India Selects Five Foreign Partners to Compete for $6.3Bn Sub Program

P75I Race to Build Six New Conventional Submarines: Adani Group Out, MDL and L&T in the Hunt (excerpt)

(Source: Financial Express; published January 21, 2020)

By Huma Siddiqui

NEW DELHI --- The Defence Acquisition Council (DAC) headed by defence minister Rajnath Singh rejected the joint bid by Adani Group & Hindustan Shipyard Limited on technical grounds for the $6.3 Billion Project 75(I) programme to build 6 new diesel-electric submarines.

This means that Mumbai based Mazagon Docks Ltd (MDL) and Larsen & Turbo (L&T) have been approved as the Indian Strategic Partners (SP) and will now compete to be chosen for constructing six submarines in India.

Whichever company finally wins will select one of five foreign Original Equipment Manufacturers (OEM): French Naval Group (Scorpene); Russian Rubin Design Bureau (Amur 1650); German Thyssenkrupp (Type 214); Spanish Navantia (S80) and South Korea’s DSME. Both Swedish Saab Kockums A26 and Japanese Mitsubishi Heavy Industries Soryu-class had dropped out from the OEM race earlier in the competition.

State-owned MDL already has an active production line and has so far delivered the first two of six Scorpene-class submarines to the Indian Navy. These submarines are being constructed in venture with the French Naval Group.

On the rejection of Adani Group, which had sought to be considered as an SP in a tie-up with HSL, informed sources said “During the DAC meeting on Tuesday, defence minister Rajnath Singh took a principled stand that the SP Model will be followed strictly and no exceptions will be made for anyone.”

“The competition between MDL and L&T is expected to be interesting. Mumbai based MDL is already working on the `Scorpene’ class submarines with the Naval Group.”

The down selected SP along with OEMs have to set up dedicated manufacturing lines for these submarines in the country and help in making India the global hub for submarine design and production.

As reported earlier, Russia has offered state-of-the-art “Lada” class diesel-electric submarine which is the export modification of Amur-1650 and will have the capability to be loaded with BrahMos Missile.

Also, in the submarines to be built under the P75 (I) programme there is a provision for the air-independent propulsion (AIP) technology, being developed by the Defence Research and Development Organisation (DRDO).

Presently the Indian Navy is operating two different types of submarines — Russian Kilo-class and German Type 209 conventional submarines. And one `Scorpene’ class submarine is the new one inducted in the Indian Navy. (end of excerpt)

Click here for the full story, on the Financial Express website.

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Defence Acquisition Council, Chaired by Raksha Mantri Shri Rajnath Singh, Approves Several Procurement Proposals to Boost ‘Make in India’

(Source: Indian Ministry of Defence; issued Jan 21, 2020)

The Defence Acquisition Council (DAC) headed by Raksha Mantri Shri Rajnath Singh, in its first meeting of 2020 and after the constitution of Chief of the Defence Staff, met today to consider a number of new and ongoing proposals for procuring critically needed platforms and equipment for the Armed Forces.

To promote indigenisation, the DAC accorded approval for procurement of equipment worth over Rs 5,100 crore from indigenous sources. (Emphasis added throughout—Ed.) These include sophisticated Electronic Warfare Systems for the Army designed by Defence Research and Development Organisation (DRDO) and manufactured locally by the Indian industry.

These systems will be used in deserts and plains and will provide comprehensive Electronic Support and Counter Measure capabilities to the field formations in both communication and other aspects of Electronic Warfare.

The DAC also approved prototype testing of trawl assemblies designed by DRDO for T-72 and T-90 tanks providing an important indigenous de-mining capability to the Army.

In another significant step, the DAC approved shortlisting of Indian Strategic Partners (SP) and the potential Original Equipment Manufacturers (OEMs) that would collaborate with SPs to construct six conventional submarines in India.

This programme is being progressed under the 'Strategic Partnership Model', promulgated in 2017 to give a major boost to 'Make in India' in Defence Sector. The Strategic partner is expected to play a transformational role in building an eco-system in the country, comprising development entities, specialised vendors and suppliers; especially those from the MSME sector.

SP Model also aims at promoting India as a manufacturing hub for defence equipment, in addition to establishing an industrial and R&D eco-system capable of meeting the future requirements of the Armed Forces besides giving boost to exports.

The DAC also accorded approval for inclusion of Innovations for Defence Excellence (iDEX) in Defence Procurement Procedure. This would provide avenues in capital procurement for the Armed Forces to startups and innovators working for iDEX and provide huge fillip to their budding efforts.

Today's decisions are also in keeping with the mandate given to the CDS and the newly-constituted Department of Military Affairs to promote use of indigenous hardware by the Services.

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