Indian Army Seeks Indigenous Vendors for 122mm Grad BM-21 Rocket Ammunition

March 23, 2025 – The Indian Army, under the aegis of the Ministry of Defence (MoD), has issued a Request for Information (RFI) in March 2025 to identify Indian vendors capable of manufacturing rocket ammunition for the 122mm Grad BM-21 Multi-Barrel Rocket Launcher (MBRL) system. This move underscores India’s commitment to self-reliance in defense production, aligning with the "Make in India" initiative. Responses to the RFI are due by May 16, 2025, with a vendor interaction scheduled for April 9, 2025.

Operational Context and Requirements

The Grad BM-21, a Soviet-origin system in service with the Indian Army, is a versatile MBRL designed to deliver rapid, high-volume rocket salvos. The RFI targets ammunition compatible with existing launchers, which feature 2.8-meter-long tubes, to equip Grad rocket regiments for operations across diverse terrains—plains, high altitudes, semi-deserts, and deserts. The ammunition must integrate seamlessly with the current fire control system and be transportable on in-service vehicles without modifications.

Key operational specifications include a caliber of 122mm, a defined maximum and minimum range, a minimum service life of 10 years (extendable with maintenance), and the ability to withstand field storage conditions. All components must meet relevant Military Standards (MIL STD), ensuring reliability in combat scenarios.

Procurement Process

The RFI outlines a structured procurement process under the "Single Stage-Two Bid System," where vendors will submit technical and commercial offers in separate sealed envelopes via a forthcoming Request for Proposal (RFP). A Technical Evaluation Committee (TEC) will assess compliance, followed by field trials in India on a "No Cost No Commitment" basis. A staff evaluation will shortlist vendors, and a Contract Negotiations Committee will select the lowest bidder (L1) to finalize the contract.

Vendors must commit to a minimum of 50% Indigenous Content (IC) for "Buy Indian (IDDM)" or 60% for "Buy Indian" categories, provide product support including spares and maintenance tools, and submit a 3% Performance-cum-Warranty Bond. An Engineering Support Package (ESP) and adherence to the Defence Acquisition Procedure (DAP) 2020’s standard contract terms, including an Integrity Pact if applicable, are also mandatory.

Vendor Expectations and Questionnaire

The RFI includes a detailed questionnaire (Appendix A) seeking specifics on rocket variants, range, accuracy, warhead types, lethality, fuzes, propellant, shelf life, and storage conditions. Vendors must also address their manufacturing capabilities, explosive handling licenses, past experience, proofing facilities, and indigenization levels. Financial details, such as annual turnover and net worth over the last three years, are required to gauge fiscal stability.

Appendix B mandates comprehensive company profiles, including ownership structure, certifications, registration with defense bodies like DGQA, and production capacity. Vendors must indicate whether they are Original Equipment Manufacturers (OEMs), authorized agents, or others, and provide technical literature to support their offerings.

Vendor Selection Criteria

Appendix C details stringent guidelines for vendor pre-qualification under "Buy Indian (IDDM)" and "Buy Indian" categories. General parameters require vendors to be Indian entities with no bans or insolvency issues. Technical criteria demand at least two years of manufacturing experience in relevant fields (e.g., explosives or electronics) or three years of cumulative competence, with relaxations possible for specific cases if approved.

Financially, vendors must demonstrate an average annual turnover of at least 30% of the project’s estimated cost and a net worth of 5% for the past three years, though these are waived for projects below ₹150 crore except for insolvency checks. Start-ups and MSMEs with costs not exceeding ₹100 crore annually may bypass financial stipulations, encouraging broader participation.

Strategic Implications

This RFI reflects the Indian Army’s dual focus on modernizing its artillery while fostering a domestic defense industrial base. The 122mm Grad BM-21 remains a critical asset for area saturation and fire support, and indigenous ammunition production will reduce import dependency, enhance supply chain security, and stimulate economic growth. The emphasis on high indigenous content and technology transfer aligns with India’s long-term goal of achieving defense self-sufficiency.

Next Steps

Interested vendors must submit responses by May 16, 2025, to multiple MoD directorates, including the Directorate General of Artillery and Capability Development. The vendor interaction on April 9, 2025, offers a platform to clarify queries, with representative details due by April 7, 2025. As India advances its artillery modernization, this RFI marks a pivotal step toward integrating private industry into the defense ecosystem, promising innovation and resilience in military preparedness.