Saudi-based Nadrah Trading Company, a subsidiary of Al Nasiriah Holding Group, has signed an agreement with Munitions India Limited (MIL), owned by the Indian Ministry of Defence, with a value exceeding 1 billion Saudi Riyals (US$ 267 million).

The agreement was signed during the World Defense Show (WDS) 2024 which was held in Riyadh last week (4-8 February). The deal includes a contract for establishing a state-of-the-art nanotechnology factory, and supplying and localizing ammunition in the Kingdom.

This collaboration aims to increase investment volume and quality to support the objectives of Saudi Vision 2030. Additionally, it seeks to enhance cooperation and promote the exchange of expertise between the two sides within the Kingdom.

The signing ceremony was attended by Ahmad Abdulaziz Al-Ohali, Governor of the General Authority for Military Industries (GAMI); Ajay Bhatt, India’s Minister of State for Defence and Tourism; and Faisal bin Saad, CEO of Al Nasiriah Holding Group, the Saudi Press Agency (SPA) reported.

Headquartered in Pune, India, MIL was established in 2021 as part of the restructuring and corporatisation of the Ordnance Factory Board into seven different Public Sector Undertakings.

Munitions India primarily manufactures ammunition, explosives, rockets and bombs for the use of the Indian Armed Forces, foreign militaries and domestic civilian use.

At present, India holds the third position globally in terms of artillery ammunition production, positioning it behind China and Russia while surpassing both the United States and North Korea in this regard.

Munitions India, in collaboration with the Indian Institute of Technology Madras (IIT-M), is progressing in the development of India's inaugural 155 smart ammunition. This initiative marks a significant advancement for India's defense sector, promising enhanced accuracy, efficiency, and battlefield effectiveness.