India wants to have constructive engagement with China along the northern borders, Army Chief Gen Dalbir Singh Suhag said on Friday, holding that there has been significant improvement in understanding between the two countries on the boundary front.

Even though intrusions have taken place in the disputed areas along the Line of Actual Control, there has been a significant improvement in understanding between the two countries, he said, addressing the Army Day parade in Delhi.

"India wants to have constructive engagement with China along the northern borders," Suhag said.

The Army Chief pitched for modernisation of weapons and equipment to counter different kinds of challenges facing the force.

He complimented the soldiers for giving a befitting reply to the enemy at the Line of Control which has been "active" due to cross-border firing and continuous infiltration attempts.

Referring to modernisation, Suhag said that to counter different kinds of challenges and commitments, it is important to modernise weapons and equipment.

He said that he was happy that the government has sanctioned a number of modern weapons and equipment in the last one year.

The priority for the army was new artillery guns, upgradation of mechanised forces, enhancement of army aviation capabilities, he said, noting that better arms needed to be provided to the soldiers.

Suhag said the army has already started induction of weaponised version of Advanced Light Helicopter.

Earlier this week, Suhag had said acquisition of artillery guns, third generation missiles, upgrading armoured vehicles, augmenting army aviation and strengthening infantry were among "critical areas" for force modernisation which are being fast-tracked.