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Govt examining G-to-G deal to buy Spike missile from Israel

Press Trust of India  |  New Delhi 

is considering purchase of anti-tank guided missiles (ATGMs) from through the government-to-(G-to-G) route, months after it decided to cancel a deal to procure the weapons from an Israeli firm. According to the original proposal, had planned to acquire the ATGMs for the at a cost of USD 500 million. The is now examining the possibility of purchasing the missiles from through the G-to-G route like it did in sealing the deal for procuring 36 jets from France, official sources said. Israeli is scheduled to visit next week and ways to further deepen the already close defence ties between the two countries may figure during his talks with Indian leaders here. In November, the defence ministry had decided to retract the process to acquire a batch of missiles from Israeli firm Subsequently, the ministry had asked defence research to develop similar missiles with Official sources had said the proposal to acquire the system from the Israeli firm faced hurdles when it apparently expressed reservations in ensuring full transfer of technology as per the provisions of the 'Make in India' initiative. They said the decision to retract the RFP was taken after the DRDO expressed confidence of producing the ATGMs. India's and Israel's state-run Rafael Advanced Defence Systems had commissioned a Rs 70 crore production facility near in August last year, anticipating that the Israeli firm would bag the contract. Last week, the Israeli firm said it received an official notification from India's about cancellation of the deal. In September 2016, had signed an inter-governmental agreement with for procurement of 36 fighter jets at a cost of around Rs 58,000 crore.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, January 10 2018. 20:35 IST
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