SOURCE :https://www.youtube.com/watch?v=fplQlClCuVM
FOREIGN JET-FIGHTER MAKERS WOO INDIA
[https://www.youtube.com/watch?v=fplQlClCuVM ]
By
NEW DELHI—India is being offered blueprints to advanced combat aircraft by the world’s aerospace companies, a move unthinkable even a decade ago, as New Delhi gets ready to place another multibillion-dollar air force order.
India’s aging military jet fleet desperately needs an upgrade, which analysts say may spur it to place an order worth more than $10 billion in the next year. Hoping for an edge, and encouraged by a recent law that allows 100% foreign ownership of local defense firms, jet-fighter makers such as Lockheed Martin Corp. , Boeing Co. and Saab AB are rushing in with offers to set up production lines to India.
Efforts to give India unprecedented access to jet fighter know-how illustrate the country’s rising importance to the West as China’s power increases, analysts say.
India, until a decade ago, was trying stubbornly to build its own jets, after the U.S. and Japan imposed sanctions following its nuclear tests in 1998, which broke U.S. nonproliferation laws and sparked tensions with Pakistan. U.S. companies were blocked from giving India the technology it needed.
FOREIGN JET-FIGHTER MAKERS WOO INDIA
[https://www.youtube.com/watch?v=fplQlClCuVM ]
By
39 COMMENTS
NEW DELHI—India is being offered blueprints to advanced combat aircraft by the world’s aerospace companies, a move unthinkable even a decade ago, as New Delhi gets ready to place another multibillion-dollar air force order.
India’s aging military jet fleet desperately needs an upgrade, which analysts say may spur it to place an order worth more than $10 billion in the next year. Hoping for an edge, and encouraged by a recent law that allows 100% foreign ownership of local defense firms, jet-fighter makers such as Lockheed Martin Corp. , Boeing Co. and Saab AB are rushing in with offers to set up production lines to India.
Efforts to give India unprecedented access to jet fighter know-how illustrate the country’s rising importance to the West as China’s power increases, analysts say.
India, until a decade ago, was trying stubbornly to build its own jets, after the U.S. and Japan imposed sanctions following its nuclear tests in 1998, which broke U.S. nonproliferation laws and sparked tensions with Pakistan. U.S. companies were blocked from giving India the technology it needed.
Relations between India and the U.S. have improved since, as both share a goal to contain China’s military. India has struck deals with the U.S. to buy everything from Apache helicopters to transport planes and artillery, lifting the country to India’s second-biggest defense trading partner behind Russia."China’s rise has changed the equation,” said Pushan Das, a fellow with the Observer Research Foundation, a policy think tank based in New Delhi. Industry experts estimate India needs over 300 new combat jets in the next 15 years. It could be a while before a deal is struck. Successful bidders also face the challenge of setting up a jet-manufacturing system from scratch. Previous such attempts have failed.
A deal struck in 2012 with France’s Dassault Aviation SA to build Rafale fighters in India fell through last year following disagreements, and was replaced with a smaller plan to import 36 jets. That plan finally was approved by India’s government, and an agreement was signed on Friday.
Similarly, efforts to co-develop a next generation fighter with Russia’s Sukhoi stalled over cost disputes, while a third indigenous jet program aiming to deliver 120 light combat aircraft is behind schedule.
Those programs relied on state-run Hindustan Aeronautics to build and design jets. Defense experts say the company faces a skills shortage as its best engineers are spread thinly across projects that include retrofitting old Russian and French jet fighters and building helicopters and drones. The company didn’t respond to requests for comment.
Impatient with the delays, India relaxed foreign investment laws and defense procurement rules to kick-start a privately managed jet-fighter industry as its air force struggles to keep its aging fighter fleet in the sky, including MiG-21 jets bought in the 1960s. Since then, U.S. manufacturers Lockheed and Boeing, and Sweden’s Saab, have proposed building jets with Indian partners.
The U.S. hasn’t sold jet fighters to India before, with India’s air force preferring European and Russian manufacturers.
Lockheed also has proposed moving its F-16 production line in Fort Worth, Texas, to India, and training more than 5,000 locals. Its bid also is critical to strengthening military cooperation between the U.S. and India, said Abhay Paranjape, Lockheed’s director of business development in India.
“If you ever want to fight together, you need to train together, and to do that you need to fly the same kind of aircraft,” Mr. Paranjape said. U.S. industry officials said per-unit costs could drop by as much as 20% in India compared with the U.S., potentially driving fresh sales outside India.
Still, it could take Lockheed roughly four years to transfer the Fort Worth F-16 line, which is slated for closure soon when remaining orders for the aging jet type tail off, industry officials said.
A logistics-sharing treaty, signed last month, is the first of three agreements the U.S. wants India to sign to allow for a greater transfer of U.S. military technology, potentially strengthening Lockheed and Boeing’s bids to sell jets in India.
Boeing’s India President Pratyush Kumar said it was aiming to help India build F/A-18 fighters and develop jets in the long term.
Saab’s plan would have it build a second manufacturing plant in Sweden for its Gripen E jet type, train Indian technicians there, and then dismantle and ship the plant to India, said its Indian country head Jan Widerström. Saab hopes to gain an advantage by offering the blueprints for the Gripen’s advanced radar system, Mr. Widerström said.
Saab and its suppliers could help train 20,000 local technicians in coming years if their bid is successful, and build anywhere from 100 to 200 jets for the Indian air force and export customers in places such as Thailand and Malaysia, said Mr. Widerström.
“We’re offering to set up aerospace capability in India for the next 100 years,” he said.
A deal struck in 2012 with France’s Dassault Aviation SA to build Rafale fighters in India fell through last year following disagreements, and was replaced with a smaller plan to import 36 jets. That plan finally was approved by India’s government, and an agreement was signed on Friday.
Similarly, efforts to co-develop a next generation fighter with Russia’s Sukhoi stalled over cost disputes, while a third indigenous jet program aiming to deliver 120 light combat aircraft is behind schedule.
Those programs relied on state-run Hindustan Aeronautics to build and design jets. Defense experts say the company faces a skills shortage as its best engineers are spread thinly across projects that include retrofitting old Russian and French jet fighters and building helicopters and drones. The company didn’t respond to requests for comment.
Impatient with the delays, India relaxed foreign investment laws and defense procurement rules to kick-start a privately managed jet-fighter industry as its air force struggles to keep its aging fighter fleet in the sky, including MiG-21 jets bought in the 1960s. Since then, U.S. manufacturers Lockheed and Boeing, and Sweden’s Saab, have proposed building jets with Indian partners.
The U.S. hasn’t sold jet fighters to India before, with India’s air force preferring European and Russian manufacturers.
Lockheed also has proposed moving its F-16 production line in Fort Worth, Texas, to India, and training more than 5,000 locals. Its bid also is critical to strengthening military cooperation between the U.S. and India, said Abhay Paranjape, Lockheed’s director of business development in India.
“If you ever want to fight together, you need to train together, and to do that you need to fly the same kind of aircraft,” Mr. Paranjape said. U.S. industry officials said per-unit costs could drop by as much as 20% in India compared with the U.S., potentially driving fresh sales outside India.
Still, it could take Lockheed roughly four years to transfer the Fort Worth F-16 line, which is slated for closure soon when remaining orders for the aging jet type tail off, industry officials said.
A logistics-sharing treaty, signed last month, is the first of three agreements the U.S. wants India to sign to allow for a greater transfer of U.S. military technology, potentially strengthening Lockheed and Boeing’s bids to sell jets in India.
Boeing’s India President Pratyush Kumar said it was aiming to help India build F/A-18 fighters and develop jets in the long term.
Saab’s plan would have it build a second manufacturing plant in Sweden for its Gripen E jet type, train Indian technicians there, and then dismantle and ship the plant to India, said its Indian country head Jan Widerström. Saab hopes to gain an advantage by offering the blueprints for the Gripen’s advanced radar system, Mr. Widerström said.
Saab and its suppliers could help train 20,000 local technicians in coming years if their bid is successful, and build anywhere from 100 to 200 jets for the Indian air force and export customers in places such as Thailand and Malaysia, said Mr. Widerström.
“We’re offering to set up aerospace capability in India for the next 100 years,” he said.
—Doug Cameron contributed to this article.
Published on Sep 25, 2016
CONGRESS ATTACKS BJP FOR
BUYING ONLY 36 Rafale JETS.
New Delhi: The Congress on Saturday attacked the BJP-led central government for buying only 36 Rafale fighter jets from France instead of the 126 finalised during the UPA era, saying the situation for the Indian Air Force (IAF) was becoming "critical and volatile".
"During the UPA (United Progressive Alliance), we had planned to buy 126 aircraft to strengthen the IAF. Now that has been reduced to 36 aircraft," Congress leader AK Antony told reporters here.
"As per IAF, 126 was the minimum requirement for their urgent operational requirements," Antony said.
"Sanctioned strength of fighter jets in the IAF is 42 squadrons, and of late, the situation was becoming critical and volatile. The IAF needs more squadrons, current availability of fighter jets is 32 squadrons and by 2022 this will reduce to 25," the former Defence Minister said.
"What is the government`s plan? How will they bridge the gap with respect to China and Pakistan, who are building up their air strength?" Antony asked.
The Congress leader`s remarks come a day after India signed a 7.87 billion euros (about Rs 59,000 crore) deal with France to buy 36 Rafale fighter jets that will meet the IAF`s critical operational requirement for a multi-role combat aircraft and enhance its strategic reach, especially in Pakistan`s context.
"Today we read inspired pieces in some media, which claim the present government has saved money by hard negotiations. That`s not true," Antony said.
"The UPA government was not able to enter into a final contract. Price negotiations were going on," he added.
Citing the complaints of several leaders regarding the high price of Rafale jets, the Congress leader said, "That time I received series of complaints from many responsible quarters including former Finance Minister Yashwant Sinha about the price."
"They said, the price is `highly escalated and inflated, even cost is very high, exorbitantly high` and so on. When I got these complaints I asked the ministry that they will finalise the contract only after all complaints are thoroughly examined," Antony added.
"I said this complaint about `life cycle cost` from very senior politicians should be thoroughly examined by Finance Ministry before we sign contract"," the Congress leader argued.
"When there was a complaint about high prices we decided to inquire and wait for the final decision of Finance Ministry," he said, adding, "So you can`t compare the Rafale deal price during UPA government`s time and now. This spreading of inspired news is not correct."
Antony also said that he did not want to comment on the present price before he knew the exact details. He also requested the government to publish the details of the final contract.
India had decided to ink the deal for 126 Rafale jets in 2012. The deal was estimated to cost $10.2 billion and the plan was to acquire 18 aircraft in fly-away condition and manufacture the rest in India.
However, during Modi`s visit to France in April 2015, India conveyed that it would like to acquire 36 Rafale jets in fly-away condition as quickly as possible in view of the IAF`s critical operational necessity for the multi-role combat aircraft.
Commenting on comparing the price of the deal, the Congress leader said, "There is absolutely no basis in comparing price during UPA`s time and present price because the contract had not been finalised then."
Attacking the Bharatiya Janata Party (BJP) government for not considering the technology transfer of the fighter jets, Antony said, "We had said we will purchase only 18 from France, off-the-shelf and the remaining 108 will be produced in India with HAL (Hindustan Aeronautics Limited)."
"So, the deal was, from abroad - 18 and Make in India - 108. That condition is gone in the present deal. `Make in India` is gone," he alleged.
"In our time there was a provision that technology transfer is a must. I understand there is no such condition in the present contract," Antony said, adding, "This will cost us very heavily."
BUYING ONLY 36 Rafale JETS.
New Delhi: The Congress on Saturday attacked the BJP-led central government for buying only 36 Rafale fighter jets from France instead of the 126 finalised during the UPA era, saying the situation for the Indian Air Force (IAF) was becoming "critical and volatile".
"During the UPA (United Progressive Alliance), we had planned to buy 126 aircraft to strengthen the IAF. Now that has been reduced to 36 aircraft," Congress leader AK Antony told reporters here.
"As per IAF, 126 was the minimum requirement for their urgent operational requirements," Antony said.
"Sanctioned strength of fighter jets in the IAF is 42 squadrons, and of late, the situation was becoming critical and volatile. The IAF needs more squadrons, current availability of fighter jets is 32 squadrons and by 2022 this will reduce to 25," the former Defence Minister said.
"What is the government`s plan? How will they bridge the gap with respect to China and Pakistan, who are building up their air strength?" Antony asked.
The Congress leader`s remarks come a day after India signed a 7.87 billion euros (about Rs 59,000 crore) deal with France to buy 36 Rafale fighter jets that will meet the IAF`s critical operational requirement for a multi-role combat aircraft and enhance its strategic reach, especially in Pakistan`s context.
"Today we read inspired pieces in some media, which claim the present government has saved money by hard negotiations. That`s not true," Antony said.
"The UPA government was not able to enter into a final contract. Price negotiations were going on," he added.
Citing the complaints of several leaders regarding the high price of Rafale jets, the Congress leader said, "That time I received series of complaints from many responsible quarters including former Finance Minister Yashwant Sinha about the price."
"They said, the price is `highly escalated and inflated, even cost is very high, exorbitantly high` and so on. When I got these complaints I asked the ministry that they will finalise the contract only after all complaints are thoroughly examined," Antony added.
"I said this complaint about `life cycle cost` from very senior politicians should be thoroughly examined by Finance Ministry before we sign contract"," the Congress leader argued.
"When there was a complaint about high prices we decided to inquire and wait for the final decision of Finance Ministry," he said, adding, "So you can`t compare the Rafale deal price during UPA government`s time and now. This spreading of inspired news is not correct."
Antony also said that he did not want to comment on the present price before he knew the exact details. He also requested the government to publish the details of the final contract.
India had decided to ink the deal for 126 Rafale jets in 2012. The deal was estimated to cost $10.2 billion and the plan was to acquire 18 aircraft in fly-away condition and manufacture the rest in India.
However, during Modi`s visit to France in April 2015, India conveyed that it would like to acquire 36 Rafale jets in fly-away condition as quickly as possible in view of the IAF`s critical operational necessity for the multi-role combat aircraft.
Commenting on comparing the price of the deal, the Congress leader said, "There is absolutely no basis in comparing price during UPA`s time and present price because the contract had not been finalised then."
Attacking the Bharatiya Janata Party (BJP) government for not considering the technology transfer of the fighter jets, Antony said, "We had said we will purchase only 18 from France, off-the-shelf and the remaining 108 will be produced in India with HAL (Hindustan Aeronautics Limited)."
"So, the deal was, from abroad - 18 and Make in India - 108. That condition is gone in the present deal. `Make in India` is gone," he alleged.
"In our time there was a provision that technology transfer is a must. I understand there is no such condition in the present contract," Antony said, adding, "This will cost us very heavily."
