May 09, 2007 (FIDSNS)

The production of Main Battle Tank Arjun has commenced at Heavy Vehicle Factory (HVF) — Avadi, Chennai. Army has placed an indent for manufacture of 124 Tanks at a cost of Rs. 1760 crore. As on 31st March 2007, HVF has made an expenditure of Rs. 1270.82 crore against this indent.

An indent for manufacture of 124 Tanks has been placed on Ordnance Factory Board (OFB) in March 2000. Five Tanks have already been handed over to Army in 2005 and nine more Tanks are ready for delivery. The remaining quantity is expected to be delivered by 2009.

All issues related to production of MBT Arjun have been resolved and the production is getting stabilized. At present there is no such proposal to take cooperation of private sector as a joint venture. However, private sector is involved in the project as supplier of various components/assemblies.