Ground breaking ceremony for the world’s first ever manufacturing facility to produce the Swedish Carl-Gustaf M4 weapon took place in the state of Haryana.
Saab Sweden soon after receiving approval of 100 percent foreign direct investment (FDI), has established a new company, Saab FFVO India Pvt Ltd, which will fully own the new manufacturing facility where the Carl-Gustaf M4 weapon will be produced.
At a press conference in New Delhi, Senior Vice President and Head of Saab’s business area Dynamics, Görgen Johansson, announced the construction of the company’s first facility outside Sweden for Carl-Gustaf, a product that has a long history with the Indian Armed Forces. Adding, “We look forward to starting production of our excellent product, now engineered and made in India.”
Registered as an Indian company, it also plans to make components for the world and after fulfilling the Indian requirement, and to export the Carl-Gustaf globally.
Said Håkan Jevrell, State Secretary for Foreign Trade, Sweden: “Today is an important milestone for Sweden and India. Saab’s factory will be the first foreign fully-owned defence production facility in India. It is a testament to the strong bilateral relationship between our countries.”
Ammunition
All ammunition for the Carl-Gustaf M4 is 84 mm calibre. Responding to a question, the officials said that Saab has partnership with Munitions India Limited (MIL) and Advanced Weapons and Equipment India Limited (AWEIL) to manufacture the Carl-Gustaf weapon and its ammunition will continue.
Why Jhajjar at the MET City?
Responding to media queries, Mats Palmberg, Chairman & Managing Director, Saab India Technologies and Member of the BoD of Saab FFVO India, said that the state has a strong industrial base of good potential partners and skilled employees.
“Saab will partner with Indian suppliers and will fully meet the requirements of “Make in India” for the systems manufactured in the facility,” said Görgen Johansson.
Transfer of Technology
At the new factory, Saab will deploy complex technologies including the latest sighting technology and advanced carbon fibre winding to manufacture Carl-Gustaf M4 for the Indian armed forces, and components which may be included in other users’ systems.
Background
In February 2023, the Swedish arms giant had announced its plans to manufacture its renowned Carl-Gustaf M4 weapon system in India through a SAAB-owned subsidiary Saab FFV India Pvt Ltd. Options for the setting up of the facility were being evaluated, company officials said. Once the construction is completed, the company expects that the production will start in 2025.
Presence in India
The Indian Army, which has been using the Carl-Gustaf since 1976, has also ordered the latest M4 version. Some numbers have already been sold to the Indian Army. This is one of the most evolved and versatile weapon systems and it has undergone years of innovation and has been used by the Indian Army for decades. It is a recoilless man-portable, multi-role weapon system which can use a wide variety of ammunition.
It weighs less than seven kilos and is under one metre in length. Its programmable and versatile ammunition makes it an anti-armour, anti-structure and anti-personnel weapon system. It can be fitted with a wide range of sights to ensure maximum effect in any tactical situation and flexibility for users.
The system comes equipped with a standard clip-on telescopic sight, but it also has other options including open sight, red-dot and advanced fire control. It also comes with improved sensors for temperature and air pressure, along with optical and night capability, giving ground forces the advantage in every scenario. Saab has also partnered with Indian companies in the past to make components for its products.
“It is a natural step to set up a production facility for the Carl-Gustaf M4 in India given the long and close association we have with the Indian Army as one of the foremost users of the system. We are glad to be able to contribute to the Government of India’s goals of developing a world-class defence industry and proud to offer the Indian Armed Forces our Carl-Gustaf M4 made in India,” said Johansson.
About the MET City
It is a wholly-owned subsidiary of Reliance Industries Limited, and the signing of agreement between the two companies and subsequent ‘Ground Breaking’ today by Saab FFVO India to start construction of the plant in Haryana also marks a new addition of Defence sector to the already existing wide array of sectors operating from Reliance MET City, opening doors to new and expanding opportunities.
Reliance MET City is one of India’s largest IGBC Platinum Rated Integrated Smart City and stands as the sole Japan Industrial Township (JIT) in Haryana, accommodating 6 Japanese companies from electronics to auto-components to medical devices sectors. The project also has 6 companies from South Korea and multiple companies from Europe, including Sweden.
Quotes on the signing of the sale deed and ground-breaking ceremony:
SV Goyal, CEO & Whole Time Director, MET City, said, “Saab as India’s first 100 percent FDI approved defence manufacturer will not only strengthen our resolve for delivering best-in-class infrastructure but will also establish MET City as a preferred location for doing business for global companies.”
Adding, “With its Plug-n-Play infrastructure, IGBC Platinum rated certification and companies hailing from 9 different countries, MET City has emerged as a premier business destination of India attracting companies from diverse sectors. It is a pioneering project in sustainable development, with over Rs 8,000 Crore investment already committed. Presently, MET City holds licenses for over 2200 acres, and the project has already provided employment to more than 40,000 individuals.”
According to Vaibhav Mittal, VP & Head – Business Development, MET City, “This shows an unwavering commitment to encourage global companies to invest in India and in Haryana. With this MET City will now be visible across the globe as a key location for defence manufacturing thus paving way for overall growth of the region. As India becomes self-reliant in defence technologies, this plant will go a long way in being a pioneer for many others to follow.”