Israeli defence equipment maker forms joint venture with Indian firm
India’s microwave radio system manufacturer Astra Microwave Products Ltd on Monday announced that it will form a joint venture with Israeli defence manufacturing company Rafael Advanced Defense Systems Ltd to produce high-tech signal intelligence system used in defence communication. The two companies have agreed to invest $20 million over the next two years. The joint venture company will be based in Hyderabad and it is expected to start operation in the first half of 2016. “To start with, ASTRA and M/s Rafael will own 51:49 in the JVC and will become 50:50 subject to regulatory approvals,” Astra Microwave said in a statement. India and Israel have long enjoyed a close commercial relation, especially in defence sector. India is one of the biggest importers of Israeli defence equipment. In the last decade, the two countries have signed defence deals worth over $10 billion, ranging from missile and radar technology to drones and spy systems. Israel also offered to support India in defence manufacturing under the “Make in India” campaign. The two nations agreed to jointly produce a medium-range surface-to-air missile (MRSAM) system. In February this year, Israel’s Defence Minister Moshe Ya'alon had promised to provide India its top-notch military technology, including the Iron Dome interceptor. Ahead of India’s Prime Minister Narendra Modi’s scheduled visit to Jerusalem later this year, the two countries are working out a defence procurement deal worth over Rs.3000 crore.
August 24, 2015 | 5:12pm IST.
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