Defence Procurement

Defence ministry signs contract to procure 6 air cushion vehicles

The defence ministry on Thursday signed a contract with a private firm to procure six Air Cushion Vehicles for the Indian Coast Guard at a total cost of Rs 387.44 crore. These amphibious vessels, also called 'Hovercrafts', will be procured under the Buy (Indian) category, the ministry said in a statement. The Ministry of Defence "signed a contract with Chowgule & Company Pvt. Ltd., Goa for procurement of six Air Cushion Vehicles (ACVs) for the Indian Coast Guard at a total cost of Rs 387.44 crore," it said. These ACVs will be manufactured in India for the "first time in line with the 'Aatmanirbhar Bharat' vision of the government, representing a pivotal step in the nation's shipping landscape," it said. The project will also significantly enhance the technical expertise and growth of indigenous ancillary, especially the MSME sector. "The procurement is aimed at boosting the Indian Coast Guard's capability and reinforces the increased focus towards maritime security," the statement

Defence stocks soar up to 7% after govt okays building 2 nuclear submarines

The Indian Navy will get two nuclear-powered attack submarines, which will boost its underwater deterrence capabilities manifold in the Indian Ocean Region.

Centre may clear acquisition of US MQ-9B Predator drones for $3.1 billion

In a boost to India's defence capabilities, the Cabinet Committee on Security, led by PM Modi, is expected to approve the acquisition of 31 MQ-9B Predator drones from the US for $3.1 billion

Govt okays procurement of navigation system for armoured fighting vehicles

The defence ministry on Monday approved procurement of navigation system for armoured fighting vehicles of the Indian Army and 22 interceptor boats for the Coast Guard. The acquisition proposals were cleared by the Defence Acquisition Council (DAC) that was chaired by Defence Minister Rajnath Singh. The cost of the procurement of the navigation system and the interceptor boats is not immediately known. The DAC deliberated on a number of other capital acquisition proposals, the defence ministry said without elaborating. "Acceptance of Necessity (AoN) was accorded to the procurement of Advanced Land Navigation System (ALNS) for Armoured Fighting Vehicles (AFVs) of the Indian Army. The system is spoof-proof with high levels of encryption," it said. It said the ALNS Mk-II is compatible with Indian Regional Navigation Satellite System, NAVigation using Indian Constellation in addition to Global Positioning System (GPS) and Global Navigation Satellite System. The ministry said ALNS Mk-

Exim Bank extends $23 mn line of credit to Guyana for aircraft procurement

The Export-Import Bank of India (Exim Bank) on Tuesday announced it has extended a USD 23.37 million (about Rs 194 crore) line of credit to the government of Cooperative Republic of Guyana for the procurement of two aircraft from India for the South American country's defence forces. An agreement was signed on March 15 between Guyana's senior minister in the office of the President with responsibility for finance and the public service, Ashni K Singh, and the policy bank's deputy general manager Sanjay Lamba in the presence of High Commissioner of India to Guyana, Amit Telang. With this line of credit (LOC), the bank has 292 LOC in place now, covering 62 countries in Africa, Asia, Latin America, CIS, and Oceania, with credit commitments of around USD 2.72 billion available for financing exports from India.

Govt inks deal with AVNL for 693 armament upgrades for combat vehicle BMP2

The Ministry of Defence on Wednesday signed a contract with Armoured Vehicles Nigam Limited (AVNL) for procurement of 693 armament upgrades of infantry combat vehicle BMP2, according to an official statement "This upgrade includes night enablement, gunner main sight, commander panoramic sight and fire control system (FCS) with automatic target tracker under Buy (Indian-Indigenously Designed Developed and Manufactured) Category," the statement said. The AVNL has developed an "indigenised solution for providing existing BMP 2/2K with night fighting capabilities and FCS based on the integration of Defence Research and Development Organisation (DRDO) and Bharat Electronics Limited (BEL), Chennai-developed sight and FCS," it said. The ministry signed the contract with AVNL "for the procurement of 693 Armament Upgrades of Infantry Combat Vehicle BMP2 to BMP2M". The AVNL will produce the "armament upgrades with equipment and sub-systems sourced from indigenous manufacturers", the ministry

Centre approves procurement of 97 Tejas jets, over 150 Prachand choppers

India on Thursday accorded an initial approval to procure an additional batch of 97 Tejas light combat aircraft and around 150 Prachand helicopters to boost the overall combat capability of the armed forces, official sources said. The Defence Acquisition Council (DAC) headed by Defence Minister Rajnath Singh also cleared a proposal of the Indian Air Force to upgrade its Su-30 fighter fleet, the sources said. It is learnt that mega procurement projects and the Su-30 upgrade programme are expected to cost the exchequer Rs 1.3 lakh crore. The defence ministry is expected to provide the details of the projects cleared by the DAC soon.

Defence ministry clears procurement of military hardware worth Rs 45,000 cr

The Defence Ministry on Friday cleared procurement of various weapons systems and platforms including Dhruvastra short range air-to-surface missile and 12 Su-30 MKI fighter jets at a cost of around Rs 45,000 crore. A total of nine procurement proposals were approved by the Defence Acquisition Council (DAC) headed by Defence Minister Rajnath Singh, officials said. "All these procurements will be made from Indian vendors under Buy (Indian-Indigenously Designed Developed and Manufactured (IDMM)/Buy (Indian) category which will give substantial boost to the Indian defence Industry towards achieving the goal of 'Aatmanirbhar Bharat'," the defence ministry said. To enhance protection, mobility, attack capability and increase survivability of mechanised forces, the DAC accorded the approval for procurement of Light Armoured Multipurpose Vehicles (LAMV) and Integrated Surveillance and Targeting System (ISAT-S), the ministry said in a statement. The DAC cleared also cleared the procurement

US Defence Secretary arrives in India, to hold talks with Rajnath Singh

Rajnath and Austin are set to discuss in their talks on Monday General Electric's proposal to share technology with India for fighter jet engines and New Delhi's plan to procure 30 MQ-9B armed drones

Defence procurement from foreign sources reducing, shows govt data

The expenditure on defence procurement from foreign sources has reduced from 46 per cent of the overall expenditure in 2018-19 to 36.7 per cent as per data till December last, according to government data. Minister of State for Defence Ajay Bhatt, replying to a question in Rajya Sabha on Monday, listed 155mm Artillery Gun system 'Dhanush'', Light Combat Aircraft Tejas, surface-to air missile system 'Akash', main battle tank 'Arjun', T-90 tank, T-72 tank and Cheetah helicopter as indigenous key defence projects. "The expenditure on defence procurement from foreign sources has reduced from 46 per cent of overall expenditure in 2018-19 to 36.7 per cent as per data till December, 2022," he said on Monday. Last month, Bhatt said Kalashnikov AK-203 rifles for Indian armed forces were under manufacturing and testing stage at an Indo-Russian joint venture at Korwa in Uttar Pradesh. Bhatt said the Indo-Russian Rifles Private Ltd (IRRPL) has established all facilities to commence production

Govt to spend 75% defence outlay for procurement from Indian firms: Rajnath

In a significant announcement, Defence Minister Rajnath Singh on Wednesday said the government will spend 75 per cent of the total defence capital outlay for procurement from domestic defence manufacturers from 2023-24. The decision will mean setting aside of around Rs 100,000 crore for procurement of military platforms and equipment from the Indian manufacturers, he said. Singh made the announcement at an event where several agreements and technology transfer agreements were firmed up among large number of defence companies which participated in Aero India 2023. "It is a very significant decision which will further strengthen the domestic defence manufacturing sector," Singh said. He also said that Aero India 2023 has shown that the Indian defence sector is ready to march ahead along with top global defence companies. The MoUs and technology transfer agreements signed during Aero India will facilitate a new beginning for defence manufacturing in India, he said. A new chapter in

Defence procurement, pipeline offer strong growth for Bharat Dynamics

Margins for state-owned firm that specialises in missiles would be range bound given higher raw material costs

Defence, aerospace exports treble to Rs 12,815 cr in 5 years: Govt

Foreign procurement in defence rises to Rs 50,061 cr

Govt working to achieve $22 bn defence production target by 2025: Rajnath

He further underlined that to increase the participation of domestic industry, the government has reserved a certain portion of defence capital acquisition for domestic procurement

Navy buys 'enhanced range' BrahMos missiles for Rs 1,700 crore

To be lethal against warships and shore targets at 400 km; deal value Rs 1,700 crore

GeM pegs defence procurement to reach Rs 30,000 cr this year: Official

Public procurement portal Government eMarketplace projects defence procurement made through it to double to Rs 30,000 crore during the current financial year, a top official said here on Friday. According to GeM Chief Executive Officer P K Singh, the procurement agency expects to garner about Rs 2 lakh crore sales in the year across the country. The GeM portal launched by the Centre in 2016 is for online purchase of goods and services by all central government ministries and departments. "Defence sector has been the largest procurer through the portal since inception. Last year, the defence procurement was around Rs 15,000 crore. The target is to double it to Rs 30,000 crore this year," he told reporters here. "Apart from weaponry, everything for Defence is done by GeM," he said. Singh, an IAS officer of the Manipur cadre, said the procurement portal achieved overall sales of Rs 1.06 lakh crore last year. "This year, we are expecting to reach Rs 2 lakh crore post the COVID-19 ...

How Agnipath is turning the spotlight on India's unemployment crisis

A military recruitment plan (Agnipath) in India that sparked last month's violent protests is turning the spotlight on an unemployment crisis plaguing the $3.2 trillion economy

Defence ministry's procurement via e-market portal recorded at Rs 15,047 cr

The Ministry of Defence (MoD) on Saturday said its procurement orders using the government e-Market (GeM) portal reached an all-time high of Rs 15,047 crore in 2021-22. It said the amount is a jump of more than 250 per cent compared to last year's procurement through the portal. "Procurement orders by the MoD through Government e-Market (GeM) portal have reached an all-time high of Rs 15,047.98 crore for the financial year 2021-22," the ministry said in a statement. The GeM was started in August 2016 to revamp the old tender process and bring greater probity and transparency in government procurement through digitisation. In a short span since its inception, the defence ministry has embraced the digital drive and embarked on this path with absolute resoluteness, the ministry said. "Despite multiple challenges on the ground, the results have been astounding," the ministry noted. "The MoD is committed to contributing significantly to the Government's vision of promoting digitisatio

Why we must clearly define atmanirbharta and our reasons for chasing it

Employment deficit is a bigger problem for India than trade deficit. That and the feasibility question should not be lost in PLI's search for strategic self-reliance, writes T N Ninan

Statsguru: Six charts explain India's arms import dependence

The problematic issue, though, is India's paltry share in the world's exports