You cant expect the best if you want it cheap!
How do you wish to join it with arduino? Do you mean to use it as Flight controller? You can but its gonna be difficult if you are a newbie so be prepared to do a lot of tuning and troubleshooting.
Anyways I will give you a setup which is not cheap, but its good enough.
You can make a tricopter to begin with, would cost less than a quad. You can make the frame yourself its cheaper that way.Get sunnysky motors, it will be best investment you make.
So
3* sunnysky motors+ 3 *20amp esc+ 2cw+2ccw props 10*4.5 + 2200 25c lipo = Rs 7500 approx (everything except battery from quadkopters and battery from rcbazaar.This is considering you have your own 4ch tx/rx ( 6ch will be better), lipo charger, flight controller and a servo.
Or go for
http://www.quadkopters.com/product/cf250-quadcopter-arf-kit/its the best kit within fair budget (Rs6500 with free shipping), and all you need is a atleast 4ch tx/rx and lipo charger.
Or you can go for the mini RTF quadcopters but you would loose interest soon and would want to upgrade.