Defence extends NIOA strategic munitions deed
NIOA is set to provide the Australian Defence Force with key munitions options well into the second half of this decade, shoring up supplies against growing international supply chain pressure and responding to priorities identified in the Defence Strategic Review (DSR).
NIOA Australia and New Zealand CEO Ben James has welcomed Defence’s decision to extend the Major Munitions Deed (MMD) by five years.
Under the MMD, the Australian-owned prime is able to deliver more than 50 different munitions to the ADF, including small calibre ammunition, 40mm products, 120mm tank ammunition, aircraft decoy flares, smoke and 30mm ammunition providing options for purchase.
The MMD was established as a five-year, wide-ranging and flexible munitions standing offer deed with options to extend munitions acquisitions for a further 10 years in two five-year increments.
“The DSR noted the requirement to rapidly acquire ammunition stocks from existing suppliers and contractors” Mr James said.
“NIOA is proud to be extended as Defence’s strategic supply partner for the range of natures included in the MMD supporting ADF preparedness.
“Through the MMD, NIOA, with supply partners Northrop Grumman, Vista, Rheinmetall, Winchester and RUAG, will provide options to directly support accelerated preparedness objectives identified in the DSR.
“With a successful track record of proven delivery, NIOA’s partnership meets Defence’s objectives for reduced transactional costs associated with munitions supply arrangements, consolidated supply arrangements and modernising selected ADF munitions.”
NIOA is the largest supplier of non-guided munitions to the ADF delivering Australia the medium calibre munitions for the LAND 400 Rheinmetall Boxer CRV, a selection of mortar capability, as well as the products listed under the MMD.
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