Recent upgrades to India’s Defense Procurement Policy (DPP) 2011 that are to be incorporated in DPP 2012 could soon allow foreign vendors to buy from Indian companies assemblies that contain foreign content while getting credit for the entire assembly, as long as the content is paid for in rupees.
Indian Air Force
Boeing has expressed in no uncertain terms to AIN the pain of having to honor offsets in India and the challenge of managing a constantly shifting policy landscape. The growing Indian defense budget ($44 billion by 2016) may be attractive but it would seem that the trials and tribulations being faced by initial winners such as Boeing could be a significant downside for the foreseeable future.
A requirement for a military transport to replace 56 HS.748 twin turboprops operated by the Indian Air Force (IAF) is raising procedural problems for potential bidders. India released a Request for Information last December inviting OEMs to bid only if they could find private Indian partners. But candidate Indian companies are reluctant to commit to the project.
India’s Hindustan Aeronautics (HAL) has signed a contract with Russia’s United Aircraft Corp Transport Aircraft (UAC-TA) to co-develop the 15- to 20-metric-ton-payload multirole transport aircraft (MTA). The pair formed a joint venture, Multirole Transport Aircraft Ltd, in 2010, following an inter-governmental agreement three years earlier.
Pilatus Aircraft confirmed that the Indian Air Force (IAF) has chosen the Pilatus PC-7 Mk II as its new basic trainer. The Swiss company values the contract, signed on May 24, at more than $525 million. It includes 75 aircraft, an integrated ground-based training system and logistics support. Deliveries will begin in the last quarter of this year.
The joint Indo-Russian project to produce a fifth-generation fighter aircraft (FGFA) for the Indian Air Force is facing a two-year delay. It will now take nine years instead of the stipulated seven to develop. The Indian Air Force attributes the delay to Hindustan Aeronautics (HAL), which has a workshare of 25 percent in the program.
The naval prototype of India’s Tejas light combat aircraft (LCA) made its first test flight on April 27. Already delayed by four years, the program still faces design concerns, including weight. Strengthening of the rear airframe for carrier operations, and the addition of an arrestor hook, has made the aircraft about 1,000 pounds overweight.
Textron Defense Systems will start production of India’s order for 512 CBU-105 sensor fuzed weapons (SFW) soon. The $257.7 million sale was contracted via the U.S. Foreign Military Sales mechanism in November 2010. Encouraged by India’s continuing move away from reliance on Russian weapons, Textron is now marketing other defense systems in the country.
The Indian Air Force (IAF) will decide on a new multi-role tanker transport by year-end. Bids for six aircraft from Airbus Military for the A330MRTT and from Ilyushin for the Il-78MK are now being compared, Airbus Military market development vice president Ian Elliott told AIN in Delhi this week. The new in-flight refuelers will augment the existing fleet of six Il-78s, which has been in service for over half a decade at Agra airbase.
The French Rafale is reportedly well placed to triumph in the long-running fighter jet contest in Brazil, and also to secure the elusive order from the UAE, following the type’s success in India. Indian air force commander ACM N.A.K. Browne told AIN that his country would not accept a revised bid from the losing Eurofighter camp for the 126-aircraft MMRCA requirement.