Rs 19,600 Crore Defence Contracts for NGOPVs and NGMVs

April 4, 2023

On March 30, 2023, the Ministry of Defence (MoD) signed contracts with Indian shipyards for the acquisition of 11 Next Generation Offshore Patrol Vessels (NGOPVs) and six Next Generation Missile Vessels (NGMVs) at an overall cost of approximately Rs 19,600 crore. This acquisition will give a boost to India’s self-reliance in the defence sector.

Contracts for Next Generation Offshore Patrol Vessels

The contract for the acquisition of 11 NGOPVs under the Buy (Indian-IDDM) category was inked with Garden Reach Shipbuilders and Engineers (GRSE), Kolkata and Goa Shipyard Ltd (GSL). The contract is worth Rs 9,781 crore. Seven of the 11 ships will be indigenously designed, developed, and manufactured by GSL, while the remaining four will be by GRSE. The delivery of the ships is scheduled to commence from September 2026.

The NGOPVs will enable the Indian Navy to maintain its combat capability and meet various operational requirements, including Anti-Piracy, Counter-Infiltration, Anti-Poaching, Anti-Trafficking, Non-Combatant Evacuation Operations, Search and Rescue (SAR), and Protection of Offshore Assets, among others. The construction of these ships will generate employment of 110 lakh man-days over a period of seven and half years, providing a significant boost to the country’s economy.

Contracts for Next Generation Missile Vessels

The contract for the acquisition of six NGMVs was signed with Cochin Shipyard Limited (CSL) at a cost of Rs 9,805 crore. The delivery of these vessels will start from the year 2027. The NGMVs will be heavily armed war vessels incorporating stealth, high speed, and offensive capability. The key role of these ships ships will be to provide offensive capability against adversary warships, merchantmen, and land targets.

The NGMVs will be involved in conducting Maritime Strike Operations, Anti Surface Warfare Operations. These vessels will be a potent instrument of sea denial for enemy ships, especially at choke points. In a defensive role, they will be used for Local Naval Defence operations and seaward defence of Offshore Development Area. The warships’ construction will generate jobs of 45 lakh man-days over a period of 9 years.

Encouraging Indigenous Manufacturing

With the majority of the equipment and systems sourced from indigenous manufacturers, these vessels will be a proud flag bearer of ‘Aatmanirbhar Bharat.’ The indigenous manufacturing of these vessels will encourage the active participation of Indian shipbuilding and associated industries, including MSMEs.

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