India and US set to ink Rs 34,500 crore drone deal

India and the US will sign a Rs 34,500 crore deal to acquire MQ9B drones for the armed forces on Tuesday. Being signed under a government-to-government pact, the deal will see Indian armed forces acquiring 31 of the long-range drones, which will be distributed among the army, air force and navy.


Sources said that two separate contracts will be signed on Tuesday-one for maintenance, repair and overhaul facilities for the drones and the second for the acquisition. The deal was cleared by the Cabinet Committee on Security earlier this month.


The long-range drones will be armed and will add to the two that are already on lease by the Indian Navy. One of these drones was lost to a recent accident but is likely to be replaced.


General Atomics, the manufacturer of MQ9B, has a tie up with Bharat Forge to make UAV components and has also committed to setting up a global maintenance hub for drones in India. In addition, the US manufacturer will also provide consultancy assistance for an Indian programme to develop combat drones. India had been looking at a technology transfer option as part of the deal to give a boost to a domestic unmanned combat aerial vehicle programme but details could not be worked out.