Russia and India are also likely to have an agreement for production of spare parts for Russian-origin military equipment in India
The manufacturing of assault rifles and military helicopters in India will be among the top items on agenda when Prime Minister Narendra Modi and Russian President Vladimir Putin hold a bilateral meeting in Vladivostok later this week.
According to a report in The Economic Times, progress has been made on both agreements (helicopters and assault rifles) and that talks will firm up the timeframes to operationalise the deals by starting production in India.
Moneycontrol could not independently verify the report.
The report adds that the two nations are likely to discuss the Indo Russian Rifles Private Limited (IRRPL) JV for production of AK 203 assault rifles at Korwa, Uttar Pradesh.
The venture was formed following an agreement in February. The next step will be to place an order to begin production of the assault rifle.
The discussion on the next step of ordering light weight helicopters to India Russia Helicopters Limited (IRHL) for the Indian Army and the Air Force will be high on agenda. IRHL was established in 2015.
The Rs 20,000-crore deal to set up a production line in India to manufacture over 200 helicopters for the India’s defence forces, and the transfer of technology is being processed, the report adds. Technical details have been finalized with Hindustan Aeronautics Limited (HAL) -- the prime contractor.
According to the report, the defence ministry is processing a tender for production of 6.7 lakh rifles at the Korwa production unit. It is also keen that all indigenisation of the weapons is achieved as the venture will also focus on exports to friendly nations.Russia and India are also likely to have an agreement for the production of spare parts for Russian-origin military equipment in India. This is likely to be done under a joint venture framework, the report suggests. The venture will produce spare parts for all equipment, including those for aircraft, navy ships and land-based fighting units.Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.