DefINsights - Sugosha Media Oct 2020

DefInsightsVol.4Issue5-Oct2020
A SUGOSHA MEDIA PRESENTATION

DAP 2020 | OVERVIEW

PLR SYSTEMS | SMALL ARMS

MAKE IN INDIA SUCCESS STORY

Directed-Energy Weapons

Fiction to Reality

CONTENTS

COVER STORY

PLR SYSTEMS DIRECTED-ENERGY
MAKE IN INDIA SUCCESS WEAPONS

P 12 Fiction to Reality

DAP 2020 P 16
Overview
Industry Buzz
P 08
P 20
2
Business Opportunities
2 | DefInsights | Oct 2020
P 22

From the MD’s Desk

Dear Friends and A&D R&D

Professionals, KRAS To Set up R&D Centre For Indo Israeli JV -

Here is the round-up of Kalyani Rafael Advance Systems Opto-Electronics In
activities from Sep 2020 Hyderabad.

across following defence The CEO of the Indo-Israeli joint venture company
areas:
Kalyani Rafael Advanced Systems has said that the

Mrs. Shanti Kuber Start Ups company will not restrict itself as a production or
system integration facility and is set to launch a

Bangalore based start-up developing Air Launched new R&D center for Opto electronics by the end of

Drones with US Air Force Research labs this year. The company has already established a

missile sub-system manufacturing as well as repair
An Indian start-up company NewSpace Research and overhaul facility with an investment of around
and Technologies Private Limited has been selected 70 crore rupees.
as a partner in the first India U.S technology

collaboration project in the aerospace sector . The DRDO has successfully tested the indigenous

firm will now start work with the U.S Air Force hypersonic technology demonstrator vehicle

Research labs and the DRDO, to develop a futuristic HSTDV with scramjet engine, which makes India

air launch drone for the armed forces. Experts have the 4th country after the United States, Russia and

welcomed the move to involve the private sector in China to develop and successfully test hypersonic

the Indo-US technology sharing initiative. technology. The test was conducted using the

booster of the Agni system which took the
An Indian defence and space start-up company hypersonic technology demonstrator vehicle to a
HTNP industries private limited scheduled to carry height of 30 kilometers after which the hypersonic
the first test for their hypersonic but the test of the vehicle’s air intake opened and successfully fired
company’s hypersonic glide vehicle 202F prototype up the scramjet engine.
was postponed because of the lockdown. The

company is now ready to conduct the test to DRDO plans Star Wars-style DEW Systems for

examine its manoeuvrability and thermodynamic future “KALI”. DRDO is working on DEW with

activities at high speed. different variants of up to 100 KW. DRDO has been

working on the KALI particle beam system to target
Adani takes controlling stakes of 51% in PLR; set to incoming missiles and aircraft but this highly
dominate the Aerospace and Defence space secretive project is still a wee bit away from being

globally. PLR Systems produces machine guns, operational.
carbines and other weapons for domestic and

export markets. It was incorporated in 2013 and Policy

supplies indigenously manufactured defence Government working on giving shape to New Air
equipment to armed forces. Israeli defence Defence Command by October.
manufacturer IWI holds 49% stake in the company.

The deal will help the Adani group company The defence ministry will make an announcement

acquire capabilities ranging from unmanned aerial on 8 October on the setting up of the new air

vehicles (UAVs) to helicopter systems and major defence command that is likely to be based under

aero structures. the Air Forces Central Command headquartered in

Oct 2020 | DefInsights | 3

The Athos 2052 towed howitzer developed by Albert

the northern state of UP. The air defense command systems had won a tender valued at over one billion

will bring all the aerial platforms of the Air Force, dollars for supplying 1580 units to the Indian army

Navy and Army under one command and will be but new reports indicate that it might be replaced

responsible for guarding the Indian airspace. with the indigenously developed 155/52 towed

howitzer developed by Kalyani group and an initial
India Japan sign agreement giving military access to order for 400 units will be made once it is cleared by
each other's bases for supplies #ACSAPact. This will the Indian army which is currently in the final stage
enhance the interoperability against a common of trials.
adversary and will provide the two militaries access

to each other’s military bases for supplies and The Indian Army might soon get a powerful Armored

services. Personnel Carrier as a prototype of the Kalyani M4

was spotted in Ladakh last month, reportedly going
The Indian governments is planning to rapidly through high altitude tests in the region. The Kalyani
upgrade the infrastructure in both of its island M4 is based on the Mbombe 4 Mine resistant
territories to ensure that there is no replay of the armored fighting vehicle of the South African
south china sea in the Indian backyard. India will company Paramount group.
upgrade a number of airstrips on both island

territories into full-fledged fighter bases and they will India and Russia set to close deal for over 6 lakh

act as two new aircraft carriers for India and will help #AK203India, production to start soon. The final

in extending the navy’s reach in the region .This contract is currently being looked at legally by both

infrastructure upgrade had now acquired urgency sides before the signing process. The production of

due to some new developments as China has asked 6.5 lakh rifles would begin by the end of this year and

Thailand to start work on the Thai Canal aka Kra under the contract the first 20 000 rifles will be

project that will give china an alternative route to the directly imported from Russia at a cost of about Rs

Malacca strait .The canal has been proposed to slice 80000 per rifle and the rest will be manufactured in

through the Malay peninsula and connect the gulf of India. They also confirmed that the AK-203 will come

Thailand with the Andaman Sea. with a collapsible stock that can be adjusted

according to the soldier. A different safety
After the sale of Rs 5020 crore Stake in Hindustan mechanism which will help the soldier not to lose
Aeronautics, the government is looking to dilute its contact with the grip when changing modes during
stake in another public sector unit BDL which is an operation, a new flash hider that will avoid
another step in the government’s ambitious hampering of visibility when the rifle is used with
divestment target of 2.1 trillion for this fiscal year. night vision ,it will also come with a new barrel and

Indian Army an interchangeable magazine with the standard 30
and 50 rounds and the AK-47 magazine can also be

used with the AK-200.

Defence Ministry inks Rs 5,000 cr project with L&T,

Tata for 6 New Pinaka regiments, by 2024. A India has sent out a RFI to Russia for 45 SprutSDM1

significant portion of the work will also fall into BEML lightweight tanks under emergency procurement

which will supply the trucks for the new launchers. route while the Russian side had indicated that the

The Indian army already operates two regiments and first batch of 20 tanks can be delivered within the

out of 6 new regiments, L&T has been awarded the next few months . Russia is upgrading the

contract to manufacture 4 regiments while the SprutSDM1 tanks for the Russian army and the

balance 2 regiments will be made by TASL. The first Rostock State Corporation has handed over the

ever Pinaka rockets fully manufactured by the private upgraded prototypes of the lightweight tanks to the

sector firm Solar Group have also been successfully Russian military unit for testing which has a new

tested by the army last week . digital fire control system and enhanced protection

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visited India in 2019 to study and establish the facility

and will use the suspension from the BMP3 and the company had later obtained license to start

inventory combat vehicle that is more reliable and the manufacturing unit.

easier to operate than the suspension of SprutSDM1.

Meanwhile the DRDO and L&T are working on an Indian Navy

indigenous alternative which includes a design based

on the K9 Vagra equipped with the modular 105 The Indian navy has floated an RFI to procure 10

millimeters cannon of Belgian firm John Cockrell remotely piloted underwater vehicles that would

defense and its 42 degree elevation capability would recce the waters to detect ,identify and classify and

be helpful in mountainous regions. The indigenous lay mines and could launch a shaped charge to

project aims to field the first three tank prototypes in neutralize them. Both wired and wireless systems

the next 18 months at a project cost of 200 crores can participate in the tender but interested

and the highly automated canine production line of companies have only till October 2020 to respond.

L&T is capable to produce around 100 lightweight Also, Indian Navy to urgently buy 10 ship-based

tanks per year. drones worth 1240 crore rupees for Surveillance and

Reconnaissance activities in the Indian Ocean region.:

Aon has been accorded for 156 BMP2 ICVs in June Israel’s Steadicopter Unveils #Blackeagle50E RUAV

2020 and officials have said that work has started at for Maritime and Covert Missions which is powered

the ordnance factory and it will start supplying the by electric engines and can carry a wide range of

first batch of the upgraded ICVs with advanced payload of around 35 kilograms and the zero logistic

navigation system and better communication footprint makes it the perfect fit for wide range of

systems to the Indian army from next financial year . maritime and covered operations .They are adaptive

The complete order for 156 vehicles is expected to to high altitude flights thus enabling their

be concluded within a period of two years ordnance deployment in many high Altitude operational

factory has also takes up another project with the scenarios.

help of BEL to equip the BMP2 with integrated fire

control system to make them night fighting capable. India's CMERI (Central Mechanical Engineering

Research Institute) plans to extend its research to

Tank transporters for the Arjun and Unit repair develop long endurance autonomous underwater

vehicles have appeared in the RFIs as opportunities vehicles for defense applications. They have tested

this month. AV 500 prototype successfully which is a 3.7 meters

torpedo shaped vehicles that can operate up to a
The Indian ministry of defense had signed a Rs 880 depth of 1000 meters it can also carry mission
crore deal with Israel for 16,470 NegevNG7Delivery payloads such as an underwater camera lamp and
7.62mm LMGs under fast track procurement in conductivity as well as temperature and depth
March 2020 .The Israeli company will start the sensor.
delivery of the first batch very soon .The provisioning

of this operationally urgent and very critically needed Navy is looking to push for Aon for the third Aircraft

NG7 will boost the confidence of the frontline troop carrier, as well as high end drones.

and will provide much needed combat power to the

armed forces. INS Virat has undertaken her final journey after 27

circumnavigations of the globe in her 30 years of

British small arms manufacturer Webley and Scott service with Indian Navy.

has announced that it has tied up with Indian firm

Sial Manufacturers and will establish a manufacturing Indian Air Force

unit under the U.P defense corridor and the

manufacturing unit will begin operations in According to the defense ministry the indigenous

November. A team of experts from England had content of the Tejas LCA stands at 75.5 % by numbers

Oct 2020 | DefInsights | 5

On the initiative for the Aeroengines, while the

and 59.7 % by value. Efforts are being made to Department of defence Production is working on a

diversify the local supply chain and also replace grand scheme to co-design, co-develop and co-

foreign imported subsystems and components with manufacture aeroengines in India, France has

locally manufactured systems. The American F-404 surfaced with creating a capability for 110 KN thrust

engine remains the single most expensive imported for our own indigenous Kaveri engine, and on the

system in the Tejas aircraft which costs around $5 other hand indications exist for equipping the AMCA

million per unit while the Israeli ELM 2032 radar with F 414 or EJ 200. Rolls Royce has also taken an

system is the second most expensive imported initiative on a G2G route for manufacture of

system costing around $ 3 million per unit. aeroengines in India (this could be based on the F

136 engine technology).
The Martin Baker ejection seat is the third most

expensive imported system which costs around two Opportunities
hundred and fifty thousand dollars per unit. India

imports quartz radome and in-flight refueling probe Philippines outlines defence budget increase for

from United Kingdom, Dash four helmets and 2021 : Wants to buy BrahMos, with own budget not

software-defined radio from Israel as well as GSH 23 line of credit. A defense budget increase to 4.3 billion

millimeters cannon from Russia. According to dollars in 2021 which represents a rise of 11 % over

Hindustan Aeronautics The Tejas Mk 1 has around the original allocation for 2020, announced; this

344 line replaceable units out of which 210 are comes at a time when India and Philippines are all set

locally produced and 134 are still imported from to sign the deal for truck-based Brahmos batteries

foreign companies. HAL plans to start local and is holding discussion to equip the Brahmos anti-

production of 42 more-line replaceable units which ship systems on two frontline José Rizal class frigates.

will improve the indigenization objective and reduce

imported content in the aircraft. Chairman, DRDO has said that the Defense and

Aerospace sector of Hyderabad is all set to bag

Israel, India advance on Phalcon AWACS mega deal. orders worth over Rs 1 Lakh crore in the next two to

The CCS is expected to approve the procurement of three years. He pointed towards the recently

two Phalcon AWACS next week and this$1 billion submitted list of 108 items that have been Identified

procurement comes at a time when Israel’s defense for indigenous development and production which is

exports had fallen from 9.3 billion dollars in 2017 to set to give a boost to the 1000 tier 1 and tier 2

7.2 billion dollars in 2019. defense manufacturing units in the state. He also

said that the Astra system has already been cleared
Russia, India to Launch New Brahmos VLRAAM Air To by the defense ministry while the Helena and NAG
Air system by 2024. It will have a different target system will also be cleared soon. He also said that
seeker and will use the US-30 as the launch platform. negotiations are underway for more orders for the
Equipped with an upgraded Ramjet to reach Mach Akash air defense systems worth Rs 10000 crore
4.5 speeds, it will retain the 500 kilometers from BDL. Incidentally BDL has already got orders for
engagement range and will protect the Indian INR 25000 Crs. The private sector contribution is
airspace from large enemy support aircraft such as expected to be around 85%. In view of the
tankers, command centers and wax platforms which opportunities.
usually fly within their own airspace.

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multinational military exercise KavKaz 2020 in Russia,
DRDO website indicates the type of service they in which the Chinese and Pakistani troops are
provide like, technology support, consultancy, tech participating.
support and zero fees for ToT fee/royalty and more

than 1500 patents opened up. India assists Maldives to build infrastructure for

police force. India is not just assisting more leaves
Indian Army issues Tender for 811 #BMP2Upgrade with development projects but is also providing
with night vision & New ATGM on the 4th of support for its security-related infrastructure.
September to upgrade 811 BMP2 ICVs with better

firepower as well as night fighting capabilities and There have been reports of retraction of RFP in two

the army is seeking response by mid-October .The Buy Global cases, CARACAL of UAE ( for the 816

present equipment of the BMP 2 was inducted into carbines) and HANWA of S Korea for the SPADGMS

service in 1985 and its armament system lacks night programs. This has happened all of a sudden while

fighting capabilities. the contract was imminent after years of prolonged

trials, negotiations, and declaration of L-1.
The Indian army is looking to equip the T72 and T90

tanks with third-generation anti-tank guided systems The month has been exceedingly exciting with

that can be launched from its smooth bore barrel technology demonstrations on Laser guided ATGM,

which can achieve a depth of penetration of 850 Prithvi night tests from a mobile launcher, some

millimeters on moving targets over a range of 8 exciting opportunities for the industry and the FDI

kilometers. A barrel replacement plan has also enhancement under automatic route, besides a show

started so that both tanks can use the armored of strength in the South China sea.

piercing fin stabilized discarding sabot projectile.

As we approach October, Airforce day celebrations

India and Russia will sign a mutual defense logistics would take Centre stage along with an

support agreement during the annual bilateral announcement of the formation of the new AD

summit between the two countries in October. command.

Indian Army readies itself to place orders for 118 Happy reading
ARJUN Mark1A. This comes with 14 upgrades; these
include an auto-target tracker, automatic gear
system and improvement in suspension.

Midhani is creating new production facility in
Hyderabad: an exclusive armor unit to manufacture
bulletproof jackets and other protective gear having
mastered the technology associated with it.

India withdraws from multinational military exercise
with China, Pakistan on Russian soil #KavKaz2020

Kudos to Raksha Mantralaya, that In yet another
strong move, India decided against taking part in the

Oct 2020 | DefInsights | 7

DEFENCE ACQUISITION PROCEDURE 2020

Overview of the Policy

Raksha Mantri Shri Rajnath Singh, on 28 Sep, unveiled the Defence Acquisition Procedure (DAP) – 2020 in
New Delhi. The first Defence Procurement Procedure (DPP) was promulgated in the year 2002 and has since
been revised periodically to provide impetus to the growing domestic industry and achieve enhanced self
reliance in defence manufacturing. DAP 2020 will be applicable with effect from 01 October 2020.

Objectives of DAP 2020

DAP 2020 focuses on simplifying the Defence acquisition procedure and institutionalising monitoring
mechanism with concurrent actions using digital technologies & data base for selection of best equipment in
a transparent and competitive manner giving adequate opportunities to capable vendors. Make in India
initiative of the Government of India focuses on increasing participation of Indian Vendors including MSMEs,
and therefore “Make” procedure has been further refined in DAP 2020 to make it more objective and time
bound with focus on Indian industry especially MSMEs. Cutting down permissible timeframes for various
activities and institutionalising robust mechanisms to monitor for probity at various stages of the acquisition
process are the attributes of this DAP.

What's New

DAP 2020, a product of extensive analysis, deliberations, interactions and focused formulations, aims to further ‘Self
Reliance’ of the country in the defence sector and implement ‘Ease of Doing Business’ with emphasis on Simplification,
Delegation, Reduced Timelines and making the process as Industry friendly as possible.

The following chapters have been introduced in DAP 2020

 Chapter IV Procedure for Acquisition of systems designed and developed by DRDO/DPSU/OFB

 Chapter VIII Acquisition of Systems Products and ICT Systems

 Chapter IX Leasing

 Chapter X Other Capital Procurement Procedure

 Chapter XI Post Contract Management

 Chapter III Addition of Innovation category

Ease of Doing Business

One of the key focus areas of the review was to implement ‘Ease of Doing Business’ with emphasis on
simplification, delegation and making the process industry friendly with certain specific provisions
incorporated:-

(a) Procedural Changes.

 Single stage accord of AoN in all cases upto Rs 500 crores has been instituted thereby reducing time.

 FTP cases, post accord of AoN, will be progressed as per delegated powers thereby reducing the
procurement cycle considerably.

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3. In Planning Process, LTIPP has been re-designated as Integrated Capability Development Plan (ICDP)
covering planning period of ten years instead of 15 years.

(b) Request for Proposal (RFP) and Standard Contract Document (SCD). Certain measures to provide
clarity and alignment of requirements as also enabling provisions have been incorporated in the RFP and
SCD in terms of Flow Chart driven guidelines, provision of in-storage preservation and termination of
contracts in cases where projects are not progressing as per pre–defined milestones.

Salient features of DAP 2020

Reservation in Categories for Indian Vendors. The categories of Buy (Indian-IDDM), Make I, Make II,
Production Agency in Design &Development, OFB/DPSU and SP model will be exclusively reserved for Indian
Vendors meeting the criteria of Ownership and Control by resident Indian Citizens with FDI not more than
49%. This reservation will provide exclusivity in participation to domestic Indian industry.

Enhancement of Indigenous Content.

(a) Overall Enhancement in Indigenous Content (IC)

Category DPP 2016 DAP 2020

Buy (Indian-IDDM) Min 40% Min 50%
Buy (Indian) Min 40% Indigenous design -
Min 50%, otherwise -
Buy & Make (Indian) Min 50% of Make Min 60%
Buy (Global – Mfg in - Min 50% of Make
India) Min 50%
Buy (Global) -
Min 30% for Indian
vendors

(b) IC Verification. A simple and practical verification process has been instituted and IC will now be
calculated on ‘Base Contract Price’ i.e. Total Contract Price less taxes & duties.

(c) Indigenous Military Material. Promoting use of indigenous military material with provisions for
examination of platforms and other equipment/ systems and reward for vendors for using indigenous raw
material.

(d) Indigenous Software. Provision for exploring options for operating base applications like
Fire Control System, Radars, Encryption, Communications etc on indigenous software in Buy (Indian-
IDDM) & Buy (Indian) cases has been included.

Rationalisation of Trial and Testing Procedures.

(a) Testing equipment based on its employability and for other conditions appropriate certifications
confirming functional effectiveness may be obtained.

Oct 2020 | DefInsights | 9

(b) Scope of Trials will be restricted to physical evaluation of core operational parameters, other parameters
may be evaluated based on vendor certification, certification by accredited laboratories, computer
simulations of parameters..

(c) Avoid duplication of trials and waiver will be granted based on Certificates of Conformance. Ensure
simultaneity of various Trials and wherever feasible, entire trials be conducted by a Combine Trial Team in
order to save time.

(d) Requisite opportunity will be afforded to participating vendors to rectify shortcomings/faults during the
Trials with permission to carry out repairs.

(e) Request For Proposal will apprise vendors to submit draft Acceptance Test Procedure (ATP), to be
finalised by QA agency during Technical Trials itself. Sample size for destructive tests including the aspect of
cost to be borne by seller will be stated upfront in the RFP for vendor.

(f) Inspections. No repetition of inspections will be done especially during acceptance of equipment. Third
Party Inspections will also be carried out.

Make & Innovation

(a) Make I (Government Funded upto 70%). Laying down a cap of Rs 250 crore/DA and selection of DAs
based on bidding criteria.

(b) Make II (Industry Funded) for production of indigenously designed & developed weapons/equipment/
systems/platforms along with sub components/assemblies.

(c) Make III (Indigenously Manufactured) category for manufacture of equipment/platforms or spares/
assemblies/sub-assemblies for enabling import substitution.

(d) Procurement of prototypes developed through ‘Innovation’ under various initiatives like iDEX,
Technology Development Fund and Internal Services Organisations has been facilitated.

Design & Development

A separate dedicated chapter has been incorporated in the DAP 2020 for acquisition of systems Designed
and Developed by DRDO/DPSUs/OFB. A simplified procedure with Integrated Single Stage Trials to reduce
timelines and laying greater emphasis on evaluation through certification and simulation. Aspects of Spiral
Development have been incorporated.

Address Voids.

Certain existing voids have been addressed in the form of new Chapters as under:-

(a) ‘Information Communication Technology’. Peculiar issues related to procurement of ICT intensive
equipment especially of Interoperability & Built-in Upgradability, enhanced security requirements and
change management have been included.

Leasing. A new category introduced to enable operating of assets without owning thereby, substitute
huge initial capital outlays.

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(c) Post Contact Management. To formalise procedures post signing of contract with respect to inspections,
levying of Liquidity Damages, Contract Amendments etc.
(d) Other Capital Procurement Procedure. A new procedure has been included as a new chapter in DAP and
structured as an enabling provision for Services to procure essential items through Capital Budget under a
simplified procedure in a time bound manner.
Industry Friendly Commercial Terms

(a) Price Variation Clause has been incorporated for large and protracted contracts in order to avert inflated
initial quotes by vendors and arriving at a realistic price of the project.

(b) Payments to Vendors. Suitable provisions like parallel processing of documents by SHQ/PCDA through
digital verification, within laid down timelines, has been included to ensure timely payment to vendors.
Payments to Indian industry have been aligned with foreign industry.

Offsets

The Offset guidelines have been revised, wherein preference will be given to manufacture of complete
defence products over components and various multipliers have been added to give incentivisation in
discharge of Offsets.

DAP 2020, has many interesting features. DAP 2020 is a welcome change with new possibilities and
concepts. The importance given to Military materials, Indigenous software and MRO is particularly
encouraging. The idea of firm commitment in buying back as BNE for Military Materials and FAB is inspiring.
This needs to be taken into every aspect of Make in India.

Considered Favourable. Some of the major highlights of the DAP considered favourable are :-

• Focus on technology in offsets, discarding traditional build to print or contract manufacturing

• Higher multipliers for technology transfers in Offsets

• Introduction of third party valuations and removal of restrictions on sub tier discharge of offsets as well as
percentage discharge on particular avenues. All avenues are equally good.

• Importance given to design and development from the planning stage through execution

• New concepts in terms of long term product support, leasing, price variation clause

• Introduction of AI, Military Materials, Indigenous software, Aero Engines and FAB

• Term of DPP. Fixed , so one knows the duration of effect.

• Timeframes. Reduction in implementation timeframes is encouraging

• Make 2, 3 and iDEX/open competition.

• Clarity in Indigenous Content. Very clear and positive as also increase in percentages of IC in various
categories of procurement.

Oct 2020 | DefInsights | 11

PLR SYSTEMS : Small Arms

A ‘Make in India’ Success Story

In the August 2020 edition of DefInsights we looked at the status of Small Arms procurement by the Indian
Armed Forces. Today we highlight one on the private players who has made significant strides in the
manufacture of small arms production in the country, PLR Systems. We have also had a few recent
developments in this sector since August. Ministry of Defence has released the draft Defence Acquisition
Policy (DAP) 2020 and the draft Defence Production and Export Promotion Policy (DPEPP) 2020 with
enhanced provisions for Make in India. The Fast Track Procedure (FTP) procurement of 94000 CQB carbines
has been put on hold, seeking Make in India options. A UAE based arms manufacturer Caracal had been
shortlisted to supply these carbines for the Indian Army.
MoD also announced a list of negative items under the import embargo which includes the following small
arms
• 7.62x51 Sniper Rifle
• Dragunov Upgrade System
• PKMG Upgrade System
• Light Machine Gun
• Assault Rifle 7.62 x 39mm
Do these updated policies provide additional benefits to the Indian industry? Does the import embargo
create an opportunity for the Indian Private Sector in the small arms sector? We get a few answers by
analysing the success of PLR Systems.
PLR Systems is an Indian Joint Venture with Israel Weapon Industries (IWI) to manufacture the entire range
of IWI weapons from MASADA pistol/Uzi Sub Machine Gun, TAVOR, NEGEV and Galil family of weapons in
India. The PLR plant came up in Bhind, Madhya Pradesh in 2017 and since then PLR has supplied Made in
India X95-Micro Tavor Carbines, Uzi SMG and Galil Sniper Rifles to Indian state police and CAPF making it
India’s first private small arms manufacturer.

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In IWI, PLR has found an ideal partner whose products were already in service and being used by the elite be
it the Special Forces, PARA battalions, MARCOS, CRPF & BSF Special Units.

More recently Adani Land Defence Systems and Technologies has acquired a majority equity stake in PLR
Systems. This further bolsters the company to provide indigenously manufactured defence equipment to
the Indian Armed Forces and Paramilitary Forces.

To understand what has enabled PLR to be the first
private company to start production of small arms
in India, we need to understand the model they
adopted for success. The strategy adopted by PLR
was a Product based approach instead of Program
based approach. This enabled them to identify the
void, partner with a world class OEM, adsorb
technology and build capability in a phased
manner. The belief in their abilities and their
product line was the guiding principle, along with
a long term objective of sustained presence in the
Indian market.

In contrast when companies follow a Program
based approach, they are primarily limited to the
program at hand whereas product based approach
is on building capabilities first. Furthermore, when the Program does not take off, the company is left with
nothing to show for in terms of design, development or product prototype for the amount of time and
resources spent.

In addition to the weapon
manufacturing PLR has also established
Armourer Shop and Opto Electronic
Laboratory to carry out the
Maintenance, Repair and Overhaul
(MRO) of Small Arms and Weapon
Sights.

There were many challenges along the
way but the fact that small arms sector
is the most licenced and regulated
defence manufacturing area was the
biggest of them all. Also being the first
private Small Arms manufacturer they
faced hurdles at all levels as there was no precedence and government officials are always hesitant in being
the first to sign off something new.

Oct 2020 | DefInsights | 13

Even though the Negative List is a step in right direction but needs more additions. In small arms only two
products i.e., 7.62x51mm Sniper Rifles 7.62x39mm Assault Rifles and LMG have been included, whereas
Small Arms include all calibres upto 12.7mm. Hence MoD should look to include the 9mm Pistols, SMGs &
Carbines, 5.56mm Carbines, Assault Rifles, LMGs, 7.62x51mm Assault Rifles to name a few.
The technology and capability of all above calibres exists in India, having very selective calibres goes
against the fundamentals of the list.
Pvt industry will surely benefit as India is a big & lucrative market which no OEM wants to sit out. They
will be forced to reconsider their options and set up production in India. Similarly, the private
manufacturers will have the comfort of knowing that this demand can be met through India only.
Just like the Negative list the govt has been biased towards the government sponsored manufacturing like
OFB in the Customs Exemption list. Only two specific items, the AK 203 rifle and .338 Sniper Rifle and its
part have been exempted the Custom duty. How can an Indian private manufacturer compete against
such advantage.
With regards to the CQB Carbine procurement, cancelling a tender after completion of trials and opening
of bid most definitely sends a negative impression of Indian procurement process. Sig Sauer with its
aggressive pricing of a higher calibre 7.62x51mm Assault Rifles has put the govt in a tight spot. The so
called cheaper carbines and AK Assault Rifles are no more looking so cheap.
That being said, PLR has offered the MOD to meet the void of CQB carbines in-house,
1. Galil ACE CQB is a fully trial evaluated wpn. It came out as the resultant single vendor in the 2013 CQB
trials.
2. Unlike the FTP the ACE will be manufactured in India with 50% indigenous content resulting in
absorption of technology and creation of jobs. Not to mention, saving foreign exchange.
3. PLR can meet the same timelines of the FTP.
Building of capabilities over the year has made PLR ready to take on the project.

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Caracal or any other firm cannot achieve the timelines if they have not established a plant. The
approvals, setup processes, technology absorption and final certifications can itself take upwards of
18months. Starting from scratch it would be very difficult to achieve the delivery timelines.
Moving from carbine to light
machine guns (LMG), the Indian
Army has been looking to acquire
close to 41000 LMGs as part of its
modernisation plan. After a long wait
the Indian Army signed a contract
with Israel Weapons Industries (IWI)
for 16,479 state-of-the-art Light
Machine Guns (LMG). The
contracted Negev 7.62X51 mm LMG
which is used by several countries
across the globe is a proven weapon
and this will help in enhancing the
lethality and range of a soldier.
PLR is fielding the same LMG for the ongoing procurement of 40,949 balance quantity LMGs. Trials will
be commencing in Jan 2021.

PLR is also participating in multiple tenders of MHA as an Indian OEM, the first in the field of small arms.
Lastly the government’s decision to increase the FDI limit to 74 percent, procurements of upto INR 200
Crore only from Indian companies and the introduction of negative import list will go a long way in giving
the Make in India campaign the much needed impetus. Small Arms are an ideal starting point for
achieving self-sufficiency because there is a long outstanding demand for modern small arms for our
troops and the technology is relatively easy to absorb. With govt embargo of procurement from foreign
vendors for value upto INR 200 crores , PLR with its matured manufacturing stands a good chance to fill
the void.
PLR Systems is a shining example of ‘Make in India’ wherein an Indian company has partnered with an
internationally recognised weapon manufacturer to bring world class technology and manufacturing to
India.

Oct 2020 | DefInsights | 15

DIRECTED-ENERGY WEAPONS

Will fiction turn to reality?

A directed-energy weapon (DEW) is a ranged weapon that damages its target with highly focused energy,
including laser, microwaves and particle beams. Potential applications of this technology include weapons
that target personnel, missiles, vehicles, and optical devices.

After decades of research and development, directed-energy weapons are still at the experimental stage and
it remains to be seen if or when they will be deployed as practical, high-performance military weapons.

What is DEW?

DEW can be broadly defined as systems that produce ‘a beam of concentrated electromagnetic energy or
atomic or subatomic particles’, which is used as a direct means to incapacitate, injure or kill people, or to
incapacitate, degrade, damage or destroy objects.

They are three main DEW categories based on how this is energy is created

 Laser—lasers capable of shooting down planes and missiles, or of using bright light to ‘dazzle’ or disorient
people;

 Microwaves—weapons that use electromagnetic waves of other wavelengths, including millimetre
waves or microwaves that can be directed against human or hardware targets;

 Plasma—weapons using particle beams to disrupt or damage a target’s molecular or atomic structure.

Conventional Weapons Directed-Energy Weapons
Readily available with reloading May have to wait to recharge between
uses
Inoperable when ammunition depletes Can always operate when power is
Heavy ammunition available
Lightweight

Expensive ammunition Expensive R&D, but no ammunition cost

Speed of about 1mps for bullets and 2mps About 186000mps
for missiles

Less discriminate (low precision) More discriminate (precise accuracy)

Comparison between conventional and DEW weapons

Global Efforts

Recent R&D and prototyping of DEW has made it clear that this form of weaponry has moved beyond just a
theoretical concept. US and Russia have for long been promulgating research and development of DEW.

The recent advent of more portable and relatively cheap laser systems driven by developments in

16

16 | DefInsights | Oct 2020

nanotechnology, battery power and optical fibres, has renewed enthusiasm for DEW broadly and laser
weapons in particular. Lasers require large amounts of power to affect a target. This has been reflected in
the advancement of tests: the US Navy trialled its laser weapons system (LaWS) to shoot down a ScanEagle
UAV in 2013 and, in November 2014, to target small high-speed boats, marking the first successful
demonstration of the operational use of such a weapon.

The defence ministries of the UK and Russia have also reportedly confirmed that they are channelling
extensive funding towards the development of laser, electromagnetic and plasma weapons.

Alternatively, weapons using millimetre waves (often, somewhat confusingly, called ‘microwave weapons’ in
news reports) can be used against people by heating the skin to intolerably painful temperatures. China has
already developed such a weapon, commonly known as Poly WB-1, which will reportedly be used by its
navy .The best-known example, however, remains the US Active Denial System, a millimetre-wave source
that produces an intense burning sensation in the skin, but leaves no visible mark. It was reportedly
deployed in Afghanistan.

Raytheon Co. has successfully brought down multiple drones using its advanced high power microwave
(HPM) and mobile high energy laser (HEL) weapons., in May 2019.

So far, Turkey is the only country that has DEWs in active service and it is reported to have shot down a
Chinese-made drone in Libya with a laser weapon mounted on the back of an armoured car in August 2019.

India’s Efforts

India has the vision for laser weapons as well as the scientific talent to absorb and build on the technology.
Two laboratories of the Defence Research and Development Organisation (DRDO), the Centre for High
Energy Systems and Sciences (CHESS), and the Laser Science & Technology Centre (LASTEC), have been
working on developing laser weapons technology for the last few years. In July 2018, they achieved a first
success with a vehicle-mounted 1-kilowatt laser weapon system. The DRDO has been working on several
DEW projects for long, ranging from ‘chemical oxygen iodine’ and ‘high-power fibre’ lasers to a secretive
‘Kali’ particle-beam weapon for ‘soft-kills’ against incoming missiles and aircraft.

Conclusion

India has long borders, a huge airspace, and with Pakistan as an enemy, and China as a regional competitor,
India needs to contain the escalating costs of air defence. Laser-based weapon systems could provide an
affordable solution. They can not only target drones, but also handle the increasing non-traditional threats
that India is confronted with. Even more, laser weapons could turn out to be cheap anti-satellite weapons
for a country that is determined to play a major role in the space race.

This short overview of what is currently going on in the world of DEWs clearly demonstrates that the
question is no longer if DEWs will play a major role on future battlefields, but when. Until recently, the
destructive use of laser, particle beams or microwaves was reserved for science fiction movies like Star
Wars, but it is becoming reality as we speak.

Sohil Patel , Sugosha Advisory

Oct 2020 | DefInsights | 17

Defence India Startup Challenge 4 (DISC 4)

Raksha Mantri Shri Rajnath Singh launched the Defence India Startup Challenge (DISC 4) during the iDEX
event, featuring the initiatives aimed at expanding the horizons of Innovations for Defence Excellence
(iDEX) ecosystem in New Delhi today. iDEX4Fauji initiative and Product Management Approach (PMA)
guidelines were also launched by the Raksha Mantri during the event. Each of these initiatives is
expected to facilitate iDEX-DIO to scale up the program qualitatively and quantitatively.

iDEX4Fauji is a first of its kind initiative, launched to support innovations identified by members of the
Indian Armed Forces and will bolster frugal innovation ideas from soldiers/ field formations. There are
more than 13 Lakh service personnel working in the field and on borders, handling extreme conditions
and equipment and would be having many ideas and innovations to improve such equipment. There was
no mechanism to support such innovations. iDEX4Fauji would open this window and allow our Faujis to
become part of the innovation process and get recognised and rewarded. Services Headquarters will
provide support to the soldiers & field formations all over the country to ensure maximum participation.

Speaking on the occasion, Raksha Mantri Shri Rajnath Singh said that the iDEX initiative stands out as
one of the most effective and well-executed defence Startup ecosystem created in our country and it
would be a decisive step towards achieving self-reliance in the spirit of the AtmaNirbhar Bharat
campaign.

Under Defence India Startup Challenge (DISC) 4, eleven challenges from Armed forces, OFB&DPSUs were
thrown open to prospective startups, innovators, MSMEs alike to provide their innovative ideas on
technologies which find their application in the defence sector. The challenges are as follows:

 Autonomous Underwater Swarm Drones

 Predictive, Preventive & Prescriptive Machine Monitoring

 Super Resolution for Improving Spatial Resolution

 AI based Satellite Image Analysis

 Prediction and forecasting of atmospheric visibility

 Computer Generated Targets for Virtual Training

 Remote Real Time In-Flight Health Monitoring of Aircrew

 MF-TDMA based Wideband SATCOM Modem

 Foliage Penetration Radar

 Reduction of RCS of Naval Warships

 Target Detection in Chaff Environment

In order to develop a 'right product and the product right', DIO has adopted the Product Management
Approach to steer the prototype development to a market ready product. These guidelines are first of
their kind and their release by Raksha Mantri is intended to monitor product development milestones
achieved by iDEX winners against the requirements set by the Services/ DPSUs/ OFB.

18

18 | DefInsights | Oct 2020

Oct 2020 | DefInsights | 19

INDUSTRY BUZZ

Defence Acquisition Council accords approval for various arms and equipment worth Rs. 2,290 crore

The Defence Acquisition Council meeting held under the Chairmanship of Raksha Mantri Shri Rajnath, on 28
Sep, approved proposals for Capital acquisitions of various equipment required by the Indian Armed Forces
at an approximate cost of Rs 2,290 crore. These include procurement from Domestic Industry as well as
Foreign vendors.

Under the Buy Indian (IDDM) category, the DAC approved procurement of Static HF Tans-receiver sets and
Smart Anti Airfield Weapon (SAAW). The HF radio sets will enable seamless communication for the field
units of Army and Air Force and are being procured at an approx. cost of Rs. 540 crore. The Smart Anti
Airfield Weapon being procured at an approx. cost of Rs. 970 crore will add to the fire power of Navy and
Airforce.

Further, to equip the Frontline Troops of the Army the DAC also accorded approval for procurement of SIG
SAUER Assault Rifles at a cost of approx. Rs.780 crore.

Laser Guided ATGM Successfully Test-fired

Laser Guided Anti Tank Guided Missile (ATGM) was successfully test fired from MBT Arjun Tank at KK
Ranges, Armoured Corps Centre and School (ACC&S) Ahmednagar on 22nd Sep 2020. In these tests, the
ATGM successfully defeated a target located at 3 km. Laser guided ATGMs lock and track the targets with
the help of laser designation to ensure precision hit accuracy.

The missile employs a
tandem HEAT warhead to
defeat Explosive Reactive
Armour (ERA) protected
armoured vehicles. It has
been developed with multiple
-platform launch capability
and is currently undergoing
technical evaluation trials
from gun of MBT Arjun.

Armament Research &

Development Establishment

(ARDE) Pune in association

with High Energy Materials

Research Laboratory (HEMRL)

Pune, and Instruments

Research & Development

Establishment (IRDE)

Dehradun have developed

the missile.

Raksha Mantri Shri Rajnath Singh congratulated DRDO for the successfully test firing of the Laser Guided
Anti Tank Guided Missile from MBT Arjun at KK Ranges.

20 | DefInsights | Oct 2020

INDUSTRY BUZZ

DRDO successfully flight tests Hypersonic Technology Demonstrator Vehicle

Defence Research and Development Organisation (DRDO) has successfully demonstrated the hypersonic air-
breathing scramjet technology with the flight test of Hypersonic Technology Demonstration Vehicle (HSTDV)
at 1103 hours on 7th Sep from Dr APJ Abdul Kalam Launch Complex at Wheeler Island, off the coast of
Odisha.

The hypersonic cruise vehicle was launched using a proven solid rocket motor, which took it to an altitude of
30 kilometres (km), where the aerodynamic heat shields were separated at hypersonic Mach number. The
cruise vehicle separated from the launch vehicle and the air intake opened as planned. The hypersonic
combustion sustained and the cruise vehicle continued on its desired flight path at a velocity of six times the
speed of sound i.e., nearly 02 km/second for more than 20 seconds. The critical events like fuel injection and
auto ignition of scramjet demonstrated technological maturity. The scramjet engine performed in a text
book manner.

The parameters of launch and cruise
vehicle, including scramjet engine
was monitored by multiple tracking
radars, electro-optical systems and
Telemetry Stations. The scramjet
engine worked at high dynamic
pressure and at very high
temperature. A Ship was also
deployed in the Bay of Bengal to
monitor the performance during the
cruise phase of hypersonic vehicle.
All the performance parameters
have indicated a resounding success
of the mission.

With this successful demonstration, many critical technologies such as aerodynamic configuration for
hypersonic maneuvers, use of scramjet propulsion for ignition and sustained combustion at hypersonic flow,
thermo-structural characterisation of high temperature materials, separation mechanism at hypersonic
velocities etc. were proven.

BrahMos Missile Featuring Indigenous Booster Successfully Flight Tested

BrahMos surface-to-surface supersonic cruise missile featuring indigenous Booster and Airframe Section
along with many other ‘Made in India’ sub-systems was successfully flight tested for designated range at
1030 hours on September 30, 2020 from ITR, Balasore in Odisha. It is one more major step in enhancing the
indigenous content.

The BrahMos Land-Attack Cruise Missile (LACM) was cruising at a top speed of Mach 2.8.

This successful launch has paved the way for the serial production of the indigenous booster and other
indigenous components of the powerful BrahMos Weapon System realising Atmanirbhar Bharat pledge.

Oct 2020 | DefInsights | 21

Business Opportunities : Oct 2020

SL TENDER TITLE SUBMISSION ORGANISA- TENDER ID ENQUIRY
CLOSING DATE TION/ 2020_DoDP_560733_1 TYPE
NO AGENCY RFP
07/Oct/20 13:30 2020_CRPF_586594_1
1 ANTI SKID SHOE WORKING VARIOUS OFB Kanpur 2020_SSB_586376_1 RFP
SIZES EOI
2020_DRDO_380808_1
2 Bullet Resistant Vest male only col- 27/Oct/20 11:00 DG,CRPF,MHA 2020_DRDO_380473_1 RFP
RFP
our black 2020_DRDO_380945_1
2020_ARMY_381295_1 RFP
3 Preparation of detailed project re- 12/Oct/20 11:00 DG Sashastra RFP

port (DPR) for installation of Solar Seema

Power Plant of 50 KWP Bal,MHA

4 Online Invitation of Bids for Indigeni- 20/Oct/20 10:00 DRDO CABS
zation of 1.8 m C Band TTC System

5 Airborne Snow Data Acquisition 29/Oct/20 11:00 DRDO SASE

System

6 NON ROTATING TURNING TOOLS 22/Oct/20 10:00 DRDO DRDL

AND INSERTS

7 MODIFICATION KIT FOR DRAGUNOV 22/Oct/20 18:00 IHQ of MoD

SNIPER RIFLE (Army)-(OSCC)

8 Supply of Power Panels for P17A 16/Oct/20 14:00 Mazagon 2020_MDL_83265_1 RFP
2020_GRSE_83260_1 RFP
Dock Ship- 2020_NAVY_379947_1 RFP
2020_ARMY_381285_1 RFP
builders Lim-

ited

9 SUPPLY OF MODULAR ACCOMODA- 19/Oct/20 12:00 Garden Reach

TION FOR GRSE YARD NOS. 3025- Shipbuilders

3028 (SVL PROJECT) and Engineers

Ltd.

10 HIRING OF SUPPORT VESSEL FOR 16/Nov/20 17:00 IHQ of MOD

COASTAL SECURITY AT WNC MUM- (Navy)

BAI

11 SUPPLY OF HOLOGRAPHIC SIGHT 22/Oct/20 18:00 IHQ of MoD

FOR AK-47 (Army)-(OSCC)

12 Airborne Snow Data Acquisition 29/Oct/20 11:00 DRDO SASE 2020_DRDO_380473_1 RFP
2020_NAVY_380979_1 RFP
System 2020_MDL_559870_1 RFP
2020_CRPF_586326_1 RFP
13 PROCUREMENT OF 02 BY TYPE AGS 22/Oct/20 15:00 IHQ of MOD

ITEMS (Navy)

14 Indigenous development of Poly- 13/Oct/20 15:00 Mazagon

chlroprene rubber Dock Limited

15 PARTIAL ARMOURING FABIRCATION 07/Oct/20 16:00 DG,CRPF,MHA
OF BULLET PROOFING FOR TATA 407

22 | DefInsights | Oct 2020

Business Opportunities : Oct 2020

SL TENDER TITLE SUBMISSION ORGANISA- TENDER ID ENQUIRY
NO CLOSING DATE TION/AGENCY 2020_NAVY_379503_1 TYPE
16 Procurement of Wireless datalogging 05/Oct/20 10:00 RFP
IHQ of MOD
Video Boroscope with Articulating 12/Oct/20 14:00 (Navy) RFP
Probe 09/Oct/20 09:55 RFP
IHQ of MoD 2020_ARMY_379126_1
17 AUTO WEATHER MONITORING STA- 20/Oct/20 16:30 (Army) 2020_ARMY_379013_1 EOI
TION , QTY-14 NOS
IHQ of MoD 2020_DoDP_559301_1
18 PURCHASE OF SPARES OF BMP-I/II/ (Army)-(OSCC)
IIK/CMT/AAT/T-72/ENG UTD-20
OFB Kanpur
19 Expression of Interest For
Shortlisting of Training Partners

20 EXPRESSION OF INTEREST FOR DP 30/Sep/20 14:30 Indian Air Force 2020_IAF_559217_1 EOI
3995 AND 1508A 21/Nov/20 09:00 2020_IN_559160_1 RFI
Indian Na-
21 Request for Information (RFI) for vy||IHQ MOD
procurement of Hydrogen Genera-
(N)
tors for Indian Navy Met Offices

22 RFI for Accord of Acceptance of Ne- 16/Oct/2020 Indian Navy _ RFI
cessity (AoN) for Setting Up of Naval
Aircraft Ship Instrumentation Includ- 8/Oct/2020 IHQ of MoD 2020_ARMY_378721_1 RFP
ing Telemetry (NASI) Facilities 7/Oct/2020 (Army)-(OSCC) 2020_NAVY_378479_1 RFP
6/Oct/2020 2020_IAF_559012_1 RFP
23 Procurement of Integrated Test Eqpt 23/Sep/2020 IHQ of MOD RFP
19/Oct/2020 (Navy) EOI
24 Procurement of qty 08 of Storage 28/Sep/2020 RFP
Batteries for MiG Aircraft. Indian Air Force
15/Oct/2020 RFP
25 PROCUREMENT OF AN-32 SPARES Indian Coast 2020_ICG_378830_1
2/Oct/2020 Guard 2020_IAF_558924_1 RFP
26 DEFECT RECTIFICATION OF OBM
ONBOARD ICGS C-420 Indian Air Force

27 INDIGENOUS DEVELOPMENT OF DG,BSF,MHA||S 2020_BSF_584036_1
MIRRAGE -2000 AIRCRAFT SPARES rinagar FTR 2020_NSG_583966_1
(Srina-
28 Providing Installation Testing and
Commissioning of 125 KVA Dg Set gar),BSF,MHA

29 Sniper rifle bolt action (7.62X51mm) DG,National
with Telescopic Day and night Sight Security
(Thermal Imaging / image intensifier
and Assy Guard,MHA

30 PURCHASE OF SPARES OF BMP-I/II/ IHQ of MoD 2020_ARMY_377055_1
IIK/AAT/CMT/BMP AK - 150/ENGINE (Army)-(OSCC)
UTD-20/ARV WZT-2, GAMMA SEN-
SOR (FD-1) (TK T-72 RADAR AND
FCE), TK T-72

Oct 2020 | DefInsights | 23

“Sugosha” is the conch of Nakula, an army commander of the Pandava forces in the oldest known battle
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