Bharat Electronics Ltd. (BEL), in partnership with the Defence Research and Development Organisation (DRDO), is poised to play a pivotal role in India’s ambitious Project Kusha, the indigenous alternative to the Russian S-400 air defence system. BEL is currently serving as a development partner, collaborating with DRDO on the design and development of critical subsystems, particularly advanced radars and control systems essential for the new long-range surface-to-air missile (LR-SAM) network.

During the recent earnings call, BEL Chairman and Managing Director Manoj Jain confirmed that the company is awaiting a decision on the selection of the system integrator for Project Kusha. If BEL is chosen as the sole system integrator—or even as one of two integrators—it anticipates receiving an order valued at approximately ₹40,000 crore. This order would represent a significant boost to BEL’s order book and further cement its status as a leading defence electronics manufacturer in India.

Project Kusha, led by DRDO, aims to develop a multi-layered air defence system featuring three types of interceptor missiles with ranges of 120 km, 250 km, and 350 km. The system is designed to rival the capabilities of the Russian S-400 and Israel’s Iron Dome, providing comprehensive protection against a spectrum of aerial threats, including cruise missiles, stealth aircraft, and drones. The project is expected to supplement existing systems such as the Indo-Israeli Barak 8 and the S-400, with planned deployment by 2028-29.

BEL’s immediate focus is on accelerating product development and achieving system readiness. Prototype development for Project Kusha is projected to be completed within the next 12 to 18 months, after which user trials will commence, potentially taking an additional 12 to 36 months. The timeline for formal orders is thus contingent on the successful completion of these development and trial phases.

In addition to Project Kusha, BEL is also anticipating a major order worth around ₹30,000 crore for the Quick Reaction Surface-to-Air Missile (QRSAM) system, which is being finalised with the Indian Army and Air Force. This contract is expected to be concluded by the end of the current financial year or, if delayed, in the first quarter of the next financial year. Excluding the QRSAM deal, BEL has forecast order inflows of ₹27,000 crore for the ongoing financial year, with ₹3,300 crore already secured. Should the QRSAM order be finalised in FY26, BEL’s total order inflow could exceed ₹50,000 crore.

Project Kusha’s progress underscores India’s strategic push for self-reliance in critical defence technologies and its commitment to strengthening indigenous capabilities under the “Make in India” initiative. The system’s interoperability with the S-400, sharing radar data and operational tactics, is expected to create a formidable, layered air defence shield for the country.

BEL’s potential ₹40,000 crore order from Project Kusha, alongside other significant contracts, positions the company at the forefront of India’s defence modernisation efforts, with substantial growth in its order book anticipated over the next few years.

Agencies