Astra Rafael Comsys opens unit in Hyderabad

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Astra Rafael Comsys opens unit in Hyderabad

Rs 35-crore facility to support India’s defence requirements and exports to global markets

 

NEW BEGINNING: Union Minister of State, Home Affairs, G Kishan Reddy (left) inaugurating the Astra Rafael Comsys facility in Hyderabad on Tuesday.

Hyderabad: Astra Rafael Comsys (ARC), a joint venture (JV) between Hyderabad-based Astra Microwave and Israel-based Rafael Advance Defense Systems, has set up its manufacturing unit at Hardware Technology Park, near Rajiv Gandhi International Airport (RGIA), Hyderabad to make tactical communication systems (software defined radio) for defence.

Rafael Advanced Defense Systems is one of Israel’s largest defence companies with 2018 annual revenues of over $2.5 billion. In 2017 the company was awarded the contract for supply of software defined radios (SDRs) to the Indian Air Force. And the joint venture facility in Hyderabad marks Rafael’s first overseas facility to make these communication systems, with the technology being transferred by Rafael to the JV firm.

 

ARC will be engaged in making SDRs, electronic warfare and signals intelligence systems. ARC will invest in high-end technology and advanced production techniques to design, develop and manufacture communication systems and sub-systems for defence at its plant spread over 20,000 sq ft (at the 28,000 sq ft site).

As on date, ARC has commenced operations with close to 50 personnel, largely comprising of skilled technical manpower with plans to provide employment to an estimated 185 personnel in the next two years.

Make in India
After inaugurating the manufacturing facility, G Kishan Reddy, Union Minister of State, Home Affairs, in the presence of Ron Malka, Ambassador of Israel to India, said that the Narendra Modi government has taken several steps to boost indigenous manufacturing in the defence sector as part of ‘Make in India’ mission. He said the Centre is encouraging foreign direct index (FDI) in several sectors including the defence and railways. Israel and India have long relationship and share common goal of eliminating terrorism.

In line with the indigenous defence systems production that the Centre is aiming for, ARC would become India’s first private sector company to manufacture software defined radios in multiple variants at its facility. It will also carry out development and manufacture of a wide range of other advanced capabilities, with the aim of opening new export markets.

Astra Microwave managing director S Gurunatha Reddy said the unit has been set up with an investment of Rs 35 crore and has started its operations with a $30 million order from Rafael to be delivered within next 24 months.

R&D focus
A research and development facility is also being set up for innovation in new areas. Hyderabad is the happening city for defence development and has become a natural choice to set up these facilities here. Gurunatha Reddy informed that the R&D facility will be operational in the next 12-18 months, which will focus on all the areas for which the JV has been created.

Astral Rafael Comsys COO Ravi Hariharan told Telangana Today, “Our R&D will be product specific. The initial investment will be Rs 35 crore and we are prepared for further investment when we are ready to scale up. We will have a capacity to make 1,000 SDRs a year at this facility. The $30 million order the facility has will be to cater to the Indian Air Force’s needs.”

Rafael’s president and CEO, Maj Gen (Ret) Yoav Har-Even said, “Israel’s co-operation with India is strategic. Rafael has become one of the major foreign original equipment manufacturers, which have become a part of the Indian defence sector.”

Ron Malka, Ambassador of Israel to India, emphasised, “Israel believes in sharing its experience and knowhow with its friendly nations. India and Israel together had been working on multiple areas (including space and defence), and the communication systems that will be made in the facility will be supplied to both Indian Armed Forces as well as Israel’s friendly nations.”

Jayesh Ranjan, principal secretary for IT and Industries, Telangana Government, said “This marks the second investment that Rafael has made in Telangana following its partnership with Kalyani Group. Companies are not only investing in Telangana but re-investing, which shows the value companies are seeing in the State’s ecosystem. With a strong defence industry in Hyderabad where large defence establishments and thousands of MSMEs coexist, now there should be emphasis on design facilities to cater to the defence needs. India and Israel can work on design-centric initiatives.”