The attempts to expand domestic production of critical defence systems as part of the government's self-reliance in defence initiative have received another push, as Kalyani Strategic Systems Ltd (KSSL), a subsidiary of Bharat Forge Limited, and FN Herstal signed an agreement covering small arms, integrated weapon systems and counter-unmanned aerial system (C-UAS) solutions.
The memorandum of understanding (MoU) opens the way for the setting up of a dedicated production centre in India and a potential strategic alliance or joint venture between the two companies.
The agreement assumes significance as it focuses on creating manufacturing and technological capabilities in India rather than just supplying defence systems to the country. The partnership will explore local manufacturing, technology cooperation and domestic value creation to meet the requirements of the Indian armed forces.
The companies said this could provide the armed forces with greater security of supply and strategic autonomy in systems that are important for operational readiness.
Under the agreement, KSSL and FN Herstal will evaluate the establishment of a dedicated production centre in India.
The two companies will also explore a joint venture covering a range of FN Herstal defence products for the Indian market. The proposed cooperation spans small arms, integrated weapon systems and C-UAS solutions.
The companies will jointly study and assess potential projects, primarily aimed at meeting requirements in the Indian market.
The initiative is aligned with the government's Make in India policy and seeks to increase domestic industry's participation in defence procurement programmes.
The partnership brings together KSSL's engineering and large-scale manufacturing capabilities with FN Herstal's experience in small arms and integrated weapon systems, a press statement noted.
Amit Kalyani, vice chairman and joint managing director of Bharat Forge, said the partnership would combine FN Herstal's technology and products with KSSL's engineering and industrial capabilities.
The aim, he said, is to create a platform capable of delivering advanced defence solutions "from India - for India and global markets."
FN Browning Group CEO Julien Compere said the agreement was aimed at combining FN Herstal's defence solutions with KSSL's industrial capabilities to build long-term sovereign capacity for the Indian Armed Forces.
The proposed production centre and potential joint venture could create a long-term industrial framework for producing these systems within India.
Beyond local manufacturing, the agreement specifically envisages technology cooperation and value creation, strengthening India's domestic defence industrial base.
The inclusion of counter-UAS solutions alongside small arms and integrated weapon systems also gives the proposed partnership a wider scope.
If the plans outlined in the MoU progress, the partnership could provide the Indian armed forces with locally manufactured systems while improving security of supply and reducing dependence on external production.
At the same time, the companies envisage manufacturing advanced defence products in India not only for domestic requirements but also for global markets, further advancing the broader Make in India and Aatmanirbhar Bharat objectives.
