February 14, 2013 by Shiv Aroor - Livefist

This is an unedited statement by the MoD on the acquisition of VVIP helicopters for the IAF, currently suspended after the arrest of Finmeccanica CEO Giuseppe Orsi.

The Facts: In August 1999, the IAF which is responsible for carrying out VVIP communication task, proposed the replacement of Mi-8 VIP helicopters due to severe operational constraints, such as, inability of Mi-8 to operate at night and in adverse weather, inability to operate safely at places in elevation beyond 2000 meters etc. IAF felt the need for the replacement of Mi-8 helicopters as they were completing their total technical life.

2.           A global RFP was issued in March 2002 to which 4 vendors responded. The Technical Evaluation Committee shortlisted 3 helicopters and accordingly flight evaluations were conducted.  Since, EH-101 of M/s. AgustaWestland was not certified for an altitude of 6000 meters, it did not participate in the flight evaluation. The Russian helicopter Mi-172 could not comply with 7 mandatory Operational Requirements (ORs).  After flight evaluation, EC-225 of M/s. Eurocopter, France was found suitable for acquisition.

3.           On November 19, 2003 a meeting was taken by Principal Secretary to PM on this subject.  In the meeting, Principal Secretary observed that his main concern was that the framing of the mandatory requirements has led us effectively into a single vendor situation.  It was also noted that PM and President have rarely made visits to places involving flying at an altitude beyond 4500 meters.  In the meeting it was decided to make the mandatory requirement for operational altitude 4500 meters.  The higher flying ceiling of 6000 meters, and a cabinet height of 1.8 meters could be made desirable operational requirements.  It was observed that with these revisions, several helicopters which otherwise met all requirements but had been rejected due to the altitude restriction, would now come into the reckoning.

4.           The meeting was followed by a letter dated 22nd December, 2003 from the Principal Secretary to PM to the Air Chief, stating that it was unfortunate that neither PMO nor SPG was consulted while framing these mandatory requirements.  He suggested that CAS and Defence Secretary may jointly review the matter to draw up realistic mandatory requirements satisfying operational, security and convenience requirements of VVIPs and also set in motion a fast track process for selection and acquisition of the replacement helicopters.

5.           In pursuance of the above directive, the ORs were deliberated at length between IAF, NSA, SPG/PMO and MoD between March, 2005 to September, 2006 and the above indicated changes were incorporated.

6.           The required numbers of helicopters for the entourage of VVIP was further deliberated between Air HQ, MoD and SPG/PMO. The quantity of helicopters proposed for procurement was revised from 8 to 12 helicopters by adding 4 helicopters in non-VIP configuration for security reasons.

7.           The AON for the procurement of 12 helicopters was accorded by the Defence Acquisition Council under ‘Buy’ category with 30 percent offsets on 3rd January, 2006.  RFP was issued to 6 vendors on 27th September, 2006.

8.           Three vendors, namely M/s Sikorsky, USA (S-92 helicopter), M/s AgustaWestland, UK (EH-101 helicopter) and M/s. Rosoboronexport, Russia (Mi-172 helicopter) responded to the RFP.

9.           M/s. Rosoboronexport did not submit earnest money deposit and the Integrity Pact, along with their Technical and Commercial proposals. It had been made clear to M/s Rosoboronexport in February 2007 that this was a global tender and hence every contractual clause would be the same for all vendors.  As no Integrity Pact and Earnest Money Deposit were received from M/s Rosoboronexport, their Techno-Commercial offer was not accepted.

10.       The Technical Evaluation Committee evaluated the technical proposals of M/s Sikorsky and M/s AgustaWestland and recommended field evaluation trials of their helicopters.

11.       The Field Evaluation Trial of M/s AgustaWestland was carried out in UK and trials of M/s Sikorsky were carried out in USA from 16 January 2008 to February 2008.  The Field Evaluation Trial team submitted its report in April 2008 and recommended AW-101 helicopter of M/s AgustaWestland for induction into Service.  SPG was also part of the Field Evaluation Trial team.

12.       The Staff Evaluation Report of Air HQ concluded that the S-92 helicopter was non-compliant with respect to four SQRs for the VVIP helicopter (Missile Approach Warning System, Service Ceiling of 4.5 km, Drift Down Altitude and Hover Out of Ground Effect).  The Staff Evaluation Report assessed the VVIP helicopter AW-101 to be fully compliant with all SQRs.

13.       Technical Oversight Committee constituted on 6 August 2008 found that the field evaluation trials, compliance to SQRs and selection of vendors were done according to the prescribed procedures.

14.       Contract Negotiation Committee (CNC) was constituted and it carried out its discussions with the vendor between 19 September 2008 and 21 January, 2009.  While the CNC was progressing its discussions, Air HQ, recommended inclusion of Traffic Collusion Avoidance System (TCAS-II) and Enhanced Ground Proximity Warning System (EGPWS) for all 12 helicopters and SPG/PMO recommended inclusion of Medevac System for 8 VVIP helicopters.  These additional equipment were considered to be essential for safe and effective operation of the helicopter in VVIP transportation role.  SPG also agreed to these requirements.  The CNC, thereafter, recommended conclusion of the contract at a negotiated price of EURO 556.262 million. 

15.       On completion of CNC the proposal was submitted for approval of the Cabinet Committee on Security (CCS).  The CCS considered the proposal in its meeting held on 18 January 2010 and approved the proposal.

16.       In pursuance of the decision of the CCS the Ministry of Defence concluded a contract for the supply of 12 AW-101 VVIP helicopter with M/s AgustaWestland, UK on 08 February, 2010.

17.       The procurement case was, thus, progressed in accordance with the established procurement procedure in a transparent manner with all stages of procurement being followed meticulously.   Security aspects as required by SPG/PMO and IAF were fully taken into consideration.  The role of PMO which began in 2003 was to ensure that security, communication and other requirements of VVIP security were taken care of and the helicopter for VVIP use is selected on the basis of broad based QRs.

18.       Contract signed with M/s. AgustaWestland includes specific contractual provisions against bribery and the use of undue influence.  Article 22 of the contract deals with penalty for use of undue influence.  This clause entitles the ‘Buyer’ to cancel the contract with the ‘Seller’ and recover from him the amount of any loss arising from such cancellation.  Article 23 of the contract dealing with agents and agency commission requires the ‘Seller’ to confirm and declare that he has not engaged any individual or firm, whether Indian or foreign, whosoever, to intercede, facilitate or in any way to recommend to the Government of India or any of its functionaries, whether officially or unofficially, to award of the contract to the ‘Seller’ nor has any amount been paid, promised or intended to be paid to any such individual or firm in respect of any such intercession, facilitation or recommendation.  This clause further entitles the ‘Buyer’ to consider cancellation of the contract without any entitlement or compensation to the ‘Seller’ who shall be liable to refund all payments made by the ‘Buyer’ in terms of the contract along with interest.

19.       In addition to the above contractual provisions, M/s. Agusta Westland has signed an Integrity Pact with the Government.  The validity of this Integrity Pact is from the date of its signing and extends up to five years or the complete execution of the contract whichever is later.  Under the Integrity Pact, the bidder commits himself to take all measures necessary to prevent corrupt practices, unfair means and illegal activities during any stage of the bid or during any pre-contract or post-contract stage.  Any breach of the provisions of the Integrity Pact entitles the ‘Buyer’ to take actions against the ‘Seller’ which includes forfeiture of the earnest money, performance bond, cancellation of the contract without giving any compensation, to recover all the sums already paid with interest, to cancel any other contracts with the bidder and to debar the bidder from entering into any bid from the Government for a minimum period of five years which may be extended, etc.

20.       As regards, the allegations of unethical dealings in helicopter procurement case including involvement of middleman and payment of bribes etc., the first report in the media appeared in February 2012.

21.       Immediately (the next day after the news item appeared in the papers) DG(Acq) in MoD sought a factual report in the matter from our Embassy in Rome.

22.       MoD also noted the report in the ‘Hindu’ of 28.2.2012 that, quoting Finmeccanica, states that its subsidiary AgustaWestland is not involved in “any irregularity in the deal”.

23.       Subsequently, MoD received more than one communication from M/s AgustaWestland confirming that the statements in the press are “completely    unfounded and have been issued with malicious intent” and that “no commissions whatsoever were paid” in the case.

24.       In April 2012, MoD wrote again to our Embassy in Rome seeking an update.

25.       A detailed report on the status of the case was received from our Embassy in Rome in May 2012.  The report made it clear that there are inherent difficulties in obtaining formal details of the case given the independence of the judiciary from the executive in Italy.

26.       MoD in July 2012 wrote to our embassy in Rome stating that it could approach the concerned judicial authorities directly.  A formal request was indeed made by the embassy to the Naples prosecutors office on July 16, 2012.

27.       Since factual information was difficult to arrive at, Defence Secretary wrote to Secretary (West), MEA, in October 2012 reiterating the importance of the need to get information from the Italian authorities so that MoD could take further necessary action in this regard.

28.       MEA’s response again was that the matter had been taken up with the Italian side and the position conveyed for the need for ‘reliable information’, for “news reports alone could not be the basis for the Ministry of Defence to make any preliminary determination”.

29.       In October 2012 Defence Secretary also wrote to Secretary (West) to take up the matter with the Government of U.K.  in view of the alleged involvement of a British citizen and the fact that the contract was signed with M/s AgustaWestland, U.K.

30.       In November 2012, Secretary (West), MEA, replied to Defence Secretary stating that ‘the U.K. authorities were waiting for the results of the Italian investigation in order to ascertain whether there are further actions to take’.

31.       Earlier, in connection with the letter received from one

Mr. Edmund Allen of Ganton Limited, USA, MoD had written on 19.4.12 to CBI and Enforcement Directorate for necessary action, as Abhishek Verma and others were also being named in various media reports in connection with several defence deals.  Later, Enforcement Directorate informed MoD in July 2012 that they were enquiring into the allegations.

32.       In November 2012, a letter was received in MoD from the Director, Income Tax (Investigations) regarding allegations against Indians possibly involved in the deal as middlemen and seeking information about them.  The current status of the case was conveyed to the income tax authorities in January 2013; in return, MoD asked Income Tax to share with it any ‘credible information’.

33.       Throughout the process of this case, MoD has been prompt to take action on newspaper reports, and to seek factual information from the concerned authorities.  Since foreign governments are involved, MoD has consistently pursued the matter though MEA.

34.       As soon as information was available of one concrete step having been taken by the concerned foreign investigative authorities, namely, the arrest of Mr. Giuseppe Orsi, CEO, Finmeccanica on Feb 12, 2013. MoD handed over the case to CBI for investigation and put on hold all further payments to Agusta Westland.  Besides this, the Indian Embassy has been requested to provide the factual position and any other relevant information.  The CEO of M/s AgustaWestland has also been asked to categorically state the clear position in view of the current developments indicating specifically if any financial transaction has taken place with any Indian individual / entity which would be violative of the Integrity Pact or any other terms and conditions of the contract.

35.       As already mentioned above, both the contract and integrity pact signed with M/s AgustaWestland, U.K., contain specific provisions by which strict action including cancellation of contract, recovery of payment, blacklisting and penal action can be taken against the vendors.  Government is determined to take all possible legal and administrative action against the guilty parties and accordingly has ordered a thorough probe by CBI.

Feb 7, 2013 Russian Radio

Trials of the underwater version of Indo-Russian supersonic ‘BrahMos’ cruise missile for submarines have been scheduled for early March, an official of the company told Russian media on the sidelines of Aero India 2013 expo, which opened in Bangalore yesterday.

According the official Russia is ready to offer India ‘Amur-1650’ submarines armed with Club and BrahMos cruise missiles. Presently the Russian submarine project is armed with Club cruise missiles launched from horizontal torpedo tubes; the Indian navy is well acquainted with theme.

BrahMos can find its place on ‘Amur-1650’ submarine in an additional compartment with vertical launch tubes. BrahMos missile jointly produced by Indo-Russian “BrahMos Aerospace” is capable of hitting targets within the range of 290 kilometres flying at the height of 10 metres over the surface. BrahMos cruise missiles have been already inducted in Indian Army and surface ships of the Indian Navy.

February 05, 2013 business-standard.com (PTI)

The much-delayed indigenous Light Combat Aircraft (LCA) Tejas aircraft is expected to be ready for induction into operational service by 2015, IAF chief Air Chief Marshal N A K Browne said today.

Talking to reporters, the IAF chief said the indigenous aircraft will have to be modified further for operating in high-altitude areas as recently during trials in Leh, its engine "did not work".

"By my estimate it (the Initial Operational Clearance II) should be by the end of this year and the Final Operational Clearance (FOC) should take another year-and-half more," he said on the sidelines of a seminar.

The FOC is the final nod required before an aircraft is considered to be ready for operational deployment in an air force. While the IOC I of the LCA Tejas was completed two years ago, but the FOC date has been postponed due to certain issues.

Browne said delays do take place in a development project such as the LCA. "Recently we went for high-altitude trials. The engine (of LCA) did not work at that altitude because it is a different cup of tea. Even the Su-30, when it was taken to Leh, it had to be modified. So, the LCA will have to be modified. It has to do the retrials," he said.

The IAF chief said the aircraft will take part in the exercise 'Ironfist', which will be held at Pokharan in Rajasthan on February 22.

"There it will be firing the R-73 missile along with laser guided bombs etc. But a lot more work is still required," he said.

Earlier at an international seminar here, DRDO chief V K Saraswat said the LCA had completed 2,000 test flights.

At the same seminar, Browne said the IAF is planning to induct around 350-400 aircraft in the 12th Defence Plan period.

The air force is planning to procure more than 200 fighter aircraft including the 126 Rafale medium-multirole combat aircraft, over 40 Su-30MKIs, several types of transport aircraft and various choppers, he said.

Listing the major modernisation milestones achieved by the air force, he said the IAF signed 325 contract worth Rs 1.52 lakh crore for modernising the force.

"Of these, 217 contracts worth around Rs 84,000 crore have been signed with Indian companies," the IAF chief said.

In 2013-14, the IAF is planning to sign several deals including one for 126 Rafale aircraft, additional six C-130J Super Hercules and several chopper contracts for attack and heavy-lift category, he said.

On the future requirements of the force, he said advanced active electronically scanned array (AESA) radars, electronic warfare suites and unmanned combat aerial vehicles were the need of the force in the future.

The IAF chief said testing facilities of DRDO and defence PSUs should be opened up for private sector as they are national assets.

MOSCOU, 5 février - RIA Novosti

La Russie livrera d'ici 2014 à la Marine indienne sept chasseurs embarqués Mig-29K/KUB, a annoncé mardi le directeur du Service fédéral russe pour la coopération militaire et technique (FSVTS) Alexandre Fomine.

"En application du contrat signé en 2010 sur la livraison de 29 MiG-29K/KUB, les quatre premiers chasseurs ont été fournis [à la Marine indienne en décembre 2012]. Sept autres appareils doivent être livrés avant la fin de l'année 2013", a indiqué M.Fomine qui conduit la délégation russe au salon international de l'aéronautique et de l'espace Aero India 2013.

Les MiG-29KUB sont des chasseurs multirôles embarqués destinés à assurer la suprématie aérienne, à remplir des missions de défense antiaérienne, à atteindre des cibles de surface avec des armes de précision, de jour comme de nuit, quelles que soient les conditions météo.

TEL AVIV, Israel, Feb. 4 (UPI)

Israel may be on the brink of major defense sales to India following a visit by India's air force commander, Air Marshal Nak Browne.

Military sources say Browne was particularly interested in upgrading India's fleet of Israeli-built unmanned surveillance vehicles and acquiring the advanced missile defense systems that Israel's high-tech defense industry, the most advanced in the Middle East, is developing.

India has been discussing a possible "buy and build" deal involving the Iron Dome system, the only one of four air-defense systems under development to have been tested in combat, for some time.

The Indians also want to produce the system, developed by Rafael Advanced Defense Systems, under license.

Israel's Globes business daily reported in December that the Indians say Israel has agreed to such a sale. But there could be a major hitch because the United States provided much of the financing for Iron Dome's development and the Pentagon may not want the technology transferred to India, even though it's a leading U.S. ally.

India has also expressed interest in Israel's Arrow-2 anti-ballistic missile system manufactured by Israel Aerospace Industries and the Boeing Co. of the United States. But the technology transfer involved could impede any sale since U.S. approval would be required.

With a significant slowdown in the growth of high-tech exports to the United States and Europe, Israeli defense exporters are shifting their marketing focus to Asia.

Browne, who visited Israel in late January, met with outgoing Defense Minister Ehud Barak, Chief of Staff Lt. Gen. Benny Gantz and Israeli air force commander Maj. Gen. Amir Eshel.

The Indian air chief served in Israel as India's first military attache after New Delhi recognized India in 1997.

India is the world's biggest arms importer. Its total military expenditure in 2011, excluding nuclear weapons, was $44.28 billion, the Stockholm International Peace Research Institute states.

India is expected to spend up to $150 billion at home and abroad on modernizing its military over the next decade but the Indian government and military chiefs have urged an accelerated drive to build up a national defense industry to reduce military imports and is pressing suppliers like Israel to participate in joint ventures if they want a piece of India's defense business.

New Delhi also wants to bolster self-reliance as it seeks to extend its military reach beyond its home waters, in part to counter Chinese expansion into the Indian Ocean.

In October 2012, Israel Aerospace Industries, flagship of the Jewish state's defense sector, reportedly secured a $958 million contract from India's military to upgrade its IAI-built Heron and Searcher unmanned aerial vehicles.

UAVs are some of the biggest money-spinners for Israel's defense industry and India, which is engaged in a massive multiyear rearmament program, is a key customer.

Indian media reported that the deal covered some 150 UAVs acquired from IAI since the 1990s that are operated by India's army, air force and navy.

IAI won a $1.1 billion deal with the Indian navy in 2009 to provide advanced Barak-8 tactical air-defense missile systems for its warships.

The Indian army is jointly funding a project to adapt the Barak 8 into a multi-purpose weapons system.

Also in 2009, Rafael secured a $1 billion contract with New Delhi for 18 Spyder surface-to-air missile systems by 2012.

IAI sold the Indian air force three Phalcon early warning aircraft worth $1.1 billion in 2004.

All told, Israeli companies have sold India weapons and other military systems worth more than $10 billion over the last decade or so.

In 2007, Israel dislodged France as India's second largest arms supplier after Russia but there have been bumps.

In March 2012, India blacklisted state-owned Israel Military Industries, a major arms manufacturer, barring it from bidding for Indian defense contracts for 10 years on suspicion of involvement in a 2009 corruption scandal.

Israel's Haaretz daily observed at the time that the Indian decision was "expected to significantly impact IMI's activities in India, as well as that of other Israeli defense firms."

Israel is now one of the world's leading arms exporters, with most of its key customers in Asia and the developing world.

January 21, 2013 Claude Arpi - rediff.com

The People's Daily, the Chinese Communist newspaper, says the sale of the Rafale fighter plane 'encourages, excites and spurs India's appetite and ambition to become a great military power while intensifying its aggressive and expansionist tendencies, which poses a serious threat to peace and stability in Asia.'

Does India have a choice, considering the People's Liberation Army's frantic speed of development, wonders Claude Arpi.

There were six in contention; four were dropped, and one became the Chosen One: The Rafale.

In French, 'Rafale' poetically means a 'sudden gust of wind.'

It was one of the six fighter aircraft in competition for the Medium Multi-Role Combat Aircraft, MMRCA, when the Indian Air Force wanted to acquire 126 polyvalent fighter planes.

In April 2011, the IAF shortlisted two birds -- the Rafale produced by Dassault Aviation and the Eurofighter (known in Europe as 'Typhoon') from EADS, the European consortium.

It was a big deal worth $12 billion. You can imagine the stakes, especially for Dassault which a few months earlier, was unsuccessful in exporting its flagship plane to Brazil and the Emirates.

Finally on January 31, 2012, the IAF announced that the Rafale was the chosen one.

The 'deal of the century' was that 18 Rafales would be supplied in fly-away condition by Dassault to the IAF by 2015 (or three years after the signature of the contract) and the remaining 108 pieces would be manufactured in India under a transfer of technology agreement.

The concurrent company did not let go easily and a lot of lobbying started. The British prime minister wanted Delhi to explain the reasons of favouring the French. 'The Typhoon is a superb aircraft, far better than the Rafale,' David Cameron said, adding: 'Of course, I will do everything I can --- as I have already -- to encourage the Indians to look at the Typhoon, because I think it is such a good aircraft.'

Interestingly, the Chinese were also unhappy with the selection of the Rafale by the IAF, but for other reasons.

An article published in The People's Daily (French edition only) argued that India and France were supposed to be non-violent countries, how could they ink such a deal?

The Chinese Communist Party newspaper affirmed: 'During the twentieth century in France there was a great writer called Romain Roland (1866-1944), the Nobel Laureate for Literature, who was strongly opposed to war. In India, there has been an illustrious politician named Mohandas Karamchand Gandhi (1869-1948) who was a pacifist leader, known worldwide for his fights against violence.'

'At present, their homelands are engaged in a sinister and repulsive arms race, which shakes and profoundly changes the international scene. If by chance these two great and illustrious men were still alive, what would they feel about this selfish and pernicious transaction and what opinion would they give in this matter?'

Is it not amusing that the Chinese Communist Party's mouthpiece today quotes Gandhi in connection with the Rafale deal?

The People's Daily article also says the sale of the Rafale 'encourages, excites and spurs India's appetite and ambition to become a great military power while intensifying its aggressive and expansionist tendencies, which poses a serious threat to peace and stability in Asia.'

Well, does India have a choice, considering the frantic speed of development of the PLA (People's Liberation Army), PLAAF (Chinese Air Force) and PLAN (Navy)?

A few months later, an Indian MP alleged that there had been 'manipulation in the evaluation process'.

This eventually delayed the process as an independent investigation had to be conducted; it finally concluded that the evaluation was conducted according to the RFP (Request for Proposal) terms and defence procurement procedures. The intricate negotiations thus lost several months.

Once the hurdle created by the MP was removed, it was reported that in September, while in Bangalore, Air Chief Marshal N A K Browne stated that the process continued: 'The negotiations are absolutely on. We hope that at least this financial year, we should be able to finish the negotiations and finalise the deal... It is a very complex project, as we are discussing various areas like transfer of technology, the offset clause, what Hindustan Aeronautics Ltd will do and the cost as well.'

Dassault had some doubts about HAL's capacity to produce 108 aircraft; probably with reason, looking at the fate of the Tejas project which has taken more than 30 years to take off.

On November 6, Rakesh Sood, the Indian ambassador in France, told the Indian Journalists Association at India House in London that the contract would soon be concluded. 'The Rafale deal is in the final stages and hopefully, it should be concluded in the next 3 to 4 months.'

The negotiation, Sood added, was a hugely complex exercise. 'Along with that a pretty stringent clause has been put for transfer of technology, (there is an) offset clause, and Dassault Aviation has accepted them.'

At that time, it was probably thought that the signature of the deal could be synchronised with French President Francois Hollande's visit to India. Though Sood had certainly not read the French edition of The People's Daily, he spoke of France's 'long interest in Indian civilisation', adding 'recently a (French) lady had produced a nine volume Ramayana in French... Indian music, yoga and films are quite popular in France.'

Sood's conclusions about the civilisational closeness between India and France were not similar to Beijing's: India needed the Rafales. But it was not considering the cash crunch. The Indian economy was not doing as well as Montek Singh Ahluwalia, deputy chairman of India's Planning Commission, had announced, and the fiscal deficit had to be cut, Finance Minister P Chidambaram said.

Last May, Defence Minister A K Antony told Parliament that his ministry would seek a hike in the Rs 193,408 crore (Rs 193 trillion) defence outlay of the 2012-2013 budget as only a budget increase could take care of the threat of the China-Pakistan military nexus. Antony spoke of 'new ground realities' and the 'changing security scenario'.

But with the changing scenario, the Indian defence ministry announced it had to prioritise its expenditure for the remaining months of the financial year. The ministry decided to focus on purchases that would impact on the armed forces' operational preparedness.

For example, the ministry planned to speed up infrastructure development in Arunachal Pradesh, buy ammunition to end shortages and acquire high-value assets, from aircraft to warships.

In December, the finance ministry announced that the armed forces's modernisation budget would be slashed by around Rs 10,000 crore (Rs 100 billion) in the forthcoming Budget.

The Rafale deal would have to wait for the next financial year, along with the artillery guns modernisation programme (Rs 20,000 crore/Rs 200 billion), and the creation of a new mountain corps to counter China (Rs 65,000 crore/Rs 650 billion).

In the plan expenditure, the government has already allotted Rs 55,000 crore (Rs 550 billion) for the MMRCA deal. But this was five years ago and cost escalations are bound to have crept in, which might prove to be a serious problem.

The Times of India commented: 'The move will lead to a major slowdown in the ongoing acquisition projects. It also makes it clear that the already much delayed $20 billion MMRCA project to acquire 126 fighters will not be inked anytime before March 31.'

Though the IAF had been promised an additional Rs 10,000 crore to cater for the first installment of Rafales, defence expert, Major General Mrinal Suman (retd) told The New Indian Express that the budgetary cuts would impact 'all acquisitions in the pipeline, as they become easy targets.'

A gloomy scenario

It is in these circumstances that a new development occurred -- Foreign Minister Salman Khurshid visited Paris last week. While many had doubts about the deal, Agence France Press reported that India could buy up to 189 Rafales instead of the 126.

Apparently, Khurshid raised the possibility of an additional 63 jets being added to the shopping list. A source told AFP: 'There is an option for procurement of an additional 63 aircraft subsequently for which a separate contract would need to be signed.'

The deal would then mean a staggering $18 billion contract, which would be a great boon for the French defence industry, but costly for India though Indian suppliers could secure work equivalent to 50 per cent of the total value with the clause currently under negotiations.

Khurshid seemed confident during his visit to Paris. 'We know good French wine takes time to mature and so do good contracts. The contract details are being worked out. A decision has already been taken, just wait a little for the cork to pop and you'll have some good wine to taste.'

His counterpart Laurent Fabius said, 'The final decision belongs to the Indian government in its sovereignty. But from what I am told by my colleague minister of India things are progressing well, and I can confirm the full support of the French government.'

Another issue which might slightly delay the deal is that the IAF requires two-seater jets and not the one-seater model presently produced by Dassault, but this should be solved in due time.

The People's Daily had said, 'The delirious and bustling feeling of excitement from the French side resembles the behavior of Fanjin, which had a fit of madness upon learning that he was successful in the three-year provincial tests (under the Ming and Qing dynasties).' It is not exactly the attitude of the French (and the Indian) authorities who are progressing slowly, but surely towards an agreement, which is very important for both countries.

One can however understand that the Chinese are nervous.

Major General Luo Yuan, a well-known Chinese expert on military issues, recently quoted the ancient Art of War: 'The best policy in war is to thwart the enemy's strategy; the second best is to disrupt his alliances through diplomatic means; the third best is to attack his army in the field; the worst policy of all is to attack walled cities,' his conclusion was that to thwart the enemy's strategy, deterrence is the key.

It is valid for India too; too much delay in the 'deal' won't be good.

January 9, 2013: Strategy Page

The Indian Air Force is facing yet another round of embarrassment over the mismanagement of its pilot training program. This time it was the news that a quarter of its Hawk jet trainers were out of action because of an avoidable spare parts shortage. This is not the first time the Indian Hawks have embarrassed the air force leadership. The Hawks were, in fact, meant to take care of an earlier leadership failure.

This came from the fact that India has long had problems with advanced trainers or, rather, the lack of them. For a long time new pilots went straight from propeller driven trainer aircraft to high performance jets like the MiG-21. This was fatal for many of those new pilots. The MiG-21 has always been a tricky aircraft to fly. Pilots normally get some time on a jet trainer aircraft before taking on a jet fighter. The Indian approach resulted in a high loss rate from peacetime accidents. The solution to this was obtaining a jet trainer but it took decades for this simple solution to make its way through the defense procurement bureaucracy.

Eight years ago, after two decades of effort, BAE Systems finally sold 66 Hawk jet trainers to India, at a cost of some $25 million each. The delays were caused by the Indian unwillingness to spend the money, plus the efforts of French, Russian, Czech, and American aircraft manufacturers to put forward their own candidates. Finally, the growing number of Indian MiG-21 aircraft lost forced the government to close the deal. The Hawk advanced jet trainers are the most successful Western aircraft of this type, at least in terms of sales (over 900 have been sold). The U.S. Navy uses the Hawk and India felt the Hawk was the most suitable for preparing MiG-21 pilots, as this nine ton aircraft was designed to train pilots who will eventually fly jet fighters. The Hawk can also be armed and used for ground attack. Four years ago India decided to buy another 40 British Hawk jet trainers.

India has also had problems with basic (propeller driven) trainers. This has recently been addressed as well. Last May the Indian government finally agreed to buy 75 Pilatus PC 7 trainer aircraft for the Indian Air Force. The aircraft cost $7.5 million each and begin to arrive this year. It took the air force several years to get approval. In the meantime, pilot training and flight safety suffered because of the shortage of basic trainers.

There are actually three different aircraft trainers Indian pilots use during their flight schooling. All of the current ones are elderly and overworked. The HPT-32 is used for primary (basic) flight training. Intermediate training uses the Kiran Mark II and then the Hawk Jet Trainer is used for advanced training for fighter pilots. After that the pilots are sent to combat units where they learn how to operate a specific type of aircraft.

Back in 2009, all 116 HPT 32 basic trainers had to be grounded because of age related problems. HPT reliability has gone down even more since then. The HPT 32 entered service three decades ago and there have been over a hundred serious accidents, killing 23 instructor and trainee pilots. Because of the HPT 32 problems the 96 Kiran Mk1 intermediate trainers had to increasingly be used for both basic and intermediate training. These aircraft are being worn out but even then most pilot trainees are only getting a third of the required hours before being moved along in their flight training. This leads to more accidents as pilots are pushed into the next phase of their training without adequate flight time.

For over three years the air force has been trying to get permission to buy 75 Pilatus PC 7 single engine turboprop trainers to replace the HPT 32s. While the HPT-32 was designed and manufactured in India, the Swiss built Pilatus was seen, by Indian pilot training experts, as a better choice. The PC 7 is a two seat, 2.7 ton aircraft. The instructor sits behind the trainee and both have an ejection seat. Nearly 500 PC 7s have been built in the last three decades and they are used by 24 nations. But because the Pilatus is a foreign aircraft, buying it has become a political issue and the actual purchase was continually delayed by politicians or Indian aircraft manufacturers. Indian pilots made it clear that they did not want another HPT 32.

December 25, 2012 By J. Michael Cole - Flashpoints

Months of speculation about the possible development of an air-launched version of the Indo-Russian BrahMos supersonic cruise missile finally came to a head, with India and Russia announcing they had signed a co-development deal, with plans for a test-fire within six months.

The deal was made public a day before Russian President Vladimir Putin was scheduled to arrive in New Delhi to attend a one-day summit on Monday, where he held talks with Prime Minister Manmohan Singh. Prior to his departure, Putin pledged to strengthen defense ties with India. In an op-ed published in The Hindu, Putin emphasized that joint development of advanced weapons, rather than the traditional purchase by India of Russian technology, would be “key to future relations.”

India is the world’s largest arms importer, with Russian technology accounting for between 60 and 70 percent of total acquisitions. New Delhi intends to spend upwards of U.S.$100 billion over the next decade to upgrade its predominantly Soviet-era military.

Putin’s visit — his first since he returned to the presidency in May — will seek to dispel rumors that Russian-Indian ties are strained following Moscow’s decision to delay Putin’s visit that was initially scheduled for the end of October. Among other things, Russia has since reaffirmed its intention to share advanced defense technology with India and to jointly develop a fifth-generation Sukhoi fighter aircraft as part of an U.S.$11 billion R&D program.

During the summit, the two sides also signed defense deals totaling U..S$2.9 billion, including a U.S.$1.6 billion contract for 42 Sukhoi Su-30MKI fighters, as well as $1.3 billion for 71 Mi-17 V5 medium-lift helicopters (adding to the 80 already purchased in a previous deal), 970 aircraft engines, and tank missiles.

Ahead of Putin’s visit on Monday, the two sides also signed a deal to develop and install 216 air-launched variants of the two-stage BrahMos (the name comes from the merger of two major rivers, Brahmaputra in India and Moskva in Russia) on 45 aircraft. Installation of the BrahMos on the Su-30s will require some fuselage work.

According to the Indian Defense Ministry, the agreement was signed in New Delhi between BrahMos Aerospace, Rosoboronexport — Russia’s state intermediary agency for the export and import of military and dual-purpose products — and the Sukhoi Design Bureau. The concept of integrating BrahMos missiles on Su-30MKIs goes back to at least 2010, when it was announced that between 40 and 100 aircraft were to be outfitted with the supersonic cruise missile as part of the “Super 30” upgrade program.

The Indian Cabinet Committee on Security recently cleared a proposal by the Indian Air Force (IAF) to acquire BrahMos missiles for their integration with their Su-30MKIs. A first test of the air-launched version is to be held by the middle of 2013, with two IAF Su-30MKIs, modified by Hindustan Aeronautics Limited, to be outfitted with BrahMos launchers. According to reports, the air-launched version of the BrahMos will integrate geo-location data from the Global Navigation Satellite System (GLONASS), which currently provides primary navigation for Russia’s Kh-555 and the Raduga Kh-101 long-range air-launched cruise missiles. It was first reported in 2010 that the BrahMos would be outfitted with GLONASS receivers.

Once integrated, the air-launched BrahMos will give the IAF a long-range strike capability and the means to launch air attacks beyond the envelope of Pakistan’s relatively primitive air defense systems. With a range of approximately 290 km, the “fire-and-forget” missile carries a 300 kg (660 pounds) conventional warhead and can reach a speed of Mach 2.8 at levels as low as 30 feet.

With the BrahMos already inducted in the Indian Army and Navy, its integration into the IAF will close the supersonic cruise missile triad for the Indian armed forces. A submarine-launched version is also in development.

21.12.2012 Pacific Sentinel

December 19, 2012 by Shiv Aroor - Livefist

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7 décembre 2012 par Daniel Favre – INFO-AVIATION

L’Inde négocie actuellement avec la Russie une modernisation supplémentaire de 80 chasseurs Su-30MKI afin de les élever au niveau du Super-30. L’opération pourrait se chiffrer à 1 milliard de dollars (source : Russia & India Report).

Cette modernisation concernerait le lot de 80 chasseurs Su-30MKI* déjà achetés à la Russie (consortium Suhkoï/Irkout). Les avions Su-30MKI sont livrés à l’Indian Air Force (IAF) en quatre étapes. Selon le plan actuel, leur modernisation devrait être réalisée au cours des trois ou quatre prochaines années.

Au total, l’Inde possède 170 appareils Su-30MKI. L’IAF envisage aussi d’acheter 272 avions supplémentaires. Une commande pour 230 appareils a été déjà passée.

Ce contrat se cumulerait donc au contrat de modernisation Super-30 de 42 Su-30MK livrés à l’Inde entre 1997 et 2004, chiffré à 3,77 milliards de dollars et qui est susceptible d’être signé lors de la visite du président russe Vladimir Poutine à New Delhi le 24 décembre.

La modernisation Super-30 prévoit entre autres l’installation de nouveaux radars, d’ordinateurs de bord, de nouveaux systèmes électroniques et de missiles de croisière supersoniques BrahMos d’une portée de 300 km. Elle devrait commencer en 2015 et effectuée sous licence par la société publique Hindustan Aeronautics Ltd (HAL).

L’Indian Air Force (IAF) devrait donc pouvoir créer son huitième escadron de Su-30MK en décembre 2012. Il sera basé à Sirsa d’Haryana, près de la frontière avec le Pakistan. Il s’agira du troisième escadron de Su-30MK à être déployé à proximité de la frontière avec le Pakistan depuis 14 mois. Les deux derniers escadrons sont situés à Jodhpur au Rajasthan et à Punjab Halwara.

* Le Su-30MKI est fabriqué en Inde sous la licence de HAL. Il est facilement reconnaissable des autres variantes Su-30 par l’ajout de plans canard et de tuyères à poussée vectorielle.

27th November 2012 By Hemant Kumar Rout  - newindianexpress.com

After the successful trial of AD interceptor missile, DRDO is readying for the developmental trial of submarine- launched ballistic missile K-15 from an underwater platform off the Andhra Pradesh coast in the second week of December.

The much awaited test, scheduled for the last week of November, was postponed owing to inclement weather triggered by a deep depression in Bay of Bengal early this month. DRDO scientists are reportedly contemplating two trials of K-15, one from a pontoon (replica of a submarine) and another from a submarine.

Defence sources said the nuclear capable missile will be tested for the first time from a submarine positioned undersea off  Visakhapatnam coast. If everything goes as planned, the missile will be fired any time between December 6 and 8.

The DRDO is eyeing for the successful trial of the missile as few countries have the triad of firing nuclear-tipped missiles from air, land and undersea. The other countries, which have the capability include Russia, the USA, France, Britain  and China.

 “Scientists are working over time and constantly cross-checking the system, including the launch platform. We want to achieve near-zero circular error probability (CEP) accuracy,” said a defence scientist.

The indigenously developed K-15 missile is about 10 metres in length and about a metre in diameter. Its launch weight is about 10 tonnes. This missile uses solid propellant and can carry a conventional payload of about 500 kg to one tonne and also be fitted with tactical nuclear warhead. After its induction, the missile will equip the country’s first nuclear-powered submarine ANS Arihant.

Reports said the K-series missile programme formally began in 2004 as PJ-08 as a tribute to the then DRDO chief and former President APJ Abdul Kalam. The solid-fuel missile had a modest 150-km range but over the years, the missile steadily grew to achieve its desired 700-km range.

“The hybrid K-15 combines aspects of both cruise and ballistic missiles, which use multiple-stage rockets to exit the atmosphere and re-enter in a parabolic trajectory. It flies in hypersonic speed. Launched underwater, the K-15 surges to the surface and is the world’s best weapon in this class,” the scientist said.

The K-15 is one of the most ambitious projects of the DRDO. After its successful induction, the DRDO would go for the developmental trials of its longer-range K-4 missile to strengthen its undersea attacks. Apart from the K-15, India has the submarine version of BrahMos supersonic cruise missile in its arsenal.