Nibe Group signs joint venture with Elbit Systems to set up propellant manufacturing facility in India
Shirdi, May 25
Nibe Group signed a joint venture with Elbit Systems, Israel for the establishment of advanced energetic materials and propellant manufacturing facilities in India.
The Parties intend to establish a New Company to manufacture and supply of strategic defence products in India, in alignment with the Government of India's "Make in India" and "Atmanirbhar Bharat" initiatives.
The proposed product portfolio includes Nitro Cellulose, Nitro Glycerine, Single Base Propellant, Double Base Propellant, Triple Base Propellant.
Under the proposed framework, Elbit is expected to provide technical know-how and related support, while GDIL / Nibe Group shall undertake establishment, investment, and operational responsibilities for the proposed facilities in India.
The proposed venture is expected to contribute towards strengthening indigenous defence manufacturing capabilities and reducing import dependency in critical energetic materials and propellant systems.
Balakrishnan Swamy, Strategy Head of Nibe mentioned "Nibe Group is committed to working closely with the relevant authorities and stakeholders for the successful execution of this initiative."
Meanwhile, Defence Minister Rajnath Singh, along with Maharashtra Chief Minister Devendra Fadnavis, inaugurated a Defence Manufacturing Complex of a private sector company, NIBE Group' at Shirdi. The complex intends to manufacture advanced artillery systems, missile and space technologies, rocket systems, energetic materials, and autonomous defence platforms.
Rajnath Singh stressed the importance of self-reliance in ammunition production, and exuded confidence that the complex would help in fulfilling the operational requirements of the defence forces & bolster the industrial ecosystem of the country.
He stated that defence production, which was earlier largely confined to the Public Sector Units and Ordnance factories, was opened to the private sector by the Prime Minister Narendra Modi-led government. "We recognised the capabilities of the private sector as it can transform India into a global manufacturing hub," he said.
Defence Minister emphasised that the outcome of future wars will be determined by the nation's advancements and capabilities in munitions and automation, and not by the size of its forces. "Glimpses of this reality can be witnessed in the ongoing Russia-Ukraine conflict and the West Asia situation. India demonstrated this capability during Operation Sindoor," he said.
— ANI
Reader Comments
Good move, but I hope the technology transfer is genuine and not just a licensing deal. We've seen too many joint ventures where Indian companies end up as just assemblers. Need to ensure our engineers get the full know-how for long-term self-reliance.
Great to see private sector stepping up in defence manufacturing. The days of relying only on Ordnance factories are over. Nibe already makes artillery systems, so propellant plant is a natural progression. This will boost the entire ecosystem in Maharashtra. 💪
Very encouraging news! The Russia-Ukraine war has shown how critical continuous supply of ammunition and propellants is. India was smart to start this journey years ago. Hope this facility becomes operational quickly and can even explore exports to friendly nations.
Finally some concrete action on Atmanirbhar Bharat in defence! Propellants and nitrocellulose are basic building blocks for ammunition that we've been importing for decades. With RDX and HMX production also coming up in other plants, we'll have a complete supply chain. Well done, Nibe!
A small critique - while this is excellent for strategic autonomy, we must also ensure environmental safety standards for these explosive chemical plants are top-notch. The Bhopal tragedy taught us that. Safety protocols and community awareness are equally important. Just saying. 🤔
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