India and Russia have drawn the road map for the joint production of Kamov Ka-226T light utility helicopters in the South Asian country, kick-starting the $1 billion program.
Gopal Sutar, the chief of media communications at HAL, said that the helicopters are to be produced through a joint venture company as per the inter-government agreement between the two countries in October 2016, and the road map for the acquisition is finalized.
The joint production of the helicopters in India now awaits formal approval by Russian President Vladimir Putin, which will lead to the new production entity Indo-Russian Helicopters Private Limited.
Russian government-owned Rostec Corp. will own a 49.5 percent stake in the new entity, and India’s HAL will own the remaining 50.5 percent. Thereafter, the Indian Ministry of Defence will issue a single-vendor tender to Indo-Russian Helicopters Private Limited, which will then submit its technical and commercial proposal within six months.
By Baishakhi Dutta
