Sunita Tools Ltd has announced the signing of a memorandum of understanding with a Polish defence company to collaborate on the research, design, development, and manufacture of intelligence, surveillance, and reconnaissance drones, loitering munitions, and smart drone ammunition, Economic Times Manufacturing reported.

The proposed collaboration envisages the formation of a joint venture in India, with Sunita Tools holding a majority stake. This arrangement is subject to definitive agreements and regulatory approvals.

Under the terms of the MoU, Sunita Tools will act as the development, manufacturing, marketing, and distribution partner for the agreed products in India, the GCC countries, and the Indian subcontinent. 

The company will also retain the right to market these products in other international markets as mutually agreed by both parties.

The partnership will combine the Polish company’s technology and product development expertise with Sunita Tools’ manufacturing infrastructure and market reach. This synergy is expected to create advanced defence solutions tailored to regional and global requirements.

Both companies intend to jointly explore opportunities in defence procurement programs and strategic collaborations with Indian defence industry participants, subject to applicable laws and regulations.

The MoU will remain valid for five years unless terminated earlier in accordance with its terms.

Sanjay Pandey, Chairman and Whole Time Director of Sunita Tools, stated that the collaboration aligns with the company’s long-term strategy of expanding into advanced defence technologies and indigenous manufacturing under the Government of India’s “Make In India” and “Aatmanirbhar Bharat” initiatives.

The company clarified that there is no immediate financial impact arising from the execution of the MoU. Any material developments or definitive agreements pursuant to the MoU will be disclosed to the stock exchanges in accordance with applicable laws and regulations.

This partnership reflects the growing trend of Indian defence firms entering into international collaborations to strengthen indigenous capabilities in unmanned systems and precision strike technologies.

It also highlights the increasing importance of ISR drones and loitering munitions in modern warfare, particularly for surveillance, border security, and tactical operations.

Agencies