"During last trials in April the system has carried out all the tasks set by the armed forces and has been recognized as fit for combat missions," the agency said on its website.
Commissioning with the South Korean army is expected next year, the statement said. It has been designed to help South Korean forces eliminate North Korean long-range artillery aimed at Seoul.
South Korean forces are currently equipped with Swedish-made ARTHUR produced by Saab. The indigenous rival exceeds ARTHUR's range and other parameters by up to 40 percent, according to the procurement body.
The situation on the Korean peninsula has been tense with North Korea testing ballistic missiles and nuclear weapons in violation of UN Security Council resolutions, while the United States decided to deploy a Terminal-High Altitude Area Defense (THAAD) anti-ballistic missile system to South Korea despite protests from neighboring China and Russia.