National

Cabinet panel clears defence purchases

By Our Special Correspondent

NEW DELHI, MARCH 29. The Cabinet Committee on Security has cleared a number of defence purchases, including the acquisition of 11 Dornier 228 aircraft at a cost of Rs. 726 crores for maritime surveillance purposes, the Defence Minister, Pranab Mukherjee, told presspersons this evening.

Mr. Mukherjee said the CCS approved a Defence Ministry proposal to set up a Rs. 324-crore composite propellant facility under the auspices of the Defence Research and Development Organisation at Nasik. The panel also authorised the Defence Ministry to continue price negotiations for the purchase of 12 "used" Mirage 2005 aircraft from the Government of Qatar.

Mr. Mukherjee revealed that imagery interpretation teams would be set up at the Army division headquarters at a cost of Rs. 393 crores. The CCS also sanctioned the construction of three offshore patrol vehicles at a cost of Rs. 1,089 crores by Goa Shipyards Ltd., while approval had been given in principle for producing another six OPVs.

A sum of Rs. 476.69 crores was sanctioned for the upgradation of 14 Sea Harrier aircraft by the Cabinet panel.

The purchase of a complete C-303 submarine fire torpedo decoy system from an Italian firm, involving the transfer of technology as well, was cleared at a total cost of Rs. 355 crores. Bharat Dynamics Ltd. would construct another eight systems under licence.

According to Mr. Mukherjee, the CCS revised upwards the project cost of the Intermediate Jet Trainer project being executed by Hindustan Aeronatics Ltd. As against the original cost of Rs. 180 crores, the project would now cost Rs. 467 crores. This includes the purchase of a new Russian-made engine for the aircraft — AL-551 — at a cost of Rs. 159 crores.

A Home Ministry proposal to raise 20 new battalions for the Seema Suraksha Bal for deployment along the Indo-Nepal and Indo-Bhutan borders was also approved by the Cabinet panel, the Defence Minister added.

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