Boosting Aatmanirbharta: Indigenous ATAGS Deal Worth Rs 7,000 Crore Cleared by CCS

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New Delhi: In a boost for self-reliance in the country’s defence manufacturing sector, a Rs 7,000-crore deal for 307 indigenous artillery guns along with towing vehicles was cleared by the Cabinet Committee on Security (CCS), headed by Prime Minister Narendra Modi on March 19, according to a media report.

The clearance of ATAGS (advanced towed artillery gun system) deal paves the way for the signing of a contract by March-end, mentioned the media report. The 155mm/52-calibre gun has a range of 48 km.

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The ATAGS project was initiated by the Defence Research and Development Organisation (DRDO) in 2013 to replace older army guns with a modern 155mm artillery gun system. It partnered with two private firms Bharat Forge and Tata Advanced Systems Limited (TASL) to manufacture the gun.

Split between the two private firms, as per the order Bharat Forge, which emerged as the lowest bidder for the ATAGS tender, will manufacture and supply 60% of the guns, while the remaining 40% will be produced by TASL.

The procurement of the new 155mm/52 calibre guns will catalyse artillery modernisation and enhance the operational readiness of the Indian Army.

According to Indian Army’s strategic plan, all regiments are to be equipped with advanced 155mm artillery gun systems, inducting missiles and rockets with longer ranges and precision, lethal ammunition, reorganisation of surveillance and target acquisition units, and shortening the sensor-to-shooter loop for swift detection and destruction of targets. This will enhance its firepower, with a greater emphasis on mobility, precision attacks, range, quick strikes and survivability as it ramps up efforts to buy an array of weapons, including guns, rocket systems and missiles.

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During recent years, India has taken wide ranging measures to boost self-reliance in the defence manufacturing sector. These include imposing phased import bans on different types of weapons and systems, creating a separate budget for buying locally made military hardware, increasing foreign direct investment (FDI) from 49% to 74% and improving ease of doing business.

Few months back, the defence ministry signed a Rs 7,629-crore contract (a repeat order under the under Buy (Indian) category) with Larsen & Toubro for 100 more self-propelled K9 Vajra-T guns that will be manufactured locally with technology transfer from South Korean firm Hanwha. So far, the Indian Army has inducted 100 K9 Vajra-T guns under a 2017 contract and several of them have been deployed in the Ladakh sector after carrying out upgrades to enable operations in mountains.

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India has set aside more than Rs 6.81 lakh crore for defence spending in the Union Budget, including Rs 1.8 lakh crore for the modernisation of the military. In all, 75% of the modernisation outlay will be spent on buying weapons and equipment from domestic sources to boost self-reliance in the defence manufacturing sector.

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