MoD inks deal for Artillery gun electronic fuzes with BEL for Rs 5,336.25 crore

This procurement, spanning a decade, is crucial amid the ongoing border standoff with China in eastern Ladakh. The contract falls under the 'Manufacture of Ammunition for Indian Army by Indian Industry' initiative, aiming to bolster ammunition stocks, minimize imports, achieve self-sufficiency, acquire critical technologies, and secure the supply chain.

As part of its Aatmanirbhar Bharat initiative in the defence sector, the defence ministry on Friday inked a deal with DPSU Bharat Electronics Limited (BEL) to buy electronic fuzes for the Indian Army worth Rs 5,336.25 crore. The force will procure the electronic fuzes for a period of 10 years. The procurement of the defence item assumes significance amidst the ongoing border standoff with China along the line of actual control in eastern Ladakh. The troops of the two countries have been engaged in the standoff since May 2020.  

The ministry in a statement that the contract was inked to procure ammunition under ‘Manufacture of Ammunition for Indian Army by Indian Industry’. It is a government initiative with long-term requirement of 10 years. 

“The aim of the project is to build up ammunition stocks to minimise imports, achieve self-sufficiency in ammunition manufacturing, obtain critical technologies and secure stock affected by supply chain disruption,” it said.

Electronic fuzes are an integral component of medium-to-heavy calibre artillery guns which provides sustained artillery firepower for military operations. 

"The fuzes will be procured for usage in artillery guns which are capable of lethal engagements in various kinds of terrain including high altitude areas along the Northern Borders.”

The fuzes will be made at the BEL’s Pune facility and the upcoming Nagpur Plant. 

It is expected that over 1.5 lakh man-days employment will be generated and encourage active participation of Indian Industries including MSMEs in ammunition manufacturing and broaden the ammunition manufacturing ecosystem in the country.