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As far as I know 762 NATO Is for those 1.8 lakh rifles, there is still scope for a 8 lakh 556 rifles.Sure, but the three calibers MCIWS/AAR was meant to fire, the original requirement by IA, are all redundant in the IA's new requirement, which wants a 7.62*51.
It's one thing if they wanted one of the three calibers, but they chose the one that's outside that. They basically curb stumped that rifle right when it's going through intensive trials.
OFB managed to produce 7.62*51 with the INSAS MC1 quickly(6 months), but I think IA doesnt even care.
Basically what I trying to say is that MCIWS is not dead yet, ARDE still has time. All is not lost.