The Ministry of Defence has signed contracts worth approximately Rs 1,577 crore with Tata Advanced Systems Ltd (TASL) and NIBE Pvt Ltd for the procurement of loiter munition systems, loitering munitions and associated accessories for the Indian Army.
The contracts were signed on August 13, marking another major procurement order for India's growing indigenous defence manufacturing ecosystem.
The acquisition has been placed under the ‘Buy Indian' category and is being executed through the fast track procedure.
The Ministry said the procurement is aimed at enhancing the operational effectiveness of the Army's Artillery Regiments while strengthening domestic defence production.
Loitering munitions are unmanned systems designed to remain airborne while searching for a target before engaging it. Their combination of surveillance and precision strike capabilities has made them an increasingly important part of modern warfare.
The latest contracts will therefore add to the Indian Army's ability to deploy such systems while reducing reliance on overseas suppliers.
The Ministry of Defence said the procurement would also provide a significant boost to the government's Aatmanirbhar Bharat push in defence manufacturing.
The order is particularly significant for Indian private-sector defence companies such as TASL and NIBE, as the government continues to expand domestic sourcing of military equipment.
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The latest contracts also come against the backdrop of the Indian Army's broader push to strengthen drone and precision-strike capabilities.
Earlier reports indicated that the Army has been moving rapidly to acquire loitering munitions for its artillery formations.
With the Rs 1,577-crore contracts, the Centre is combining an urgent operational requirement with its broader objective of building a stronger Indian defence-industrial base.
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