Leading Indian defence and aerospace company SMPP has entered into a "teaming agreement" with a pan-European land defence firm, KNDS, to manufacture state-of-the-art loitering munitions domestically. These Indian-made munitions will be capable of neutralising "high-value threats" with exceptional precision.

According to an official statement issued on Thursday, the partnership aligns with the government's Atmanirbhar Bharat vision by combining technology transfer with indigenous manufacturing. SMPP and KNDS "will focus on offering these loitering munitions to the Indian Army under the Make in India framework, strengthening the capability to address key operational requirements of the Indian armed forces."

This agreement comes at a time when the Indian Army has a significant and urgent requirement for advanced loitering munitions, the firm said. The agreement was signed on June 18 at the Eurosatory Exhibition in Paris.

"Validated in recent conflicts, these loitering munitions are designed to deliver high accuracy while addressing the critical operational requirements of modern warfare," SMPP said.

"These loitering munitions include the VELOCE and RODEUR systems, along with the ISTAR family of drones, enabling a highly effective 'search-and-destroy' capability. These "kamikaze" drones are co-developed by the French aviation firm EOS Technologie and KNDS.

"These systems offer the capability to neutralise high-value threats with exceptional precision and leverage a hybrid guidance system that combines a multi-constellation Global Navigation Satellite System (GNSS) receiver with an Inertial Navigation System (INS) to ensure accuracy across diverse terrains and combat environments," the statement said.

The fire-and-forget capability further enhances their effectiveness in complex operational scenarios, including precision strikes against strategic enemy assets, the Indian defence firm said.

In early April, the Indian Army unveiled a key "technology roadmap" outlining technical and operational requirements in the domain of unmanned aerial systems (UAS) and loitering munitions, a move that came amid the evolving nature of warfare as seen in various conflicts.

SMPP and KNDS had signed a teaming agreement for the Katana range of precision-guided artillery ammunition on November 20, 2025, at the Milipol Exhibition in Paris.

Katana is a 155 mm precision-guided artillery munition designed to deliver exceptional accuracy and extended range while addressing the evolving operational requirements of modern artillery systems, the statement said.

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