KUALA LUMPUR: The RM150mil contract with Ketech Asia Sdn. Bhd will ensure a stable and resilient supply of ammunition to the Armed Forces and government security agencies, says the Defence Ministry.
“To ensure a more stable and resilient ammunition supply, the Armed Forces, together with other government security agencies, will utilise the Central Contract mechanism with Ketech Asia Sdn. Bhd., which has been appointed and coordinated by the Finance Ministry,” it said in a parliamentary written reply dated July 13.
“The contract covers the supply of small-arms ammunition, namely 9mm and 5.56mm rounds, to government agencies nationwide, with an estimated contract value of RM150mil over a three-year period,” it added.
The ministry is also strengthening the capability of the local defence industry through the operation of Ketech Asia's ammunition manufacturing plant in Lipis, Pahang.
The plant is currently capable of producing up to 120 million rounds of 9mm and 5.56mm ammunition annually.
“The company also plans to commence production of 7.62mm and 12.7mm calibre ammunition,” it said.
It added that to ensure the ammunition supplied meets the operational requirements of the Armed Forces, the National Defence Research and Development Institute (STRIDE) provides technical expertise, testing and evaluation to verify that the ammunition produced complies with the specifications and standards set by the Armed Forces.
The Ministry also encourages the development of critical ammunition components by local industry in line with the National Defence Industry Policy (DIPN), with the aim of strengthening the domestic supply chain and reducing dependence on external sources,” it added.
It was responding to a question by Datuk Khlir Mohd Nor (PN-Ketereh) on the measures taken to address the significant shortage of ammunition within the Armed Forces. He also asked the ministry to compare the current situation with the previous one when Malaysian Explosive Ordnance Sdn. Bhd. (SMEO) supplied 5.56mm, 7.62mm, 9mm and 12-bore shotgun ammunition to the Armed Forces, the police and other security agencies.
