New Delhi, Nov 29 (IANS): The Defence Procurement Board (DPB) has given an in-principle approval to construct a second aircraft carrier to be known as Indigenous Aircraft Carrier-2 (IAC-2), estimated to cost around Rs 40,000 crore, sources privy to the development said.

India launched IAC-1 known as INS Vikrant last year in September, with Prime Minister Narendra Modi commissioning it.

According to the sources, the government is ready with positive consideration on the proposal of this aircraft carrier for the Navy, amid growing concern over China’s increasing forays into the Indian Ocean region.

The sources said that this proposal will be placed before a meeting of the Defence Acquisition Council (DAC) likely to be held on Thursday under the chairmanship of Defence Minister Rajnath Singh.

It is noteworthy that the Indian Navy is also likely to get state-of-the-art anti-missile and anti-aircraft point defence weapon system. This project will cost Rs 2956.89 crore. The Defence Ministry has entered into a special contract for this.

Under the procurement, the Defence Ministry signed this contract on November 28 for the purchase of 16 upgraded Super Rapid Gun Mounts (SRGM) along with related equipment and accessories for the Indian Navy. The ministry says that this contract was signed with Bharat Heavy Electricals Limited (BHEL), Haridwar, on Tuesday.

The advanced SRGM, which will be manufactured by BHEL at its Haridwar plant, is a medium caliber anti-missile, anti-aircraft point defence weapon system. It has high firepower and ensures high accuracy. The weapon system is capable of taking action against a variety of threats. The system has excellent performance against missiles and highly maneuverable fast attack devices.