Bharat Forge’s Kalyani Strategic Systems Secures ₹2,500 Million Defence Contracts for Underwater Systems

In a significant boost to India’s naval modernization efforts, Kalyani Strategic Systems Ltd. (KSSL) — a wholly owned subsidiary of Bharat Forge Ltd. — has been awarded contracts worth over ₹2,500 million by the Indian Ministry of Defence (MoD) for the supply of advanced underwater systems. The agreement, signed on November 10, 2025, mandates delivery within a year — by November 2026 — under the Ministry’s Fast Track Procurement (FTP) procedures.

The new contracts mark a major milestone in India’s growing emphasis on indigenous defense manufacturing, especially in the underwater domain, which is emerging as a strategic frontier for naval warfare and surveillance.

Expanding India’s Underwater Warfare Capabilities

According to the company’s announcement, the awarded projects involve cutting-edge underwater systems designed to enhance the Indian Navy’s situational awareness, surveillance, and autonomous operations. These systems are expected to form part of India’s expanding fleet of unmanned and autonomous underwater vehicles (AUVs) — a domain where KSSL has built strong competencies over the past five years.

KSSL has been instrumental in the design, development, and production of unmanned marine and autonomous underwater vehicles, several of which are already operational within the Indian Navy. These vehicles are used for missions such as reconnaissance, mine countermeasures, and underwater inspection, allowing the Navy to extend its reach into deeper and more challenging environments.

Strategic Focus on Naval and Marine Systems

KSSL’s latest contracts underline the company’s long-term strategy to become a key player in India’s underwater and maritime defense ecosystem. Beyond underwater systems, KSSL has been actively investing in naval gun systems, marine equipment, and advanced platform integration, aligning its roadmap with the Navy’s future warfare requirements.

In its press release, KSSL stated:

“The underwater domain is a key focus area for KSSL, along with naval guns and marine equipment. We are ramping up our capabilities to align closely with the Indian Navy’s urgent and mission-critical requirements. We remain committed to ensuring timely delivery of these advanced solutions.”

The company emphasized its ability to rapidly execute complex defense contracts, reflecting the advantages of the Fast Track Procurement framework — a process designed to speed up acquisitions for critical operational needs without compromising quality or oversight.

A Subsidiary of Bharat Forge’s Expanding Defence Vision

Kalyani Strategic Systems Ltd. functions as the defense arm of Bharat Forge Ltd., a company with a market capitalization of ₹67,018.46 crore and a rich legacy in engineering, metallurgy, and manufacturing. Over the years, Bharat Forge has transformed from a global leader in automotive and industrial forging into a major defense manufacturer supporting India’s “Atmanirbhar Bharat” (self-reliant India) initiative.

KSSL has emerged as Bharat Forge’s flagship defense subsidiary, driving the group’s entry into high-technology defense segments, including artillery systems, armored vehicle platforms, aerospace structures, and unmanned systems. Its strong design and manufacturing ecosystem, supported by Bharat Forge’s global facilities and R&D network, allows KSSL to deliver complex defense products at competitive costs and within tight timelines.

The company’s Pune-based defense campus has been steadily expanding its production lines for naval and underwater systems, incorporating AI-enabled navigation, acoustic sensors, and autonomous control technologies — elements that are shaping the next generation of naval operations.

Industry Implications and Strategic Importance

The new contracts further strengthen KSSL’s position as one of India’s leading private defense manufacturers contributing to the indigenization of critical naval technologies. As India continues to counter increasing underwater activity in the Indian Ocean Region (IOR), self-reliant development in underwater warfare systems becomes strategically crucial.

Defense analysts note that the underwater space is now one of the most competitive areas in modern naval strategy, covering anti-submarine warfare, intelligence gathering, and mine countermeasures. KSSL’s role in this ecosystem enhances India’s capability to operate more autonomously across multiple maritime zones.