Minesweepers are small naval warships that detect and destroy underwater mines and are considered vital for keeping the critical sea lanes safe for movement of essential cargo, including crude oil.
Under the deal, Russia will provide design, technology know how and key materials to GSL for construction of the ships in India.
The warships will be armed with BrahMos supersonic cruise missiles which can reach targets 295 km away.
Though the government says public and private shipyards compete on equal terms, public shipyards feast at the high table with the defence ministry, with only scraps being tossed to private shipbuilders.