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Govt clears Rs 40,000 crore project to construct six submarines

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An Indian Navy submarine. (File photo)

NEW DELHI (PTI): In a major decision, the Defence Ministry on Thursday approved indigenous construction of six submarines for the Indian Navy at a cost of over Rs 40,000 crore, officials said.

This was decided at a meeting of the Defence Acquisition Council (DAC), the ministry's highest decision-making body on procurement, they said.

The DAC, presided over by Defence Minister Nirmala Sitharaman, also approved acquisition of approximately 5,000 Milan anti-tank guided missiles for the Army.

The project to construct the six submarines will be implemented under the Strategic Partnership model which provides for roping in private firm to build select military platforms in India in partnership with foreign defence manufacturers, the officials said.

It will be the second project to be implemented under the Strategic Partnership model. The first project to get government's nod for implementation under the new model was acquisition of 111 utility helicopters for the Navy at a cost of over Rs 21,000 crore.

"The DAC in a landmark decision on Thursday approved indigenous construction of six submarines for the Indian Navy at a cost of over Rs 40,000 crore," said a senior defence ministry official.

"Construction of six submarines under Project 75 (I) will provide a major boost to the existing submarine design and manufacturing eco-system in India through transfer of design and equipment technology as well as necessary skill sets," he said.

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