First we need a level playing ground here . I see some people with shopping lists of multiple hundred billion$ while others are content with only a few billion$ . I propose a fixed spend of only 25 billion$ each year. This amount is easily attainable as its only about 1.25 % of the GDP. The problem with raising this money as well remains that there are only 3.29 Crore tax payers in India, we need to increase the tax payer base to at least 40%of the population before true growth in any sphere can take place.That said lets get back to the core spend issue.Below is what i would spend if given CAPEX budget of 25 billion$/annum for a governmental term of five years.
Year 1
1) Proper equipment for our soldiers- The PLA spends an average of only $1525/man in kitting out it's soldiers this includes the cost of the rifle at roughly 700$/piece. While there is no reason we should be able to match that amount in the long term in the short term i propose a spend of 2500$/soldier. That would enable us to equip 1 million men in the allotted spend for a year.
http://blogs.wsj.com/chinarealtime/2014/12/08/the-minuscule-cost-of-equipping-a-chinese-soldier/
Year 2
2)Submarines,LHD's and missile craft-
- Four Amur class submarines and associated facilities to be built by L&T and Pipavav (two each) at a cost of approx 550million$/unit for a total cost of roughly 3 billion$( including training and facilities).
- Three SSN's to be built in India with development costs for 9 billion$
- Four Canberra class LHD's at a combined cost of 6 billion$.
- Sixteen Visby class corvettes at a price of approx 4 billion$.
- Sixteen Hamina class missile boats at a combined price of approx 3 billion$.
Year 3
3) Tanks and Artillery
SPG- I would revive the old Bhim program , have AVADI build the Arjun Chassis while TATA could build the T6 turret under license from DENEL. Unit cost should be around 7 million$ as of today. I plan to purchase at least 1000 units of the same. Cost 7 billion$
Towed Arty- 1000 Bharat-52 at cost of roughly 2 billion$
1000 Dhanush Howitzers/ATAGS at a cost of roughly 2 billion $
1500 Pinaka MBRL at a cost of 2 billion $
500 M777 at a cost of approx 3 billion$
Tanks- 700 ARJUN mk2 tanks at a cost of roughly 6 billion$
APC's- 1000 TATA Kestrels at a cost of 3 billion$
Year 4
4) AWACS,TANKERS, Transports, logistical and attack helicopters and Combat Aircraft
AWACS- 4 more DRDO ELTA AIRBUS AWACS at a cost of 2 billion$
TANKERS- 5 more AIRBUS MRTT/BOEING KC-46 at a cost of 3 billion$
TRANSPORTS-
20 more C-17s at a cost of 6 billion $
30 more C-130H at a cost of 1 billion$
200 more DHRUV ALH at a cost of 1 billion$
20 MI-26 at a cost of 500 million$
20 CH-47 Chinook at a cost of 500 million$
200 mi-17 V5 at an approx cost of 1 billion$
ATTACK HELICOPTERS
100 more LCH at a cost of 500 million$
30 more APACHE AH-64E LONGBOW at a cost of 1 billion $
COMBAT AIRCRAFT
80 MIG-35 at a total cost of 2.5 billion $
I would pump the remaining into the LCA program
Year 5
SAM systems and AA guns
20 Batteries of S-300VM at an estimated cost of 4 billion$.(To be used as addition to Indian ABM system)
20 Batteries of AKASH MRSAM at an estimated cost of 1 billion$.
20 Batteries of BARAK-8 at a cost of approx 3 billion$.
200 Pantsir S1 units at a cost of approx 2 billion$
5 more BRAHMOS LACM batteries at a cost of 5 billion$
I would spend the remaining 10 billion$ on base mordenisation and facilities for the troops.