Defence project worth Rs. 1,550 Cr to come up in Nagpur
March 29, 2016 5:15 pm
Industrial explosives and explosive initiating systems manufacturer Solar Industries India Ltd has inked a Memorandum of Understanding (MoU) worth ` 1,550 crore with the Maharashtra government to produce variety of ammunitions for Armed Forces.
This MoU, entered between the company 100 per cent subsidiary Economic Explosives Limited and Government of Maharashtra, was signed during the Make in India Week event in Mumbai.
Under the partnership, the company will produce variety of ammunitions for Armed Forces. This project will be set-up at Nagpur and is expected to generate direct employment to more than 700 personnel.
The company entered into defence sector four years ago and has commissioned HMX (high melting explosive) plant, composite propellant plant and various other products like pyros and war heads.
“The government’s ‘Make in India’ programme, and its decision to allow private companies into the highly-regulated defence sector, has opened the door to the massive opportunity matrix in this segment. Utilising this window of opportunity, we have made a strategic entry into the defence segment with an eye on the huge untapped potential it offers for well-integrated entities like ours,” said Satyanarayan Nuwal, Chairman, Solar Industries India Ltd.
Solar Industries will be building world-class facilities to produce Bi-Modular Charge Systems (BMCS), fully integrated Rockets and new generation of hand grenades.
“While the facilities are being established with own strength of technical manpower and knowledge based, the knowhow for the products shall be obtained from Defence Research and Development Organisation (DRDO),” the company said.
The facilities are expected to be completed in a period of 24 months and series production may start within next 12 consecutive months.