SOURCE: ET
A UAE-based arms manufacturer shortlisted to supply urgently needed close quarter carbines for the army has written to the defence ministry seeking clarity on the project that has been delayed by almost two years. The Caracal group, which emerged as the lowest bidder for fast track procurement by the army in 2018, has expressed concern on conflicting reports about the program and has said that its resources are under stress and it has been waiting only for the final contract to start supplying the weapons.
“As you are aware the program is a fast track procurement which puts Caracal resources under stress as it has to account for production of the weapons on a continuous basis which creates an issue for us when considering to undertake tenders or take on larger orders for our products,” the Abu Dhabi based company said in a letter sent last week.
Saying that the Caracal group is committed to the project, the company requested for a status update and asked that the process be expedited. While this would have been the first major defence deal signed by India with a UAE entity, differing views have recently come up on the future of the contract initiated in 2018 to meet immediate demands.
While there has been an urgency to procure the carbines, one view is that the process needs to be reviewed to account for recent announcements on Atmanirbhar Bharat, as well as representations from domestic companies promising an equivalent product for sale.
The two-year delay in finalising the contract appears to have defeated the purpose of the fast track procedure, which cuts down procurement time by relying in demonstrations and technical data, unlike lengthy user trials conducted under the normal procedure. The procedure also requires the winning company to start supplying the weapons within six months of the contract signing.
