South African National Defence Force replenishes ammo with orders worth up to $70 million
mars 3, 2011 Laisser un commentaire
16:22 GMT, March 2, 2011 South African arms acquisition agency Armscor has placed orders worth over R484 million [€70.44 million; 50.76 million – Ed.] with various concerns to replenish ammunition stocks. Among the orders are two placed this month for 7.62x51mm belted ammunition and 5.56x45mm Ball rounds.
Armscor places orders on behalf of the South African National Defence Force, the police and the prison service. It is not clear from the Armscor Bulletin System for which of these the orders were placed. The context suggests the bulk of the munitions are destined for the SA Army.
The state arsenal Denel has been the major beneficiary of the orders. In its annual report for FY2008/9, released in October 2009, it said under an entry for subsidiary Pretoria Metal Pressings (PMP) that SANDF ammunition stocks were close to depletion. It added that orders from the military were showing a “healthy increase” after 13 years of “insignificant sales”. The report noted the SANDF was currently spending about R60 million on small (5.56-12.7mm) and medium calibre (20-35mm) ammunition, adding that increasing that figure to R125 million a year was a “management focus” in the year ahead. The October 2010 annual report stated the order value from the SANDF on PMP’s products increased to R130 million in the 2009/10 financial year, with the target for the coming financial year increasing to R160 million per annum
Orders to date include:
• 5.56x45mm R45 131 382.06
• 7.62x51mm R54 509 056.46
• 9x19mm R3 731 150.43
• 12.7x99mm R87 984 118
• Shotgun R59 473 949.16
• 20mm R8 160 540
• 35mm R8 587 844.04
• Mixed R216 648 650.03
The orders take known ammunition orders since 2007 to R484 226 690.18
PMP employs about 1300 people and serves global defence markets as well as the SANDF, the SA Police Service and the Department of Correctional Services. Revenue for the year to March 201 was R626 million, up from R601 million the year before. Profit was R25 million from a loss of R12 million the year before.