Govt approves construction of 6 advanced submarines at cost of Rs 43,000 cr

First such acquisition under Strategic Partnership model to give a big boost to Make in India, says Ministry of Defence

The Defence Acquisition Council (DAC), chaired by defence minister Rajnath Singh, on Friday, approved issuing a request for proposal (RFP) for the construction of six conventional submarines under the Strategic Partnership (SP) model. 

The project envisages the indigenous construction of six conventional submarines equipped with the state-of-the-art Air Independent Propulsion system at an estimated cost of Rs 43,000 crore. In a press note, the defence ministry said this would be the first case processed under the SP model and will be one of the largest ‘Make in India’ projects. 

“The availability of new technologies and advanced manufacturing capabilities to Indian Industry will be an important step towards enhancing the nation’s quest for self-reliance in modern conventional submarine construction and create direct and indirect job opportunities in India,” the defence minister’s office tweeted on Friday. 

"This project under SP Model provides a unique long-term opportunity and planning certainty for the industry to invest and support submarine construction. It will also infuse the latest technology and weaponry for submarines in India through strategic tie up between Indian Industry and leading foreign OEMs," said Ministry of Defence.

The ministry also approved proposals concerning the procurement of air defence guns and ammunition worth Rs 6,000 crore under the Buy & Make (Indian) category. 

“With the continued thrust of the Ministry of Defence towards ‘Átmanirbhar Bharat’ and ‘Make in India’, an enthusiastic response from about a dozen Indian companies was received. All of them have expressed their willingness and commitment to manufacturing this complex gun system and associated equipment by ensuring technology assimilation in India,” the defence ministry said in a press note. 

The ministry added that the SP model would help India achieve its 30-year programme envisioned to gain national competence in submarine construction, and for the Indian industry to independently design and construct submarines in India.