In a major move to boost India's self-reliance in defense, the Ministry of Defence (MoD) signed five important contracts worth ₹39,125.39 crore on March 1, 2024, in New Delhi. The contracts were finalised in the presence of Defence Minister Rajnath Singh and Defence Secretary Giridhar Aramane.
This strategic move, executed as part of the 'Aatmanirbharta in Defence' initiative, aims to amplify the Make-in-India campaign in the defence sector.
Among the five contracts, one noteworthy deal was sealed with Hindustan Aeronautics Limited, involving the procurement of Aero-engines for MiG-29 aircraft, at a cost of ₹5,249.72 crore. The Koraput Division of HAL will undertake the production of these aero engines, providing vital support to the operational capability of the Indian Air Force's MiG-29 fleet.
“The aero-engines will be manufactured under Transfer of Technology (TOT) license from the Russian OEM. The program will focus on indigenization of several high-value critical components, which would help increase the indigenous content of future Repair and Overhaul (ROH) tasks of RD-33 aero-engines,” the ministry said in a release.
Larsen & Toubro Limited secured two contracts, the first being the procurement of Close-in Weapon System (CIWS) at a cost of ₹7,668.82 crore. This system is set to offer terminal air defense to specific locations in the country.
“The project will boost and encourage the active participation of Indian aerospace, defense, and associated industries, including MSMEs,” the ministry informed, adding that the deal is expected to generate direct and indirect employment for an average of 2,400 persons per year over a five-year period.
The second deal with Larsen & Toubro Limited involves the procurement of High-Power Radar (HPR) at a cost of ₹5,700.13 crore. This cutting-edge radar system will replace existing long-range radars of the Indian Air Force, significantly enhancing terrestrial air defense capabilities.
The project is a milestone for indigenous radar manufacturing technology, as it marks the first radar of its kind built by the private sector in India. “The direct and indirect employment generated by this project would be approximately an average of 1,000 people/year over the period of five years,” it informed.
Additionally, BrahMos Aerospace Private Limited (BAPL) secured two contracts, one for the procurement of BrahMos missiles at ₹19,518.65 crore. These missiles will address combat outfit and training requirements of the Indian Navy. “This project is likely to generate employment for nine lakh man-days in Joint Venture entity and around 135 lakh man-days in ancillary industries (including MSMEs) of the country,” the statement said.
The second contract with BAPL involves the procurement of the Ship-borne BrahMos system at a cost of ₹988.07 crore. This system stands as the Indian Navy's primary weapon for maritime strike operations, capable of hitting land or sea targets with pinpoint accuracy at supersonic speeds. The project is anticipated to generate employment for approximately 60,000 man-days over a period of 7-8 years.
First Published: Mar 1, 2024 3:25 PM IST
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