Defence IndustryPrivate Sector

Self-Propelled Air Defence Gun Missile System: Independent monitors to decide the fate of SPAD-GMS deal

The Ministry of Defence (MoD) has decided to refer the Propelled Air Defence Gun Missile System (SPAD-GMS) deal to the independent monitors who are expected to prepare a report and share soon.

A senior officer has confirmed to the Financial Express Online that “Russia had raised objections to the short listing of the South Korean company Hanwha Defense’s offer for the Self Propelled Air Defence Gun Missile System (SPAD-GMS) project. Companies from Russia and South Korea had responded to the request for proposal for this platform. However, no decision has been taken yet as Russia has raised its concerns with the Indian side.”

In fact, “during the recently concluded DefExpo 2020, an announcement was expected to be made about the winner of the contract,” said the officer who wished to remain anonymous.

To ensure that all the steps have been followed and concerns raised by those who could not be shortlisted, the MoD has decided to have independent monitors to come out with a comprehensive report and to outline the concerns if any.

Story so far

It all started with five bidders. However, only Russia and South Korea made it to the trials stage. Russia failed the trials. This left South Korean company in the fray, creating a single vendor situation.

The deal is for around $ 3 billion. However, those who could not clear the trials have been reaching out to the MoD and expressed concerns against the South Korean company. Issues related to the non-compliance to the specifications in the RFP has been pointed out in several representations made by the Russian side in various meetings.

Russians have indicated that the system offered is one generation older and will have to go for an upgrade immediately.

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