Economy

MoD issues RFP to make six AIP-installed submarines

Our Bureau New Delhi | Updated on July 21, 2021

The project cost is over ₹40,000 crore

As a major initiative towards ‘Make in India’, the Ministry of Defence (MoD), on Wednesday, issued Request of Proposal (RFP) for the first acquisition programme under the Strategic Partnership Model to construct six Air Independent Propulsion (AIP)-fitted conventional submarines named Project 75 (India) [P-75(I)] for the Indian Navy.

The RFP was issued to shortlisted Strategic Partners (SPs) or Indian Applicant Companies for the project – Mazagaon Dock Shipbuilders Limited (MDL) and Larsen & Tubro (L&T). The project cost is over ₹40,000 crore, said the MoD in a statement.

The project will not only aid in boosting the core submarine/ ship building industry, but also greatly enhance manufacturing/ industrial sector, especially the MSMEs, by the development of an industrial eco-system for manufacture of associated spares/systems/equipment related to submarines.

RFP key features

In order to achieve these objectives, the RFP has key features such as mandatory level of indigenous manufacture of platforms, ToT for design/ manufacture/ maintenance of submarines and a few critical equipment and systems, setting up of an eco-system in India for such indigenisation and incentivisation for other key technologies, it said.

The overall aim would be to progressively build indigenous capabilities in the public/ private sector to design, develop and manufacture complex weapon systems for the future needs of the Armed Forces. This will be an important step towards meeting broader national objectives, encouraging self reliance and aligning the defence sector with the ‘Make in India’ initiative of the government.

Four top global submarine-makers short-listed for Navy’s $8-billion P75(I) programme

Foreign OEMs

Post-receipt of responses to the Expression of Interest (EoI), shortlisting of potential Strategic Partners (SPs) and Foreign OEMs was undertaken. The shortlisted SPs to whom the RFP has been issued would be collaborating with any of the shortlisted Foreign OEMs – Naval Group-France, TKMS-Germany, JSC ROE-Russia, Daewoo Shipbuilding and Marine Engineering Co Ltd-South Korea and Navantia-Spain – the MoD further said.

These five foreign firms are the world leaders in the field of conventional submarine design, construction and all other related technologies. The foreign OEMs will be the technology partner in the SP Model. Foreign OEMs will enable SP for construction of submarines, achieving high levels of indigenization, and ToT for various technologies.

These OEMs will enable the setting up of dedicated manufacturing lines for these submarines in India by providing ToT for submarine design and other technologies and make India the global hub for submarine design and production, it added.

Published on July 21, 2021

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