The Ministry of Defence (MoD) has taken an important step to boost India’s defence strength and promote self-reliance under the ‘Aatmanirbhar Bharat’ initiative. On January 16, 2025, in New Delhi, the MoD signed a ₹2,960 crore contract with Bharat Dynamics Limited (BDL) to provide Medium-Range Surface-to-Air Missiles (MRSAMs) for the Indian Navy.

The contract was signed by Defence Secretary Shri Rajesh Kumar Singh, highlighting the government’s commitment to indigenizing advanced military technologies and bolstering national security. The MRSAM system, a state-of-the-art missile defence solution, is already a standard feature on several Indian naval vessels. With this new agreement, the system will also be installed on future platforms, significantly enhancing the Navy’s combat readiness.

Key Features of the Contract

The MRSAM project represents a crucial milestone in India’s defence modernization efforts. Under the ‘Buy (Indian)’ procurement category, the contract ensures a high degree of Indigenous content, aligning with the government’s focus on reducing dependency on imports in the defence sector.

This deal is expected to create approximately 3.5 lakh man-days of employment, benefiting the domestic defence ecosystem, including numerous Micro, Small, and Medium Enterprises (MSMEs). By engaging local industries in such high-value contracts, the MoD is building an environment of innovation and self-sufficiency in defence manufacturing.

Boosting Naval Capabilities

The MRSAM system is designed to provide a robust defence against aerial threats, including enemy aircraft, missiles, and drones. Its deployment across Indian Naval ships will significantly enhance their operational capabilities, ensuring the protection of vital maritime assets. The system’s advanced features and reliability make it a critical component in safeguarding India’s maritime interests.

Advancing the ‘Aatmanirbhar Bharat’ Vision

This contract underscores the government’s dedication to the vision of ‘Aatmanirbhar Bharat’ (Self-Reliant India), promoting the domestic defence manufacturing sector. By involving BDL, a leading public sector enterprise, the MoD reaffirms its commitment to developing indigenous development and reducing reliance on imports.

The emphasis on local production not only strengthens India’s defence capabilities but also contributes to economic growth by generating employment and encouraging innovation within the country.

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