Govt Cancels Spike Missile Deal With Israel, Set to Make in India

The Army, however, wrote to the Ministry of Defence, stating the “operational urgency of the equipment”.

The surface-to-air missile which was developed by the Defence Research and Development Organisation. Image used for representational purpose.

(Photo: PTI)

The Ministry of Defence has reportedly asked the Defence Research and Development Organisation (DRDO) to "indigenously develop and produce" Man-Portable Anti-Tank Guided Missile (MPATGM) for the Indian Army, after deciding to cancel the $500 million deal with Israel for the production of Spike ATGM.

The decision to cancel the deal was after considering that a foreign ATGM import would have a negative impact on DRDO's programme for indigenous development, reported Indian Express.

The deal was expected to be signed after price negotiations with Rafael Advanced Defence Systems of Israel were completed in 2016, the report added. Rafael had reportedly even entered into a joint venture with Kalyani group for the production of this missile in India.

DRDO has successfully produced the Nag and Anamika ATGMs. It is confident about providing the Army with an MPATGM of third generation missile technology, at par with Spike, within three to four years. It won’t also need any transfer of technology.

Source to <i>The Indian Express</i>

India's decision to retract Request for Proposal (RFP), however, is expected to be a "setback to the modernisation" programme of the Army.

According to the report, the Army wrote to the Ministry of Defence, stating the “operational urgency of the equipment”. The letters also reportedly highlighted that the missile will boost the troops deployed on the Line of Control.

The Army has a shortage of around 68,000 missiles, the report stated. It added that as against the government stipulation, no missiles were held as reserve for 10 days of intense fighting.

(With inputs from The Indian Express)

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