Bharat Electronics Limited (BEL), a defence electronics company under the Ministry of Defence, has initiated plans to construct a new mass manufacturing facility in Palasamudram, Andhra Pradesh. The project aims to enhance the capacity of BEL’s Electro-Mechanical Systems Business Unit (EM SBU).
To support the project, BEL has issued a Letter of Intent to RITES Limited for project management consultancy, design, and construction services. The contract is valued at approximately INR 1,772.25 million (excluding GST) and will be executed on a cost-plus basis over a period of 24 months from the date of agreement.
RITES will be responsible for infrastructure design, engineering, supervision, and overall construction management of the facility. The company has confirmed that the engagement does not involve any related party transactions and that no promoter or group companies are associated with BEL in this project.
The new facility at Palasamudram is part of BEL’s broader effort to expand its manufacturing footprint in the defence electronics sector.
RITES Limited, which operates under the Ministry of Railways, is a consultancy and engineering firm specializing in transport infrastructure. Its services span transport planning, design, project management, and construction across various sectors including railways, highways, ports, and urban development.
