Defence and security company Saab has broken ground on its new Carl-Gustaf weapons manufacturing facility in the Indian state of Haryana.  

Following the approval of 100% foreign direct investment, Saab has established Saab FFVO India, a new company that fully owns the upcoming manufacturing facility. 

The facility is being built in MET City within Jhajjar and will produce the Carl-Gustaf M4 weapon system. 

Since 1976, the Indian Army has used the Carl-Gustaf system as its primary shoulder-launched weapon. 

Saab Dynamics senior vice-president and head Görgen Johansson said: “I am proud to start constructing our first facility outside Sweden for Carl-Gustaf, a product that has a long history with the Indian Armed Forces.  

“We look forward to starting production of our excellent product, now engineered and made in India.” 

Swedish State Secretary for Foreign Trade Håkan Jevrell added: “This is an important milestone for Sweden and India. Saab’s factory will be the first foreign fully-owned defence production facility in India. It is a testament to the strong bilateral relationship between our countries.”  

Saab plans to integrate the latest sighting technology and carbon fibre winding processes to produce the Carl-Gustaf M4. 

The company aims to collaborate with Indian suppliers to meet the ‘Make in India’ requirements for systems manufactured. 

Meanwhile, the company entered into a contract with the Polish Ministry of Defence's procurement authority for supplying the Carl-Gustaf M4 weapon, along with ammunition and training equipment. 

This contract is valued at Skr12.9bn ($1.24bn) and spans from 2024 to 2027.