New Delhi, Mar 4 (IANS): Swedish defence major Saab has started construction of its manufacturing facility at Jhajjar near Delhi, to make Carl Gustaf M4 weapons, the company said on Monday.
The manufacturing plant is being built in MET City in Haryana's Jhajjar.
Saab plans to start production of weapons at the facility by next year.
The Swedish company has got the government's approval for 100 per cent foreign direct investment (FDI) in setting up the project.
"I am proud to start constructing our first facility outside Sweden for Carl-Gustaf, a product that has a long history with the Indian Armed Forces. We look forward to starting production of our excellent product, now engineered and made in India," said Gorgen Johansson, Senior Vice President and Head of Saab's Business Area Dynamics.
"Today is an important milestone for Sweden and India. Saab's factory will be the first foreign fully-owned defence production facility in India. It is a testament to the strong bilateral relationship between our countries," said Hakan Jevrell, State Secretary for Foreign Trade, Sweden.
Saab will partner with Indian suppliers and will fully meet the requirements of "Make in India" for the systems manufactured in the facility, according to the company statement.
At the new factory, Saab will deploy complex technologies including the latest sighting technology and advanced carbon fibre winding to manufacture Carl-Gustaf M4 for the Indian armed forces, and components which may be included in other users' systems, it added.
The new Carl-Gustaf M4 is a man-portable weapon system compatible with a wide range of ammunition that can handle all sorts of targets including built-up areas, armoured vehicles, and also be used to illuminate battlefields during night-time operations.
"It is this range of ammunition that gives soldiers operating Carl-Gustaf the edge over the enemy. From anti-tank rounds to illumination and smoke rounds, these munitions can handle everything. The range can vary between 400m and 2100m," according to the company's website.
"Our manufacturing plant in India underscores our strong commitment to the Make in India initiative and our close collaboration with the Indian Defence Forces," said Mats Palmberg, Chairman & Managing Director, Saab India Technologies.
MET City CEO S.V. Goyal said as India's first 100 per cent FDI approved defence manufacturer, the project "will not only strengthen our resolve for delivering best-in-class infrastructure but will also establish MET City as a preferred location for doing business for global companies".