs 2,563 crore with the Ministry of Defence on 15 October 2026 for GSAT-7C, a dedicated communication satellite for the Indian Air Force.
Read the full explanation →Varunastra, ordered for Rs 1,543 crore from Bharat Dynamics Limited, is what kind of weapon?
- A.A surface-to-air missile
- B.A ship-launched anti-submarine heavy weight torpedo
- C.An anti-tank guided missile
- D.A submarine-launched ballistic missile
Show answer
Varunastra is launched from a warship and is meant to destroy submarines, and it was developed in India by the Naval Science and Technological Laboratory.
Read the full explanation →Which laboratory developed the Varunastra heavy weight torpedo?
- A.Naval Science and Technological Laboratory
- B.Aeronautical Development Establishment
- C.Defence Research and Development Laboratory
- D.Terminal Ballistics Research Laboratory
Show answer
The torpedo carries advanced manoeuvring features and can engage enemy submarines at long ranges.
Read the full explanation →GSAT-7C, cleared on 15 October 2026, is a dedicated communication satellite for which service?
- A.Indian Army
- B.Indian Navy
- C.Indian Air Force
- D.Indian Coast Guard
Show answer
The Rs 2,563 crore contract with New Space India Limited, Bengaluru, gives the Air Force a communication satellite of its own, designed, developed and manufactured in India, so that its aircraft and ground assets keep a protected, continuous link.
Read the full explanation →Frequently Asked Questions
Which company will build the GSAT-7C satellite for the Indian Air Force?
New Space India Limited, Bengaluru. Its contract, signed on 15 October 2026, is worth Rs 2,563 crore and covers a communication satellite designed, developed and manufactured in India for the Air Force.
What is Varunastra and who supplies it?
Varunastra is an indigenous ship-launched anti-submarine heavy weight torpedo developed by the Naval Science and Technological Laboratory. Bharat Dynamics Limited, Hyderabad, will supply it to the Indian Navy under a Rs 1,543 crore contract.
How much are the two defence contracts worth together?
About Rs 4,106 crore. The GSAT-7C order accounts for Rs 2,563 crore and the Varunastra order for Rs 1,543 crore, both signed on 15 October 2026 in New Delhi.
Sources
- https://pib.gov.in/PressReleaseIframePage.aspx?PRID=2323887 (opens in a new tab) — Press Information Bureau
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