The bid won by the Israel Weapon Industries (IWI) six years ago for the sale of Close Quarter Barrel (CQB) for the Indian Army is unlikely to lead to a deal even as less than a month is left before the bid expires. India's Law Ministry is yet to give a final go ahead for the 'single vendor situation' deal.
The Law Ministry's opinion was sought by the Defense Ministry as only one firm, the IWI, passed the trials conducted by the Indian Army. Four other global firms including Italy's Beretta had participated in the bid but failed to meet the tough specifications laid down by the Indian Army. This led to a 'single vendor situation' which attracted the attention of competitors who suspected foul play.
The trials were completed way back in 2014 but due to the single vendor situation, the Ministry of Defense is not going ahead with signing the deal with the Israeli firm. Frustrated by this delay, IWI has threatened that it may have to rethink its investments in India.