Defence Ministry Inks Rs 6,900 Crore Deal With Bharat Forge And Tata For ATAGS And High Mobility Gun Towing Vehicles

In a major step towards self-reliance in defence manufacturing, the Ministry of Defence (MoD) has signed contracts worth Rs 6,900 crore with Bharat Forge Limited and Tata Advanced Systems Limited (TASL), reported The Hindu.

The contracts are for the supply of 155mm, 52-calibre Advanced Towed Artillery Gun Systems (ATAGS) and high-mobility 6×6 gun towing vehicles. 

With the signing of the agreement on Wednesday (26 March), total contracts worth Rs 1.40 lakh crore have been signed by MoD for capital procurement till date in the current Financial Year 2024-25.

The deal will bring 307 ATAGS guns into the Indian Army's arsenal, with Bharat Forge producing 184 units and TASL manufacturing 123 units under a 60:40 contract split. 

Designed to replace older, smaller-calibre artillery, the ATAGS system promises enhanced firepower, longer range, and superior mobility, aligning with the Army’s broader modernisation strategy to standardise 155mm artillery across its formations.

Developed under the Defence Research and Development Organisation (DRDO) in collaboration with Bharat Forge and TASL, the ATAGS project showcases India's growing capabilities in indigenous weapons development. 

With over 65 per cent of components sourced domestically, the system marks a significant step toward reducing foreign dependence and strengthening India's defence manufacturing base.

Beyond its battlefield capabilities, the deal is expected to generate approximately 20 lakh man-days of employment, benefiting small and medium enterprises involved in precision engineering, metallurgy, and electronics.

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