The $248 million contract includes technology transfer to support New Delhi's strategy to boost local defense manufacturing

New Delhi signed a $248 million contract on Friday with Rosoboronexport, the Russian state agency for defense exports, to procure engines for the Indian Army's T-72 tanks. The deal includes technology transfer to support local production under New Delhi's 'Make in India' initiative, which aims to increase self-reliance on domestic defense manufacturing.

The agreement includes the procurement of 1,000 horsepower engines for T-72 tanks, the Indian Defense Ministry said in a statement. It noted that the deal includes transfer of technology from Rosoboronexport to India's Armoured Vehicles Nigam Limited in Avadi, Chennai, which aims to facilitate the integration and licensed production of the engines domestically, in line with the 'Make in India' initiative.

The T-72 has long been the mainstay of the Indian Army's armored fleet, currently equipped with 780 HP engines. Upgrading the tanks with 1,000 HP engines is expected to enhance their battlefield mobility and offensive capabilities, providing a boost to the army's operational effectiveness, the statement said.

The agreement highlights the longstanding defense partnership between India and Russia. From 2005 to 2025, Rosoboronexport has signed contracts with India worth $50 billion, with total Russian military equipment supplies to the country reaching $80 billion.

Speaking at India's largest aerospace exhibition in February, Rosoboronexport General Director Aleksandr Mikheev described India as "the most important strategic partner of Russia in the Asia-Pacific region and one of Rosoboronexport's key partners in the world."

At the air show, Russia presented over 500 defense products, including advanced aircraft, helicopters, engines, and air defense systems, with the fifth-generation Su-57 fighter jet drawing significant attention.

India continues to be one of the largest importers of weapons globally, with Russia serving as a long-term supplier and technological partner for some of the most advanced platforms, including the Su-30MKI fighter and BrahMos missile, co-developed by the two countries. Around 60% of the Indian military's hardware is of Russian origin, and the two countries have expressed their willingness to further deepen ties.

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On Friday, Indian Foreign Secretary Vikram Misri visited Moscow for high-level consultations. According to New Delhi's statement, the two sides reviewed bilateral ties and also shared perspectives on regional and global issues of mutual interest. During the visit, Misri held talks with President Vladimir Putin's foreign policy aide, Yury Ushakov, the deputy head of the presidential administration, Maksim Oreshkin, and the deputy minister of industry and trade, Aleksey Gruzdev.