New Delhi: The defence ministry on Tuesday cleared proposals to buy Barak missiles from Israel and precision-guided bombs from Russia for a total of Rs 1,714 crore. The proposals were cleared by defence minister Nirmala Sitharaman.
The first proposal is related to procurement of 240 bombs, at a cost of Rs. 1254 cr. from JSC Rosoboronexport, Russia. These bombs, which fall under the category of Precision Guided Munitions, are used by Indian Air Force (IAF). This procurement will address the deficiency of Precision Guided Munitions in the IAF arsenal, besides enhancing the offensive capabilities of the IAF.
The second proposal pertained to procurement of 131 Barak Missiles and associated equipment, under option clause from Rafael Advance Defence Systems Ltd., Israel, at a cost of Rs. 460 cr. These missiles are surface to air missiles designed to be used as a ship-borne anti-missile defence system against anti-ship missiles.
In October, the defence acquisition council (DAC), chaired by Sitharaman, had approved buying 111 utility helicopters for the Indian Navy under the strategic partnership model.
The strategic partnership model seeks to identify a few Indian private companies as Strategic Partners who would initially tie up with a few shortlisted foreign Original Equipment Manufacturers (OEMs) to manufacture defence products. In the initial phase, the selection of SPs would be confined to four segments: Fighter Aircraft, Helicopters, Submarines, and Armoured Fighting Vehicles (AFV)/Main Battle Tanks (MBT).
One Indian private company would be selected in each segment which would tie-up with the shortlisted Global Original Equipment Manufacturers (OEM) to manufacture the platform in India under the ‘Make in India’ policy.
The SP model, if properly implemented has the potential to boost the private sector and the larger Indian defence industry.
Indian firms Larsen and Toubro Ltd, Mahindra and Mahindra Ltd, Tata group and Adani group, among others, are likely to benefit the most from this new policy.
