צילום: Israel Aerospace Industries // A Barak 8 defense system battery

Israel Aerospace Industries sign $2 billion arms deal with India

Sale of Barak 8 missile defense system is the largest deal in the history of Israel's defense industries • PM: Deal is another expression of expanding Israel-India ties • CEO: Deal a tremendous expression of confidence in IAI capabilities, technology.

Israel Aerospace Industries announced Thursday that it has signed contracts amounting to $2 billion with India. This is the largest arms deal in the history of Israel's defense industries.

The deal comprises a $1.6 billion contract to deliver a medium-range surface-to-air missile defense system, and a $400 million contract for a long-range surface-to-air missile defense system.

Both are variations of the advanced Barak 8 missile defense system, designed to defend against any type of airborne threat, including aircraft, helicopters, anti-ship missiles and drones. The deal includes an advanced phased-array radar, command and control, mobile launchers, communications systems and missiles.

The MRSAM system was developed jointly by the IAI, Rafael Advanced Defense Systems, and the Indian military and Defense Research and Development Organization. The LRSAM system, which is the naval version of Barak 8, will be installed on India's first aircraft carrier.

Prime Minister Benjamin Netanyahu congratulated IAI CEO Joseph Weiss on the deal.

"This is another expression of Israel and India's expanding ties and the prime minister plans to pursue these ties further in the fields of water, agriculture, energy and more during Indian Prime Minister [Narendra] Modi's visit in a few months," a statement by the Prime Minister's Office said.

Modi is scheduled to visit Israel in July.

Barak 8 defense systems are already installed on Indian Navy ships. The Israeli Navy uses them on its Saar 5 corvettes, and plans to install them on its Saar 6 corvettes, commissioned especially to defend Israel's offshore gas rigs. The Saar 6 ships are currently under construction in Germany.

An IAI official said Barak 8 was purchased by another nation as well, but did not offer any other details.

"The IAI has worked with the Indian defense industries and armed forces in many areas over the past 25 years, as part of our strategic partnership," Weiss said Thursday.

"The [current] contracts represent a tremendous expression of confidence by the Indian government in the IAI's capabilities and the advanced technologies it develops. Together with our partners in India we will continue to stand at the forefront of technology. We will continue to pursue new partnerships and developments to bolster the defense and security of both our countries," he said.

IAI Vice President Boaz Levy, who heads the Missiles and Space Division, said, "Together with our partners in India, we will supply the Indian military with an advanced, sophisticated and innovative system that will provide the best operational solutions."

The latest deal comes ahead of a major military exercise scheduled to take place later this year, in which Indian pilots and pilots from six other countries will join the Israeli Air Force in a series of drills.

Three Indian Navy ships are scheduled to arrive in Haifa in May as part of the country's maritime deployment, and as part of the 25th anniversary of the establishment of diplomatic relations between Jerusalem and New Delhi.

Also on Thursday, the Interior and Foreign ministries announced an improved visa agreement between Israel and India.

"The visa [agreement] will enable Israelis to develop their businesses in India, as well as allow for the development of Indian businesses in Israel," Interior Minister Aryeh Deri said.

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