In communiqué, seeks support for ammo firm amid NOC hurdles; warns disruptions may impact armed forces’ readiness
File photo of the propellant storage site of Ms Hughes Precision Manufacturing Pvt Ltd on the Naqueri plateau.
MARGAO
The Indian Army has come to the rescue of Hughes Precision Manufacturing Pvt Ltd as the company seeks reinstatement of the No Objection Certificate (NOC) to store propellant at Magazine No. 2 in Naqueri, South Goa.
In a communiqué dated March 25, 2026, addressed to Goa Chief Secretary Dr V Candavelou, Lieutenant General Amardeep Singh Aujla, Master General Sustenance and Colonel of the Rajputana Rifles, underscored the strategic importance of the company’s operations for national defence.
The Army emphasised that Hughes Precision is a key supplier of critical ammunition and that uninterrupted production and delivery are vital, particularly in the context of the current geopolitical scenario. “Regular and continued supply of ammunition from Hughes Precision is critical for maintaining the operational readiness of our armed forces,” the communication stated.
The letter further revealed that the company has already approached the Army twice seeking extensions in delivery timelines, citing operational challenges in Goa—specifically related to the storage and movement of propellant. These difficulties, the Army indicated, are directly impacting the company’s ability to meet its contractual obligations.
Taking note of these constraints, the Army has urged the Chief Secretary to intervene and extend all feasible assistance to the company to ensure that it can fulfil its commitments within the stipulated timeframe. The communication highlights the broader implications of any disruption, not just for the company but for defence preparedness.
“Apart from the Emergency Procurement, regular supply orders worth more than Rs 350 crore have also been placed on Hughes Precision in the ongoing procurement cycle, in alignment with the Make in India initiative in defence,” the Army stated. It cautioned that interruptions arising from regulatory complications could adversely affect the preparedness of the armed forces.
Framing the issue as one of national importance, the Army’s appeal makes it clear that the matter goes beyond routine administrative processes. “In the interest of national security, continued and smooth functioning of Hughes Precision is essential,” the letter noted, urging the State government to facilitate the same.
Policy boost for ammo storage as Goa-IPB gives in-principal nod
MARGAO: Even as Hughes Precision Manufacturing Pvt Ltd continues to face hurdles in securing statutory approvals from local authorities, the company has received a boost at the policy level with an in-principle approval from the Goa Investment Promotion and Facilitation Board (Goa-IPB) for setting up a dedicated propellant storage facility at Naqueri in South Goa.
At its 41st meeting held on February 25, 2026 the Goa-IPB Board has further recommended the notification of a 10,000 square metre parcel of land—Survey No. 82/1 (part) at Naqueri—as an Investment Promotion Area. The move is aimed at facilitating the establishment of the proposed storage facility, subject to compliance with all applicable regulations.
Following this decision, the Board will recommend to the relevant State and Central government authorities to grant the necessary permissions and clearances required for the project, in accordance with prevailing laws and rules. It has also assured that Goa-IPB will actively assist the company in obtaining these approvals.
According to the proposal submitted by the company, the project involves setting up a dedicated propellant storage facility on its leased land measuring 10,000 square metres in Quepem taluka.
However, the Board has made it clear that the in-principle approval is strictly limited to the activity described in the application and does not substitute for statutory clearances.
The company will still be required to secure prior approvals from all competent authorities before commencing any development work. Reinforcing this position, the Goa-IPB has imposed strict conditions on land use.
It has categorically stated that no other commercial activity or development will be permitted on the site under any circumstances by the company or its legal successors. Further, agencies such as the Goa State Pollution Control Board will be bound to ensure that approvals—whether for building plans or consent to establish and operate—are aligned exclusively with the approved activity.
The Board has also clarified that any deviation, change, or addition to the approved land use will require fresh approval from the Goa-IPB, effectively placing tight regulatory oversight on the project.
The issue at hand
Ms Hughes Precision Pvt Ltd came under the lens of local citizens of Naqueri and Betul Panchayat besides the district officials after its magazine storing propellant in Magazine No. 1 exploded and caught fire, throwing a fire ball in the air on March 20, 2025
During inspection, the authorities stumbled upon the fact that the company was storing over 10-tonnes of propellant in Magazine No. 2
The Betul Village Panchayat cried foul over the storage of propellant in Magazine No. 2, claiming that no permission was given by the Panchayat for the operations. The locals also pointed out that the company has no conversion sanad
The Quepem Deputy Collector also later made a submission at the Quepem Court alleging a host of discrepancies at the propellant storage site
