NEW DELHI, Jan 23: A bid by Larsen & Toubro Ltd with Spanish defence major Navantia for an Euro 5 billion deal to supply six stealth submarines to the Indian Navy has virtually come to an end with the defence ministry finding their platform not fulfilling the prescribed requirement, people familiar with the matter said today.
With the L&T-Nevantia combo effectively out of the race following the field trials of the submarine, the joint venture between German defence major ThyssenKrupp Marine Systems (TKMS) and Mazagon Dock Shipbuilders Ltd (MDL) has emerged well-positioned to bag the deal, they said.
A technical oversight committee tasked to examine the results of the field trials on the submarines found that the bid by the L&T and Nevantia was not compliant with the norms prescribed in the Request for Proposal (RFP), the people said.
However, there is no official comment or details on the result of the field evaluation trials.
The defence ministry is in the process of declaring the winner of the Project 75 India (P75-I) in the next few months.
TKMS has partnered with state-run MDL in jointly bidding for the submarine deal, billed as one of the biggest ‘Make in India’ projects in recent years.
In June 2021, the defence ministry cleared the mega project to procure six conventional diesel-electric submarines for the Indian Navy.
The submarines are expected to have significant local content.
They are set to be built under the much-talked-about strategic partnership model that allows domestic defence manufacturers to join hands with leading foreign defence majors to produce high-end military platforms to reduce import dependence.
Last month, TKMS CEO Oliver Burkhard said his company plans to make India a global hub for construction of submarines and warships if it wins the mega contract.
“It is not only about this contract. Beyond that (contract), I think India could be a hub for submarine production. This is also part of (our) plan,” Burkhard told PTI.
The TKMS CEO said his company is committed to share required technologies with India and help the country emerge as a hub for construction of submarines and warships for supplying to other countries.
Burkhard said construction of submarines in India would be an attractive proposition as the cost will be on the lower side compared to that of any other country in Europe.
The TKMS would like to join hands with the MDL to produce submarines for supplying to other countries, he said. (PTI)
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