Alleging that Coromandel International’s Dhaksha Unmanned Systems is using Chinese parts, the Indian Army has paused a deal of for 200 logistic drones following security agency warnings.
The Indian Army has suspended the acquisition of 200 logistic drones from Dhaksha Unmanned Systems Private Ltd, a Chennai-based firm and subsidiary of Coromandel International, due to concerns over using Chinese parts in their unmanned aerial vehicles (UAVs).
On August 7, 2023, Coromandel International announced that Dhaksha Unmanned Systems had secured an order to provide 200 medium-altitude logistics drones and related accessories to the Indian Army.
The company highlighted that it was the sole entity in India to have received type certifications from the Directorate General of Civil Aviation (DGCA) for three drone models used in agriculture and surveillance.
According to a report by the Hindu Businessline, the procurement process for these logistic drones has been halted due to the allegations of Chinese components usage. This action was reportedly based on input from security agencies.
The Ministry of Defence (MoD) had previously advised industry associations, including SIDM, FICCI, and ASSOCHAM, to exercise caution when procuring defence items from Dhaksha and two other companies.
Dhaksha has stated that they use parts sourced from Indian suppliers and not from China. A company spokesperson has denied the allegations, stating that no Chinese components are used in their defence drones and that they have provided all necessary documentation to the Defence Ministry for quality and process audits.
However, Army officials maintain that they are ultimately responsible. Despite these assurances, Dhaksha has not received confirmation from the authorities regarding the hold on the contract.
The Director General Military Intelligence (DGMI) issued directives in 2010 and 2015 against using Chinese components in sensitive security equipment due to potential security risks.
The DGMI emphasised that even non-critical items should be free of Chinese origin to avoid risks such as embedded malware and data security concerns. The guidelines also extend to equipment and spares from countries with land borders with India, reflecting broader security apprehensions.
