Thursday 28 / November / 2024
New Delhi: The month of September 2024 witnessed a series of significant defence procurement and development initiatives by the Government of India (GoI), aimed at bolstering the country's military capabilities and enhancing its strategic position in the global defence landscape, according to a report by ICICI securities.
One of the key highlights of September was the Defence Acquisition Council (DAC) approving 10 capital acquisition proposals worth Rs 145 billion.
The approvals include the procurement of Future-Ready Combat Vehicles (FRCVs), which will significantly enhance the Army's mobility and firepower.
In addition to the FRCVs, the DAC approved seven Project 17B stealth frigates for the Indian Navy, at an estimated cost of Rs 700 billion. The frigates will strengthen the Navy's maritime defence capabilities and improve its surface warfare tactics.
The Cabinet Committee on Security (CCS) cleared a major contract with Hindustan Aeronautics Limited (HAL) for the supply of 240 units of AL-31FP jet engines, valued at Rs 260 billion, for the Indian Air Force's Sukhoi Su-30MKI aircraft.
This deal, executed at a production rate of 30 engines per year, aims to ensure the fleet's sustained operational readiness and reduce dependency on foreign suppliers.
In a significant boost to India's space ambitions, the government approved a budget of Rs 227.5 billion for upcoming space missions.
This includes the next lunar mission, Chandrayaan-4, a Venus exploration mission, and the establishment of an Indian space station.
Additionally, the government has given the green light for the development of a next-generation launch vehicle to support these ambitious projects, signalling a major step forward for India's space capabilities.
Naval advancements also featured prominently in September, with Cochin Shipyard launching two anti-submarine warfare shallow watercraft for the Indian Navy.
The Ministry of Defence (MoD) approved the construction of extra-large unmanned underwater vehicles for the Navy, with a budget of Rs 25 billion.
Strategic collaborations marked another aspect of the month's defence activities. Bharat Electronics Limited (BEL) formed a new joint venture with Israel Aerospace Industries (IAI) to provide maintenance, repair, and overhaul (MRO) services for the Medium-Range Surface-to-Air Missile (MRSAM) systems in India.
Additionally, India has signed an implementing agreement with the South African Navy for submarine rescue assistance, ensuring a robust framework for mutual support in underwater emergencies.
An order was also secured by PTC Industries to supply titanium cast components to Israel Aerospace Industries, furthering India's role in the global defence supply chain.
Several contracts and new orders were finalized in September, reflecting the ongoing modernization efforts. Furthermore, Dassault Aviation announced plans to establish an MRO facility for Rafale and Mirage fighter jets near Noida, signifying a strategic move to support India's air combat capabilities locally.
In another significant move, the Defence Research and Development Organisation (DRDO) awarded a contract worth Rs 154 million to MTAR Technologies for the manufacture of full-scale and sub-scale combustors for air-breathing engines, underlining India's focus on advancing propulsion technology.
Adding to the month's developments, India overtook Japan to become the third-largest power in the Asia Power Index, reflecting its growing economic and military influence in the region.
Domestic defence manufacturing also saw new milestones, with the Small Arms Factory securing a significant export order for 2,000 medium machine guns from a European country. The Indian Army also placed a substantial order for 700 Trinetra drones, underscoring the focus on indigenous drone technology.
