The Hindu Business Line : Keltec will go to BrahMos next month

Thiruvananthapuram, Nov. 5 The State-owned Kerala Hitech Industries Ltd (Keltec) will be formally handed over to BrahMos Aerospace, the Indo-Russian joint venture for manufacturing cruise missiles, next month.

The transfer deed in this respect was signed here on Wednesday by the Chief Executive Officer and Managing Director of BrahMos, Dr A. Sivathanu Pillai, and the Principal Secretary for Industries, Kerala Government, Mr T. Balakrishnan, in the presence of the Industries Minister, Mr Elamaram Kareem.

Assembling unit

Dr Sivathanu Pillai, who is also the Chief Controller (R&D) of the Defence Research and Development Organisation (DRDO), said that the new facility would be a full-fledged assembling unit for the cruise missiles. It will also manufacture the components for the missiles.

He said that for precision targeting, speed and range, the BrahMos missiles had proved its superiority over the cruise missiles of the US and many countries were interested in acquiring them. The Indian Navy has expressed its intention to equip all its warships with these missiles. Besides, the Indian Army would also require them in large numbers.

More investments

The new facility has become vital for the company as there is need to augment the production of the missiles, which are now being assembled at Hyderabad. The company plans to make heavy investments in the facility and it will catalyse industrial growth in this part of the State, Dr Sivathanu Pillai said.

Mr Kareem said Keltec was being given to BrahMos for a nominal price of Re 1 and this was in the interest of the company, its employees and the overall industrial development of the area.

The facility will open up opportunities for several small and medium industrial units in the region by way of work being outsourced by BrahMos, the Minister said.

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