Both the companies have signed a Memorandum of Understanding (MOU) to this effect. The JV will produce air defence systems and light-weight special purpose munitions for the Indian Ministry of Defence.
Production of these strategic defence systems will be in line with the Government of India's Make in India policy.
Kalyani Group chairman Baba Kalyani said: "The joint venture company will combine IAI's advance technology, knowledge and experience as an OEM with world-class design, development and manufacturing capabilities of the Kalyani Group.
“The joint venture will provide indigenously manufactured solutions in niche technology areas of defence sector, thereby furthering the Make in India initiative of the government.”
The MoU will allow the companies to expand their presence in the Indian defence market.
IAI is involved in the production of advanced systems for air, space, sea, land, cyber and homeland security, such as satellites, missiles, weapon systems and munitions, unmanned and robotic systems, radars and C4ISR.
In a separate agreement with Taneja Aerospace & Aviation of India, IAI will manufacture civil and military aircraft crashworthy-seats.
The companies will explore the possibility of working with TAAL as an IAI subcontractor, to manufacture certain crashworthy-seat parts for current IAI production lines, IAI stated.
Image: Israel Aerospace Industries and Kalyani Strategic Systems signing a MoU at the Aero India show. Photo: courtesy of Israel Aerospace Industries Ltd.