Moscow: India and Russia have finalised a major deal for manufacturing AK-47 203 rifles in the South Asian country during Defence Minister Rajnath Singh's ongoing visit here, media reports said on Thursday.
The AK-47 203 is the latest and most advanced version of the AK-47 rifle, which will replace the Indian Small Arms System (INSAS) 5.56x45 mm assault rifle.
The Indian Army has a requirement for around 7,70,000 AK-47 203 rifles, of which 1,00,000 will be imported and the rest will be manufactured in India, Russia's state-run Sputnik news agency said.
Read also: Indian Army to place order for 72,000 American assault rifles
The rifles will be manufactured in India as part of the joint venture Indo-Russia Rifles Private Limited (IRRPL), established between the Ordnance Factory Board (OFB), the Kalashnikov Concern and Rosoboronexport -- the Russian state agency for military exports, it said.
The OFB would own a majority stake of 50.5 percent in IRRPL while the Kalashnikov Group would have a 42 percent share. Russia's state-owned export agency, Rosoboronexport, would own the remaining 7.5 percent, the report said.
The INSAS, which is used since 1996, has developed some issues such as jamming and magazine cracking at higher altitudes in the Himalayas, the Sputnik report said.
PTI
