drone deal: 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.