Chancellor Angela Merkel's security ministers have approved the export of the fifth of six submarines that Israel is purchasing, the newspaper Sueddeutsche Zeitung reported Friday.

The four Dolphin-class submarines that Israel has already obtained are crucial to its sea power in both the Mediterranean and the Red Sea. Germany's government is paying one third of the cost of the fifth vessel, German News Agency (DPA) reported.

The fourth was handed over to the Israeli Navy in September at the ThyssenKrupp dockyard in Kiel, northern Germany, where the submarines are built.

Germany has given Israel steep discounts and cheap loans for the subs under its policy which defines protecting Israel's right to exist as a paramount German national interest.

Sales of weaponry abroad must be approved by the Federal Security Council, a subcommittee of cabinet comprising Merkel and eight security ministers which keeps its debates top secret.

The newspaper said it had learned of the approval via a notification to the economy committee of the German parliament.

Also approved was an export deal for 336 trucks to Algeria. They count as military-use vehicles, because they will have blackout driving lights as used in army columns for tactical movements at night, according to sources quoted by the newspaper.

India is to receive manufacturing equipment and parts to make small arms as well as sonar systems to detect submarines and torpedoes.