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OFB Overhaul: Awakening The Giant Within

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OFB Overhaul: Awakening The Giant Within

In a commendable move, the Government tackled this issue by corporatizing the OFB on one hand while an assurance given by the Defence Minister to the 70,000 OFB employees that their service conditions will remain the same

by Brig Akhelesh Bhargava (Retd)

The 246 years old Ordnance Factory Board (OFB), set up by British in 1775, has been scrapped. It’s the end of a monolith, an ever-sleeping giant which never got up from deep slumber even in the most trying times for the nation. The 41 odd Ordnance Factories (OF) spread across the country will be amalgamated into seven new Public Sector Undertakings (PSU).

It’s a major decision taken by the Union Cabinet. The OFB and the OF came under the Ministry of Defence. Seven companies are planned to be created, each carrying out a specific manufacturing role. It was just a few months ago when speculation was rife on whether the Government would actually go through this step (refer statement of Defence Minister on corporatisation of OFB on 16 May 2020) or would take a step back given the threat of striking trade unions at OFB. In a commendable move, the Government tackled this issue by corporatizing the OFB on one hand while an assurance given by the Defence Minister to the 70,000 OFB employees that their service conditions will remain the same.

The OF are being managed by a three-layered system with the Department of Defence Production (DDP) on top, OFB next and lastly the General Manager who handles day-to-day functioning. The 41 OF are broadly classified in five operating groups as follows:

Ammunition & Explosives 11

Weapons, Vehicles & Equipment 11

Materials & Components 8

Armoured Vehicles 6

Ordnance Equipment Group 5

Each of the above 41 OF would be subsumed into the seven unnamed entities; each covering a separate sector.

The group of new entities will be as follows:

Ammunition and Explosives

Vehicles Group

Weapons and Equipment Group

Opto-Electronics Group

Parachute Group

Ancillary Group

Troop Comfort Items Group

The ‘Ammunition and Explosives group’ will engage in production of ammunition of various calibres and explosives, both for in-house use and exports. The ‘Vehicles group’ would engage in production of defence mobility and combat vehicles such as Tanks, Trawls, BMP and Mine Protected Vehicles. The ‘Weapons & Equipment group’ would engage in production of small arms, medium and large calibre guns and other weapon systems. The ‘Opto-Electronics group’ would engage in production of binoculars, night vision devices and other sighting systems. The ‘Parachute group’ would basically be dealing with parachutes and accessories. The ‘Ancillary group’ would be dealing with material, components and accessories. The ‘Troop Comfort Items group’ would be dealing with bullet proof jackets, clothing items, high altitude clothing items and associated equipment.

The forces have been seeking improved accountability and efficiency from the OF and the newly created PSUs could prove to be productive and profitable assets. The corporate culture has to be built in right from the beginning to enhance competitiveness, improve quality and cost-efficiency. The reduction from 41 OF to seven PSUs will ensure optimisation of resources.

Deep specialisation in product innovation and development is the call of the day, if we were to achieve variety as desired for export. The modernisation of these PSUs must be the foremost step if they have to manufacture world standard equipment which is both efficient and cost effective. Funds for capital acquisition can be raised from excess land monetisation.

To enhance productivity, efficiency and accountability of the newly created PSUs, some suggested measures are:

Qualified individuals should be allowed lateral entry based on their professional competence for efficient running and management of these PSUs. There is an urgent requirement to critically assess the strategic need and commercial viability of some OF. The OF which are into manufacture of low technology items or the ones which are abundantly available in the open market should be closed down. The decision should be based on the production data, revenue generation, and manpower and machinery utilization over the last 10 years.

The OF being closed down should be disinvested in order to leverage their value and help in generating capital, which in turn can be used for their modernization and capacity expansion projects.

The seven PSUs must be reorganized to be lean, modern and competitive, so that they are more efficient and effective. Ensure in-house research & development (R&D) and form joint ventures (JV) with private industries.

Further, they should be made fully accountable for their performance including time delays and price-overruns, if any. The monitoring should be direct under the monitoring cell functioning under the Defence Minister secretariat.

The small or low-tech tasks and jobs should be outsourced to the MSME sector and enable them to grow.

The Indian Ordnance Factory Service (IOFS) officers need to take on responsibility with accountability if they need to exist.

There is a need to reorient and up-skill/refresh the technical skills of the existing workforce employed at these organisations and gradually weed out the inefficient ones. Rules should be framed to compulsory attach the freshers with frontline troops (for a period of three months) that will ensure a sense of moral responsibility and timeliness in their work ethos.

It has been decided by the Government to delegate the authority of the Cabinet to the Empowered Group of Ministers (EGoM), to take decision on matters related to implementation of the aforesaid and other incidental matters. Since the defence minister will himself lead this EGoM, along with the home minister, the finance minister, the minister for labour and minister of state in the Prime Minister Office (PMO); hopefully the timelines would be strictly adhered to.

A corporate entity functions as an autonomous body with all inputs that are required, under its control. There should be continuous value addition to engineering aspects, constant quality standards and continuous cost-control measures; for products manufactured under the new entities. It’s a necessity to outsmart the adversary and be a global player in the business of arms exports. It is to be seen how the Government handles the issue. The strategic asset should flourish post ‘modification and modernisation’. They should fulfil the desire for not only indigenisation but help achieve USD 5 Bn export target by 2025.

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INS Arihant’s Nuke-Capable K-4 Submarine-Launched Ballistic Missile ‘Ready To Roll’

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INS Arihant’s Nuke-Capable K-4 Submarine-Launched Ballistic Missile ‘Ready To Roll’


NEW DELHI: India tested its nuclear capable K-4 submarine-launched ballistic missile (SLBM), designed to have a strike range of 3,500 km, for the second time in six days on Friday. The missile test, as the one conducted on January 19, was undertaken from an undersea platform in the shape of a submersible pontoon off the coast of Andhra Pradesh according to a report by Rajat Pandit of TOI.

The solid-fuelled K-4 missile is being developed by DRDO to arm the country’s nuclear-powered submarines in the shape of INS Arihant and its under-development sister vessels. INS Arihant, which became fully operational in November 2018 to complete India’s nuclear triad, is currently armed with the much shorter K-15 missiles with a 750 km range.

“The K-4 is now virtually ready for its serial production to kick-off. The two tests have demonstrated its capability to emerge straight from underwater and undertake its parabolic trajectory,” said a source.

India has the land-based Agni missiles, with the over 5,000-km Agni-V inter-continental ballistic missile now in the process of being inducted, and fighter jets jury-rigged to deliver nuclear weapons. But INS Arihant gives the country’s deterrence posture much more credibility because nuclear-powered submarines armed with nuclear-tipped missiles are considered the most secure, survivable and potent platforms for retaliatory strikes.

Once the K-4 missiles are inducted, they will help India narrow the gap with countries like the US, Russia and China, which have over 5,000-km range SLBMs. The K-4 missiles are to be followed by the K-5 and K-6 missiles in the 5,000-6,000 km range class.

The 6,000-ton INS Arihant, which is propelled by an 83 MW pressurised light-water reactor at its core, in turn, is to be followed by INS Arighat, which was launched in 2017. The next generation of nuclear submarines, currently called S-4 and S-4*, will be much larger in size.





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After Upgradation, Sukhoi Su-30MKI Indigenisation To Reach 78%

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After Upgradation, Sukhoi Su-30MKI Indigenisation To Reach 78%


India has received clearance to upgrade 84 Sukhoi Su-30MKI fighter jets, which will result in 78% indigenization after the upgrade

In a significant step towards bolstering its military might with indigenously developed technology, India is poised to witness its Russian-origin Sukhoi Su-30MKI fighter jets evolve into a domestic platform. Speaking at a recent lecture.

The upgrade program is being led by Hindustan Aeronautics Limited (HAL) in partnership with the Indian Air Force and other partners. The upgrade is expected to cost US$7.5 billion.

The Defence Acquisition Council (DAC) granted Acceptance of Necessity (AoN) for the upgrade. The upgrade is part of India’s efforts to improve the capabilities of its primary fighter aircraft, it refers to as the “Super Sukhoi”.

This initiative is a part of a larger effort by the Indian Air Force to modernize its ageing fleet. Air Chief Marshal Chaudhari asserted the critical role of an offensive air force as demonstrated in current global conflicts and emphasized India’s move towards an indigenized arsenal. To this end, the IAF has been proactive, from upgrading its Mirage 2000 to enhancing its MiG-29 fleet.

In summary, the IAF’s commitment to updating their combat forces with the latest technology, including shifting to fifth-generation fighter jets, ensures operational preparedness and a strong deterrence capability. The gradual indigenization of its air fleet marks a pivotal shift in India’s defence landscape, reducing dependency on foreign imports and fostering technological sovereignty.





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Akash Weapon System Exports For The Armenian Armed Forces Gathers Pace

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Akash Weapon System Exports For The Armenian Armed Forces Gathers Pace


According to unconfirmed reports, Armenia is a top contender for an export order for Akash SAM system manufactured by Bharat Dynamics Limited (BDL).

While there is no official confirmation because of the sensitivities involved, documents suggest that the order for the same has already been placed the report further added.
There are nine countries, in turn, which have shown interest in the indigenously-developed Akash missile systems, which can intercept hostile aircraft, helicopters, drones and subsonic cruise missiles at a range of 25-km. They are Kenya, Philippines, Indonesia, UAE, Bahrain, Saudi Arabia, Egypt, Vietnam and Algeria reported TOI.

The Akash export version will also be slightly different from the one inducted by the armed forces. The 100-km range air-to-air Astra missiles, now entering production after successful trials from Sukhoi-30MKI fighters, also have “good export potential”, said sources.

Akash is a “tried, tested and successfully inducted systems”. Indian armed forces have ordered Akash systems worth Rs 24,000 crore over the years, and MoD inked a contract in Mar 2023 of over Rs 9,100 crores for improved Akash Weapon System

BDL is a government enterprise under the Ministry of Defence that was established in 1970. BDL manufactures surface-to-air missiles and delivers them to the Indian Army. BDL also offers its products for export.

Akash Weapon System

The AWS is a Short Range Surface to Air Missile (SRSAM) Air Defence System, indigenously designed and developed by Defence Research and Development Organisation (DRDO). In order to meet aerial threats, two additional Regiments of AWS with Upgradation are being procured for Indian Army for the Northern borders. Improved AWS has Seeker Technology, Reduced Foot Print, 360° Engagement Capability and improved environmental parameters.

The project will give a boost to the Indian missile manufacturing industry in particular and the indigenous defence manufacturing ecosystem as a whole. The project has overall indigenous content of 82% which will be increased to 93% by 2026-27.

The induction of the improved AWS into the Indian Army will increase India’s self-reliance in Short Range Missile capability. This project will play a role in boosting the overall economy by avoiding outgo of precious foreign exchange to other countries, increasing employment avenues in India and encouraging Indian MSMEs through components manufacturing. Around 60% of the project cost will be awarded to the private industry, including MSMEs, in maintaining the supply chain of the weapon system, thereby creating large scale of direct and indirect employment.





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