TASL, NIBE bag ₹1,577-crore ($165 million) Army contracts for Loiter Munitions
The Ministry of Defence on Friday (August 14, 2026) signed contracts worth ₹1,577 crore with Tata Advanced Systems Ltd (TASL) and NIBE Ltd for the Indian Army.
The procurement of
84 loiter munition systems, 840 loiter munitions and accessories will enhance the Army’s precision-strike capability at ranges of up to 100 km. The contracts, signed in the presence of Defence Secretary Rajesh Kumar Singh in New Delhi, have been processed under the ‘Buy Indian’ category through the Fast Track Procedure. The procurement provides for 60% overall indigenous content, including a minimum of 50% indigenous content in materials, components and software.
TASL, the L-1 vendor, will supply 54 loiter munition systems and 540 munitions at a cost of ₹1,013.77 crore ($106 million), while NIBE, the L-2 vendor, will provide 30 systems and 300 munitions for ₹563.36 crore ($59 million).
The systems, with a range of up to 100 km, are intended to bridge a gap in the Army’s precision-strike capability. At present, the Army’s precision-strike capability beyond the 40-50 km range is largely dependent on BrahMos missiles.
A limited number of artillery regiments and batteries have already been operationalised with loiter munition systems under Phase-I, and more units are proposed to be equipped under the latest procurement. The Ministry said the acquisition would enhance the operational effectiveness of Artillery Regiments and provide a major boost to indigenous defence manufacturing and the government’s Aatmanirbhar Bharat initiative.
The equipment is scheduled to be delivered within 12 months from the date of advance payment.
TASL and NIBE secure ₹1,577 crore contracts for loiter munitions, enhancing India's Army precision-strike capabilities under the 'Buy Indian' initiative.
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TASL's ALS-250:
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NIBE's VayuAstra-1 (licensed Elbit Skystriker):
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