Defense Ministry to conclude agreement with German company for purchase of EUR 50 million worth of distance mining systems

RIGA - On Wednesday, the Ministry of Defense (MoD) will conclude an agreement with the German company Dynamit Nobel Defence (DND) on the purchase of EUR 50 million worth of distance mining systems, Defense Minister Andris Spruds (Progressives) told Latvian Television this morning.

According to him, these systems will allow the rapid deployment of mines on the Latvian border, thus strengthening the Baltic defense line. This is part of the joint defense plan, which also includes the acquisition of obstacles and sensors to be deployed near the border, Spruds said.

The 50 million euro contract with DND also includes the supply of mines, the defense minister said, but more mines are to be purchased in the coming years, for which funds have already been earmarked.

Spruds stressed that the purchase from DND is the first significant investment specifically in distance mining systems. Given that the amount of EUR 50 million is not small, the involvement of local industry is also foreseen, the politician added, without elaborating further on how this would translate into this particular procurement.

"The idea is to actively involve our industry in this budget. 30 percent of the major purchases are to involve our own industry or localize it here, so that local companies also ensure security of supply and also contribute to the economy. (...) The public has given its support to this budget, but it is also very important that this funding comes back to the economy as much as possible, boosting the economy, boosting entrepreneurship, especially in the defense sector, thus also boosting security of supply," said Spruds.

The Defense Ministry informed later that the contract will cover the purchase of Skorpion 2 long-range mining systems, AT2+ anti-tank mines and other equipment related to the systems. The contract also includes training of personnel to operate the systems and other related materiel.

The contract provides for the involvement of local industry to enhance security of supply, as well as the possibility for other countries to join the project and conclude their own supply contracts with the supplier.

The contract offers the possibility of further contracts with the German company.

This type of system has not been available to the Latvian army so far.

As reported, in the draft state budget for next year, which is currently being reviewed by the Saeima, the defense sector is one of the priorities.

According to the Ministry of Finance, total defense funding for next year will reach EUR 2.2 billion. Latvia's defense funding is expected to reach 4.9 percent of gross domestic product (GDP) in 2026, 5 percent of GDP in 2027 and 4.9 percent of GDP in 2028.