Under the deal, 120 of the 145 guns will be assembled in India, said the source, who asked not to be identified in line with defence ministry rules.
India blames China for stalled NSG membership
India’s Prime Minister Narendra Modi wants to upgrade the country's military hardware by replenishing its range of artillery weapons after years of delays in ordering new equipment.
But Modi wants deals with foreign companies to include the setting up of factories and plants in India to boost the local industry.
Indian nuclear security measures weaker than Pakistan's: report
BAe said in February it had chosen Indian conglomerate Mahindra Group to build a plant for the assembly of the howitzer artillery guns it hopes to sell to India. The source said the proposal would soon be communicated to the United States, where BAe manufactures the weapons.
Published in The Express Tribune, June 26th, 2016.
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