The Israel Ministry of Defense (IMOD) has announced an agreement with Elbit Systems, valued at approximately NIS150m ($48m), for procuring tens of thousands of 155mm artillery shells.

The procurement seeks to enhance the Israel Defense Forces’ (IDF) “operational endurance and readiness” during the ongoing Operation Roaring Lion against Iran.

The Deputy Head of the Defense Procurement Directorate (DPD) for Land Procurement is overseeing the contract, which will see the munitions produced at various Elbit Systems’ manufacturing sites across Israel.

According to the Ministry, thousands of workers are currently engaged in round-the-clock shifts under its direction to meet production demands.

This contract forms part of a broader IMOD initiative to expand domestic defence manufacturing and reduce dependence on foreign suppliers.

Defence Minister Israel Katz and Director General major general (Res.) Amir Baram are leading these efforts to enhance Israel’s self-sufficiency in munitions production.

Earlier this year, the IMOD’s DPD placed a multi-year order with Elbit Systems for air munitions, amounting to roughly $183m.

Since January, Israel’s defence procurement from local suppliers has exceeded $3bn, spanning recent operations.

The new artillery purchase also comes shortly after Israel’s parliament, Knesset, approved a significant increase in the national defence budget. The total state budget stands at $271bn, with lawmakers voting 62-55 in favour.

The Defence Ministry’s portion alone exceeds $45.3bn, with an additional $7bn allocated for income-dependent expenditure and $26.3bn toward long-term commitments.

Finance Minister Bezalel Smotrich referred to the spending plan as “a budget that takes care of everyone and fights the cost of living,” according to the Times of Israel.