India Orders Six More Squadrons Of Akash Missile Systems

(Avaition Week) : The Indian Air Force (IAF) has placed orders for six more squadrons of Akash Missile Systems (AMS) worth Rs 5,000 crore ($1.1 billion).
Bengaluru-based Bharat Electronics Ltd. (BEL) will be the principal integrator for the systems. BEL is currently executing the first order for two AMS squadrons (48 missiles) for the IAF worth Rs 1,221 crore ($269.5 million).
The Defense Research and Development Organization (DRDO) confirmed to Aviation Week Dec. 16 that the additional orders have come as a huge boost to India’s indigenous military program. “The fact that the user [IAF] has placed additional orders shows the growing confidence they have in homegrown products,” a senior DRDO official says. “IAF will benefit immensely from these orders as they can get whatever modifications to AMS done within no time. Time, cost overruns and delay in getting spares won’t be major issues anymore.”
BEL is expected to complete these additional orders in the next 3-5 years, while the first AMS squadron will be delivered to the IAF within a month to be positioned at Gwalior Air Base.
This past June, India’s Defense Acquisition Council cleared the army version of AMS, worth Rs 12,500 crore ($2.78 billion). The Indian government is likely to place the army order on Hyderabad-based Bharat Dynamics Ltd. — a move aimed at developing a healthy competition among defense public sector undertakings.
Indian industry will be a direct beneficiary to the latest orders from IAF. “With the combined orders of IAF and Army, we are looking at continuous production activities spread across 5-8 years,” a source says. “Then there’s a likelihood of more orders and new versions. Again the spotlight would fall on small- and medium-scale approved industries. The services can also look forward [to] continuous on-site product support.”