Updated December 24th, 2023 at 16:50 IST
BEL secures massive Rs 2,673 crore orders for Next-Gen Offshore Patrol Vessel sensors
BEL clinches contracts worth Rs 2,673 crore from Goa Shipyard and Garden Reach Shipbuilders for sensors on Next Generation Offshore Patrol Vessels (NGOPV).
Bharat Electronics Limited (BEL), a prominent player in aerospace and defence electronics, announced significant orders valued at Rs 2,673 crore. The contracts, awarded by Goa Shipyard Limited (GSL) (Rs 1,701 crore) and Garden Reach Shipbuilders and Engineers (GRSE) (Rs 972 crore), pertain to the supply of 14 types of sensors for deployment on Next Generation Offshore Patrol Vessels (NGOPV).
Participating in the 'Atmanirbhar Bharat' initiative, BEL highlighted that these orders would involve collaboration with electronic and associated industries, including MSMEs acting as sub-vendors for BEL. The company, a key contributor to indigenous defence manufacturing, emphasized the significant role played by these sensors in bolstering the capabilities of NGOPVs.
In addition to the NGOPV-related orders, BEL secured supplementary contracts worth Rs 86.15 crore for miscellaneous spares and services. This brings the cumulative orders for the current fiscal year 2023-24 to an impressive Rs 25,935.15 crore. The positive fiscal performance is reflected in the substantial 75% increase in BEL's shares on a cumulative basis throughout 2023.
Strategic context: NGOPVs for Indian Coast Guard
The NGOPV project gains strategic significance against the backdrop of the Indian Ministry of Defence's contract with Mazagon Dockyard Shipbuilders Ltd (MDL) on December 20, 2023. The contract, valued at Rs 1614.89 Crore, involves the procurement of six Next Generation Offshore Patrol Vessels (NGOPVs) intended for the Indian Coast Guard (ICG).
Under the Buy (Indian-IDDM) category, four of these vessels are set to replace aging Offshore Patrol Vessels (OPVs), with the remaining two augmenting the ICG fleet. The NGOPVs are expected to enhance capabilities across maritime security, surveillance, law enforcement, search and rescue, and humanitarian assistance.
The 115m NGOPVs will boast advanced features, including Multipurpose Drones, AI capabilities, and Wirelessly Controlled Remote Water Rescue Craft Lifebuoy. MDL, Mumbai, will be responsible for the indigenously designed, developed, and manufactured vessels, with delivery scheduled over a total period of 66 months.
The NGOPV contract aligns with the objectives of 'Aatmanirbhar Bharat,' supporting indigenous shipbuilding capabilities, fostering economic activities in the maritime sector, and promoting growth in the MSME sector. Beyond economic impacts, the project is anticipated to generate employment opportunities and contribute to expertise development in the country.
The government's commitment to encouraging indigenous design, development, and manufacture of defence equipment is evident in policy initiatives and reforms. This focus on self-reliance aligns with broader national goals of strengthening strategic capabilities and reducing dependency on foreign sources.
Published December 24th, 2023 at 16:50 IST