India has approved its first 100% foreign direct investment (FDI) in the defence sector, permitting Sweden’s Saab to establish a facility for rocket manufacturing. The FDI proposal, valued at less than Rs 500 crore, was given the green light last month.
Saab Manufacturing Facility In Bharat
India has approved its first 100% foreign direct investment (FDI) in the defence sector, permitting Sweden’s Saab to establish a facility for rocket manufacturing. The FDI proposal, valued at less than Rs 500 crore, was given the green light last month.
•India currently allows up to 74% FDI in the defence sector through the automatic route, with clearances beyond that available on a case-by-case basis.
•Despite relaxed clearance 100% FDI e rules in 2015, no foreign company had previously received approval for in defence.
A new company, Saab FFV India, has been registered to produce the latest generation of the Carl-Gustaf M4 system, with the facility likely to be located in Haryana. These shoulder-fired rockets are extensively used by the Indian armed forces and can be exported once local production commences.
According to Gorgen Johannson, Senior Vice President at Saab, production of the shoulder-fired weapon having a range of 1,500 m will start in 2024. Saab will also be partnering with Indian sub-suppliers and the systems manufactured in the facility will fully meet the requirements of ‘Make in India’ programme.
Indian Army & Carl-Gustaf M4
The Carl-Gustaf M4, a recoilless rifle, has been in service with the Indian Army since the first cooperation agreement for production in India was signed 1976. Through its wide variety of ammunition, Carl-Gustaf has emerged as a key shoulder-launched weapon in the Indian Armed Forces. Almost all the forward posts of the Indian Army along the LAC with China have been equipped with previous versions of the weapon systems.
About Carl-Gustaf
The Carl-Gustaf recoilless rifle is a man-portable, multi-role weapon system that allows dismounted soldiers to effectively deal with multiple challenges on the modern battlefield. Adaptable and flexible, the system is constantly evolving to satisfy future user and market needs.
Key features of Carl-Gustaf
•Lightweight, robust, reliable, effective and easy to use
•Tactical flexibility through a wide range of ammunition
•Combat proven system
Technical specifications
•Weight: ~ 7 kg
•Length: < 1 m
•Sights: Open sight, red dot sight, telescopic sight
and advanced fire control device
•Ammunition: Anti-armour, anti-structure, anti-personnel, support
•Effective range: 500 m
•Users: 40 Countries
