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News » India News » Bharat Forge lowest bidder for Indian Army’s contract for ATAGS

India News

Bharat Forge lowest bidder for Indian Army’s contract for ATAGS

NM Desk
Last updated: 21 November, 2024 7:31 PM
NM Desk
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Bharat Forge lowest bidder for Indian Army’s contract for ATAGS

New Delhi: Indian private defence manufacturer Bharat Forge, has begun contract negotiations with the Ministry of Defence (MoD) to supply 307 Advanced Towed Artillery Gun Systems (ATAGS).

Part of the Kalyani Group, Bharat Forge emerged as the lowest bidder (L1) in the ₹6,000-crore tender. According to a media report, Bharat Forge has secured 60% of the contract, equivalent to over ₹4,000 crore. Tata Advanced Systems Ltd (TASL), which collaborated on the ATAGS development, is expected to handle the remaining 40% of the order, contingent upon its agreement to match Bharat Forge’s pricing.

Negotiations are expected to conclude by the end of the current fiscal year, with deliveries planned under the Ministry of Defence’s Field Artillery Rationalisation Plan (FARP). The FARP aims to modernise India’s artillery capabilities by replacing outdated equipment across 169 artillery regiments with advanced weapon systems, primarily of 155mm calibre. The plan encompasses direct imports, licensed manufacturing, and indigenous development. Under the FARP, the Indian Army is set to acquire approximately 3,000–3,600 artillery pieces at an estimated cost of ₹20,000 crore (roughly USD 3 billion). The procurement includes 1,580 towed, 814 mounted, 180 self-propelled wheeled, 100 self-propelled tracked, and 145 ultra-light 155mm/52 calibre guns.

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The ATAGS programme began in 2012. Back then DRDO’s Armament Research and Development Establishment initiated a mission mode project titled ‘Design and Development of 155 mm x 52 Cal (ATAGS)’. The results were for all to see as the Gun was showcased at the 68th Republic Day parade in 2017 and went into trials and procedures the same year.

The 155mm/52-calibre ATAGS have been developed by the Defence Research and Development Organisation (DRDO) in collaboration with Bharat Forge and Tata Advanced Systems Ltd (TASL). The system boasts a range of 35 to 45 kilometres, depending on ammunition, and demonstrated an effective range of 47 kilometres in trials in 2017.

The ATAGS is likely to replace the ageing Bofors guns which is currently in service. Its modular design, advanced automation, and extended range provide can provide tactical superiority in varied terrains, from deserts to high altitudes. Added to this is the ATAGS’ indigenous development which aligns with the government’s “Make in India” initiative, reducing dependency on imports and fostering domestic expertise.

However, the ATAGS faces competition from lighter and more agile Towed Gun System (TGS). ATAGS has a burst fire capability of five rounds in 30 seconds. It has a 25-liter chamber and weighs nearly 18 tons. It also boasts advanced features like high mobility, quick deployment, and a sophisticated communication system.

Its chief competitor the TGS is lighter, more agile and comes with more automation. The TGS is reported to have a 23-litre chamber capacity and a lighter barrel, brings its weight to under 15 tons. The Army plans to procure approximately 1,200 units of the TGS, starting with an initial order of 400 guns. Despite this, ATAGS’ demonstrated capabilities and indigenous nature give it an edge

This ongoing negotiations follows Bharat Forge’s 2022 export success with Armenia, which inducted the ATAGS into its military and is now exploring a larger follow-on order. The company is also in talks with about 10-12 countries in South East Asia, Africa and even Europe, Baba Kalyani, CMD of Bharat Forge Ltd, said in September 2023. It is no surprise then that Bharat Forge’s defence division reported ₹509 crore in revenue, marking a 67% year-on-year growth in its Q2 FY24 financials.

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