New Delhi: The government has rejected a proposal by Russia to set up a manufacturing facility in India for AK-series assault rifles in partnership with the Adani Group, official sources said. The decision comes amid a controversy over the Rs 58,000 crore Rafale aircraft deal with France. 


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The sources said Russia proposed the joint venture during Defence Minister Nirmala Sitharaman's visit to Moscow in April for production of AK-103 rifle. AK-103 is a modernised variant of the AK-47 rifle, which is extensively used by India's armed forces. 


The sources said, according to existing policy, Russian defence firm Kalashnikov Concern can only partner government-owned Ordnance Factories for the project. "The Russian proposal to partner with a private firm has been rejected. They have the option of joining hands with a government firm for the project," said a source.


The proposal from Russia came when the Army was aiming at procuring around 7 lakh rifles.


India had signed an inter-governmental agreement with France in September 2016 for procurement of 36 Rafale fighter jets at a cost of around Rs 58,000 crore. The Congress has raised several questions about the deal including rates of the aircraft while the government has rejected the charges. 


The AK-103 rifle magazine has a capacity of 30 bullets and weighs 4.1 kgs with bullets. The rifle can shoot in safe and full auto modes. The third generation of the Kalashnikov assault rifles and a modern version of the legendary AK-47, the AK-103 has a folding butt stock and can fire 600 rounds in one minute. The rifle can also carry a 40-mm under-barrel grenade launcher or a knife-bayonet.