Tata Motors sets sights on Rs 50,000 crore defence contract

Tata Motors is betting big on its ambitious project for defence forces -- the Future Infantry Combat Vehicles (FICV) – for which it has signed 34 technology pacts, including four core technologies with suppliers across globe.

The Rs 50,000 crore order for the futuristic amphibious, compact, armoured vehicle programme, considered to be India's largest indigenous defence programme, is likely to be given in the next five to six months, V S Noronha, head of defence business, Tata Motors, told dna.

"If we want to be big in defence, we need to bag this order. We expect the order to be issued within the next five-six months. For the project we have signed MoUs for 34 critical technologies. We will bring all these technologies when we get the green signal," Noronha, who has been spearheading the project for Tata Motors, said.

Considering the criticality of the project, Tata Motors has joined hands with biggies like Bharat Forge and General Dynamics of US, which is likely to be the system integrator for the project.

Others in the fray for the project include L&T, Mahindra & Mahindra, Punj Llyod, Pipavav Defence.

Several Tata group companies including Singapore-based Tata Technologies that provide engineering and design, product lifecycle management and TAL Manufacturing Solutions, a subsidiary of Tata Motors that provides manufacturing solutions, are getting involved in the project to improve indigenisation, Noronha said, adding that Tata Motors might consider exports once the prototype is developed and supply executed.

Tata Motors's defence wing is also working on several other cutting-edge projects including a bullet proof micro-vehicle, whose prototype was unveiled Defence Expo of 2012.

"The vehicle was conceptualised post the 26/11 attack and the micro-vehicle, which can even climb steps, is currently under severe testing," Noronha said while addressing a CII defence meet.

Tata Motors is currently executing a major order to supply around 1,200 high-mobility multi-axle trucks to the Indian Army, the single-largest order awarded to an Indian private player.

With government focusing on creating indigenous capabilities to replace age-old designs and imports, Tata Motors have created the necessary preparedness to grab opportunities, he said.

"We started off with creating the aggregates models (so that parts and components can be used across different vehicles), dedicated manufacturing lines and setting up facilities like climate chambers where prototypes can be tested even at -40 degree Celsius," he said.