Today, India inked a $735 million defense deal with the United States for 145 M777 Ultra Lightweight Howitzers, according to local media reports.
This is the first deal for artillery guns since the Bofors scandal in 1980s.
The air portable 155mm/39 calibre gun, with maximum range of 30 km, is manufactured by BAE Systems.
Welcoming the signing of the agreement, BAE system in a statement said: “The company anticipates signing a contract in the coming weeks with the US Department of Defense to supply these M777 Howitzers to the Indian Army.”
The $737 million contract has a 30 per cent offset clause worth around $200 million.
Out of 145 guns, BAE will deliver 25 guns and rest 120 will be assembled in India by Mahindra.