After being stalled for over six months, the Centre has cleared the Defence Ministry and Mazagon Dock Shipbuilders Limited (MDL) to begin negotiations on a ₹70,000-crore deal for six submarines, to be built in India with German support under Project-75 India.
In January, the Defence Ministry had selected state-owned MDL to construct the submarines, equipped with Air Independent Propulsion (AIP) systems, in partnership with German firm ThyssenKrupp Marine Systems.
Speaking to ANI, defence officials confirmed: “The Centre has now given clearance to the Defence Ministry and MDL to start negotiations for the project. The process is expected to commence by the end of this month.”
The approval came after a high-level meeting involving senior defence and national security officials, who reviewed the roadmap and future requirements of India’s submarine fleet.
The Defence Ministry and Indian Navy aim to conclude contract negotiations within six months and secure final approval thereafter. The deal is seen as a major step toward strengthening indigenous capabilities in designing and manufacturing conventional submarines.
The government is also exploring ways to accelerate submarine production. Under Project-75 India, the Navy plans to acquire six advanced submarines capable of remaining underwater for up to three weeks, a capability enabled by German AIP technology.
Meanwhile, the Indian defence industry is working on developing two nuclear-powered attack submarines, with private-sector giant Larsen & Toubro playing a key role alongside the Submarine Building Centre. Against the backdrop of China’s rapid naval modernisation, the government has cleared multiple submarine projects—both nuclear and conventional. However, India still needs to fast-track its capability development to counter challenges from both China and Pakistan in the region.
The Navy is expected to phase out nearly 10 of its submarines over the next decade, making timely replacements essential.
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