After a series of associations and partnerships, the Anil Ambani-led Reliance Group has further strengthened its foray into defense with a strategic collaboration for manufacturing aerostats and airships in India. In a deal signed between Reliance Unmanned Systems and the Singapore-based Augur Overseas Operation-- a wholly owned subsidiary of Augur Aeronautical Centre—Reliance and Augur will partner on creating new paradigms for domestic and global markets.
A memorandum of understanding (MoU) between the two stakeholders mandates a joint venture (JV) to be created with Reliance having 51 percent stake. The JV will initiate new development models that’ll include life support and maintenance for aerostats and airships across all sizes and dimensions.
The MoU comes out as furtherance of an earlier agreement between Pipavav Defense, a company recently acquired by Reliance Group, and Augur Aeronautical Centre. The new partnership is gearing up for production and has already put out a medium sized aerostat envelope prototype that was tested for simulated mooring, verification of equipment and functioning of aerostat envelope together with pressurization system at Pipavav’s indigenous testing facilities.
Indian markets are eyeing the aerostat segment to go big and hit Rs 65,000 crore by 2020. The growth will be driven a surge in demand created by India’s need to strengthen its 7,000 km coastline and 14,000 km long border with advanced surveillance and reconnaissance. Aerostat systems, especially radars, are widely being considered to bridge that gap given their expertise in detecting low-flying aircrafts. On average, the armed and paramilitary forces would account for about 40 aerostat systems valued at Rs 12,000 crore over the next few years.
Aerostat deployment for carrying food, water, provisions, blankets and relief material in emergency situations is also fuelling the demand.
Reliance Group
Under Chairman Anil Ambani, Reliance Group is valued as one of the five biggest business groups in India with interests in power, infrastructure, financial services, and media and entertainment sectors. With over 200 million users, it reaches out every 1 in 6 Indians, and has one of the largest shareholder strength worldwide of over 8 million shareholders.
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