India Signs USD 248 Million Deal with Russia for Upgraded T-72 Tank Engines

New Delhi, Mar 8 (KNN) In a major boost to the Indian Army's operational capabilities, the Ministry of Defence has signed a USD 248 million contract with Russia's Rosoboronexport for the procurement of more powerful 1000 HP engines for T-72 tanks.

The agreement includes the supply of engines in fully formed, completely knocked down, and semi knocked down conditions.

A key highlight of the deal is the Transfer of Technology (ToT) from Rosoboronexport to Armoured Vehicles Nigam Limited (Heavy Vehicle Factory), Avadi, Chennai.

This will enable integration and licensed production of the engines under the 'Make in India' initiative, further strengthening India's defence manufacturing sector.

The T-72 tank is the backbone of the Indian Army’s armored fleet, currently equipped with 780 HP engines. Upgrading these tanks with 1000 HP engines will significantly enhance battlefield mobility and offensive capabilities, as per the Defence Ministry’s statement.

India's defence production has witnessed a remarkable surge, reaching a record high of Rs 1.27 lakh crore in 2023-24—marking a 174 per cent rise from Rs 46,429 crore in 2014-15. The country aims to achieve Rs 3 lakh crore in defence production by 2029.

Defence Minister Rajnath Singh highlighted the success of India's self-reliance initiative, stating that defence exports have skyrocketed from Rs 600 crore a decade ago to Rs 21,000 crore in FY 2023-24. The government is confident that exports will reach Rs 50,000 crore by 2029-30.

Driven by government policies such as 'Make in India' and liberalised FDI norms, India’s defence sector is expected to grow at a CAGR of 20 per cent between FY24 and FY29.

The collaboration between government and private players is fostering advancements in aerospace, electronics, naval technology, and arms manufacturing, positioning India as a key player in global defence markets.

(KNN Bureau)