Military Acquisitions, Partnerships & Developments

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Rakesh
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Re: Military Acquisitions, Partnerships & Developments

Post by Rakesh »

Lots of important info on Indo-Russian joint military programs...from the dead-in-the-water FGFA program to S-400 (and need for NASAMSs) to a whole bunch more. Read it ALL, in this twitter thread below...

https://twitter.com/zone5aviation/statu ... 3494022144 -----> Director of Russia’s Federal Service for Military Technical Ooperation (FS-MTC) (D Shugaev, Left) and Director General of Rosoboronexport (A Mikheev, Right) talking shop on India this morning in Moscow.
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Re: Military Acquisitions, Partnerships & Developments

Post by Vips »

Defence Ministry clears proposals worth Rs 46000 crore.

The Defence Acquisition Council, in a major decision, cleared long pending proposals worth Rs 46,000 crore today. It approved procurement of 111 Utility Helicopters for the Indian Navy at a cost of over Rs 21,000 crore which is the first project under the MoD’s Strategic Partnership (SP) Model that aims at providing significant fillip to the Government’s ‘Make in India’ programme.

The DAC also granted approval to a few other proposals amounting to approximately Rs 24,879 crore, which included approval for procurement of 150 numbers of Indigenously Designed and Developed 155 mm Advanced Towed Artillery Gun Systems for the Indian Army at an approximate cost of Rs 3,364 crore. These guns have been indigenously designed & developed by DRDO and will be manufactured by production agencies, as nominated by DRDO.

Io enhance the capability of Indian Navy, approval has also been granted for procurement of 24 Anti-Submarine capable, Multi Role Helicopters, which are an integral part of the frontline warships like the Aircraft Carriers, destroyers, frigates and corvettes. Availability of MRH with the Indian Navy would plug the existing capability gap.

In addition, procurement of 14 Vertically Launched Short Range Missile Systems was also cleared by the DAC. Of these, 10 systems will be indigenously developed. These systems will boost the self-defence capability of ships against anti-ship missiles.
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Re: Military Acquisitions, Partnerships & Developments

Post by Philip »

Better late than never.These reqs. date from UPA-2 time.
good news about ATAG.Arty reqs. in the future will be entirely desi in origin.The 48km range is the best in the world.

Let's hope the 100+ NLUHs will be evaluated swiftly and a quick decision taken.
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Re: Military Acquisitions, Partnerships & Developments

Post by pankajs »

https://www.timesnownews.com/india/arti ... rmy/283422
Defence Acquisition Council likely to clear Israeli Spike Anti-Tank Guided Missile deal for the Indian Army
The Defence Acquisition Council (DAC) is set to clear the much-awaited Israeli Spike Anti-Tank Guided Missile deal for the Indian Army. The deal consists of 4,500 missiles, 172 launchers at about Rs 3,742 cr.
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Re: Military Acquisitions, Partnerships & Developments

Post by Kashi »

India signs $5.4-billion deal to buy 5 S-400 missile systems from Russia
India signed the much-anticipated deal worth $5.43-billion to buy five Russian S-400 Triumf missile shield systems at the 19th India-Russia annual bilateral summit at the Hyderabad House ahere on Friday.
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Re: Military Acquisitions, Partnerships & Developments

Post by Vips »

No news on the Krivak, Kamov and AK103 deals? Seems the negotiations would take longer to finalize the payment in rupees/rouble.
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Re: Military Acquisitions, Partnerships & Developments

Post by arun »

X Posted from the India-Russia thread.

Russian media outfit Sputnik on the deal for 5 squadrons of S400 Triumf quoting Kremlin Spokesman Dmitriy Peskov and Rosoboronexport Director-General Alexander Mikheev. Deliveries to begin in October 2020:

India, Russia Formally Ink $5.4 billion S-400 Air Defense System Deal – Kremlin
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Re: Military Acquisitions, Partnerships & Developments

Post by dkhare »

Elta to supply Radars for an Asian Fighter

Have we acquired all the ELM/2032 radar sets for LCA Tejas Mk1 yet? This $55M contract for an undisclosed number of sets may be for us or the Koreans T-50 variants. The article states a contract in 2012 for $155M for another Asian fighter as well.
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Re: Military Acquisitions, Partnerships & Developments

Post by jaysimha »

bit old news. think not posted here.
.
July 5, 2017
Wipro Infrastructure Engineering WIN and IAI today announced a strategic alliance for manufacturing composite aerostructure parts and assemblies.
https://www.indiatoday.in/pti-feed/stor ... 2017-07-05
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Re: Military Acquisitions, Partnerships & Developments

Post by ks_sachin »

Vips wrote:No news on the Krivak, Kamov and AK103 deals? Seems the negotiations would take longer to finalize the payment in rupees/rouble.
The blasted ak103 should be buried.
The latest versions of the insas are getting there.
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Re: Military Acquisitions, Partnerships & Developments

Post by rkhanna »

Hmmm. Anti Air System procurement to be held up?

He said - she said

SOKO Side

"The Russian government is attempting to slam the brakes on Korea’s sale of 3 trillion won (around $2.66 billion) in anti-aircraft arms to India, according to official sources in Seoul.
"

"Moscow, however, a traditional supplier of arms to India, apparently ordered its Defense Minister Sergey Shoygu to publicly express dissatisfaction with the decision on the sidelines of a military conference between the two countries Dec. 18.

Shoygu told the Indians that the Indian military had not properly tested the weapon in a deliberate attempt to not buy arms from Russia, according to a source in the Korean government.

The Russians followed this up by sending an official request to the Indian Defense Ministry asking it to re-evaluate the bidding process. "

http://mengnews.joins.com/view.aspx?aid=3057687


Russian Side:

"Russia has lodged a protest over India’s decision to disquality its two munitions systems from the $1.6 billion Army program, spurring newfound tensions between the two allies.

During a meeting of the India-Russia Inter-Governmental Commission on Military Technical Cooperation in New Delhi Thursday, visiting Russia Defence Minister Gen. Sergei Shoigu made clear his displeasure about the upgraded Tunguska system and a system from Pantsir being kicked out of the pending program, a source from the India Ministry of Defence confirmed."

"During the IRIGC-MTC, Gen. Shoigu accused the Indian Army trial teams of purposely not completing the full trials last year. A Russian diplomat said on condition of anonymity that the two defense companies and the Russian defense ministry issued separate letters to MoD last month to reevaluate the entire selection process before making a final call."

https://www.defensenews.com/global/asia ... mpetition/
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Re: Military Acquisitions, Partnerships & Developments

Post by dinesh_kimar »

^ IA considering Ki-30 Biho SPAAG system?

Maybe not too happy with Tunguska, it's a maintenance hog.
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Re: Military Acquisitions, Partnerships & Developments

Post by John »

dinesh_kimar wrote:^ IA considering Ki-30 Biho SPAAG system?

Maybe not too happy with Tunguska, it's a maintenance hog.
Multiple issues iirc Russians shipped rusted Tunguska systems, system failed to live up to marketing brochure and as you mentioned it was maintenance nightmare. With China money train drying up ( more or less China has stopped all the under table deals for Russian tech) Russians are desperate for more $$.
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Re: Military Acquisitions, Partnerships & Developments

Post by rkhanna »

dinesh_kimar wrote:^ IA considering Ki-30 Biho SPAAG system?

Maybe not too happy with Tunguska, it's a maintenance hog.

More than considering. Looks like the SoKos won the tender
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Re: Military Acquisitions, Partnerships & Developments

Post by dinesh_kimar »

^ I like the bleddy gall of the Russians who threaten us with Indian Judicial Court cases for not choosing their supposedly shitty system.

We never indegenised Tungaska or ZPU-23 SPAAG, and are now playing the field, like a girl with rich dowry.

I wish our people show some spine, tell Russia to fix existing problems, and obtain performance targets promised to us at time of sale.
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Re: Military Acquisitions, Partnerships & Developments

Post by John »

I would not waste my time trying to reengineer Tunguska the system is just a mess. The plan was to build a suite of systems around Skyshield (fixed, tracked, naval etc) but bribery scandal conveniently killed that venture..
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Re: Military Acquisitions, Partnerships & Developments

Post by kit »

dinesh_kimar wrote:^ I like the bleddy gall of the Russians who threaten us with Indian Judicial Court cases for not choosing their supposedly shitty system.

We never indegenised Tungaska or ZPU-23 SPAAG, and are now playing the field, like a girl with rich dowry.

I wish our people show some spine, tell Russia to fix existing problems, and obtain performance targets promised to us at time of sale.
its not just the Russians but every other tom dick and harry arms merchant on losing out in the lucrative indian arms market.. maybe MOD can make a "Review Court" and charge a hefty fee for "re-evaluation" just like the exams and finally after an "expensive and lengthy process" give the verdict "Stare decisis" . I think there is an opportunity here :mrgreen: :((
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Re: Military Acquisitions, Partnerships & Developments

Post by arun »

X Posted from the Indian Navy thread.

Here we go around the mulberry bush, the mulberry bush …………………

Our Navy on 29 March, 2019 issued an RFI for ToT for Construction of Twelve GRP Hulled Mine Counter Measure Vessels (MCMVs).

Time line is a dawdling 65 Months from RFP date, date of which is unspecified but at least 6 weeks away, for delivery of first vessel and 141 months from RFP date for the delivery of the twelfth and last vessel:

RFI for ToT for Construction of Twelve Mine Counter Measure Vessels (MCMVs)
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Re: Military Acquisitions, Partnerships & Developments

Post by Vips »

India’s Cabinet Committee on Security approves procurement of 464 T-90MS tanks.

India's Cabinet Committee on Security (CCS) has approved the INR134.48 billion (USD1.93 billion) procurement of 464 Russian-made T-90MS main battle tanks (MBTs) for the Indian Army (IA).

Official sources told Jane's that the move by the CCS, which convened in early April and is headed by Prime Minister Narendra Modi, is the penultimate step in the process of acquiring the MBTs and will be followed by the signing of a contract between India's Ministry of Defence (MoD) and Russia's arms export agency, Rosoboronexport, during the next few months.

The MoD's Defence Acquisition Council approved the procurement of the tanks in November 2016.
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Re: Military Acquisitions, Partnerships & Developments

Post by chetak »

Defence Ministry Completes Negotiations To Buy C-295 Aircraft; Approval From DAC After Lok Sabha Elections



Defence Ministry Completes Negotiations To Buy C-295 Aircraft; Approval From DAC After Lok Sabha Elections

Apr 15 2019,

the aircraft in the picture is only for representational purposes
Image

While the negotiations to acquire C-295 aircraft have concluded, the deal is expected to be approved by the Defence Acquisition Council (DAC) only in June after the Lok Sabha elections, reports The Hindu.

“Negotiations for the C-295 deal have been completed. However, the deal needs clearance from the Defence Acquisition Council (DAC) as there is a change from earlier parameters,” said a senior defence official.“The next DAC meeting will be held in June. So we will push the deal at that time.”

India is looking to buy 62 Airbus Defence and Space C295 medium transport aircraft (MTA) for the Indian Air Force (IAF) and the Indian Coast Guard (ICG) from the Tata Advanced Systems Limited (TASL).

The firm is a joint venture (JV) between the Tata Group and the European aerospace giant Airbus. The EUR 2.8 billion ($3.15 billion) deal will deliver 56 C295s for the IAF to replace the ageing fleet of Avro 748M transports, and six for the ICG.

Make In India

Under the deal, while 16 C295s will be imported, the remaining 46 aircraft will be assembled at a facility to be set up by the JV near Bangalore. Also as per the 2013 MTA tender, 24 of these will be imported in kit-form for local assembly and contain 30 per cent locally-sourced components. However, the remaining 22 platforms will have 60 per cent of the parts sourced from domestic manufacturers.

from wiki
Data from Airbus Military,

General characteristics

Crew: Two
Capacity: 71 troops
Payload: 9,250 kg (20,400 lb)
Length: 24.50 m (80 ft 3 in)
Wingspan: 25.81 m (84 ft 8 in)
Height: 8.60 m (28 ft 3 in)
Wing area: 59 m² (634.8 ft²)
Empty weight: 11000kg ()
Max. takeoff weight: 23,200 kg (51,146 lb)
Powerplant: 2 × Pratt & Whitney Canada PW127G Hamilton Standard 586-F (six bladed), 1,972 kW (2,645 hp) each
Performance

Maximum speed: 576 km/h (311 knots, 358 mph)
Cruise speed: 480 km/h (260 knots, 300 mph)
Range: with 3,000 kg (6,600 lb) payload, 4,600 km (2,500 nmi / 2,875 mi); (with 6,000 kg (13,200 lb) payload, 3,700 km (2,000 nmi / 2,300 mi))
Range with max 9,250 kg (20,400 lb) payload: 1,300 km (700 nmi / 805 mi)
Ferry range: 5,400 km (2,900 nmi / 3,335 mi)
Service ceiling: 9,100 m (30,000 ft)
Takeoff run: 670 m (2,200 ft)
Landing run: 320 m (1,050 ft)
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Re: Military Acquisitions, Partnerships & Developments

Post by Karan M »

Military Acquisition - April 2019

https://mod.gov.in/sites/default/files/ ... pril19.pdf

Rs 12,622 crore purchase of 16x Anti-Submarine Warfare Shallow Water Craft cleared with 8 each to two yards.

Military Acquisition - March 2019

https://mod.gov.in/sites/default/files/Majormar.pdf

1. Euro 200 Mn order for 70 mm rockets from Thales for ALH WSI
2. 23x C/D Band ASRs (likely for Navy) signed for Rs 1138 crore. (This is likely the Indra radar deal with TATA SED)
3. Rs 300 crore for Smart card, RFI access project with BEL (~50 crores) and Tech Mahindra (~250 crores)
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Re: Military Acquisitions, Partnerships & Developments

Post by Karan M »

Military Acquisition - Feb 2019
https://mod.gov.in/sites/default/files/Febact2019.pdf

1.72,400 rifles through Fast Track route via Sig Sauer at Rs 671 crores
2. 4x 50 Ton Bollard Tugs from PSU shipyard at Rs 261 crores

Military Acquisition - Jan 2019
https://mod.gov.in/sites/default/files/majactjan19.pdf

1. 2x 1153.6 ships from GSL for Rs 14,120 crore
2. 8x Clip on Influence sweeps from Thales Australia (mine sweeping gear) for Rs 310 crore
3. Brahmos for Delhi and Talwar class ships at Rs 2,911 crores
Karan M
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Re: Military Acquisitions, Partnerships & Developments

Post by Karan M »

I am going to put in some effort to analyze Modi Govt work on defence because propaganda efforts have not receded.
Karan M
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Re: Military Acquisitions, Partnerships & Developments

Post by Karan M »

Military Acquisition - Dec 2018

1. D-level and extended D-level maint and repair of Scorpene electronics with Thales for Euro 50 Mn

Military Acquisition - October 2018

1.300 guns from M-46 to 155mm upgrade at Rs 230 Crore
2.66 ADFCR from Israel for IA AAD with maintenance TOT at Rs 4576 Crore
3.5x LRSAM firing units ie S400
4.6700 crore purchase of 2x Talwar class frigates from Russia + 1500 crore purchase 4x survey vessels on GRSE

Approval: Rs 950 Crore upgrade of 17 Dornier aircraft of Coast Guard
Karan M
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Re: Military Acquisitions, Partnerships & Developments

Post by Karan M »

November 2018

1.100 upgrades of L-70 guns under option clause from BEL at Rs 340 crores

September 2018

1. 12.7mm Stabilized Remote Control Guns for IN and CG with ammunition for Rs 1161 Crore
2. 2 Diving Support Vessels at HSL for Rs 2494 Crore
3. 3x HUMSA NG for Rs 200 crores

August

Approvals:
1.6x submarines for Rs 40,000 crore
2.111 utility helicopters for Rs 21,000 crore Navy
3.Rs 25,000 crore including 150 ATAGs, 24x MRH helicopters, 14x VLS for Navy of which 10x indigenously developed
4.Rs 4941 Crore for 6x NGOPVs

July
Approvals:
1. 17x new baffle firing ranges in military establishments for Rs 238 crore, in addition to existing 60 ranges
2. Guidelines for SPP model

June
1.A contract for procurement of 3,92,300 Fuzes and 540 Fuze Hand Setters at a cost of Rs. 374.76 crore with BEL, Pune
2. Contract for setting up of D Level and Extended D Level Repair Facility for Navigational Complex, Periscopes and Radar of Scorpene (P-75) for the Indian Navy has been signed on 18th May, 2018 at a total cost ofRs. 367.20 crore
3.Contract for setting up of Weapon Repair Facility at Naval Ship Repair Yard (Port Blair) was signed with BEL, Bangalore on is" May, 2018 at a total cost of Rs. 530 crore.
4.Contract for upgradation of 08 Shikari/Lynx Systems was signed with Mis BEL, Bangalore on 18th May, 2018 at a total cost ofRs. 496 crore
5.Indent for Procurement of 20 AK 630 Gun Mounts (Ten Shipsets) for P17A and Talwar Class Ships along with onboard spares and four sets of Base and Depot (B&D) spares was signed with Ordinance Factory BoardlGSF Cossipore on 15th May, 2018 at a total cost of Rs. 205 crore

Approvals
The Defence Acquisition Council (DAC), chaired by Raksha Mantri, met in New Delhi on zs" May, 2018 and accorded approval for the procurement of equipment for the Defence Forces valued at over Rs. 6900 crore.
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Re: Military Acquisitions, Partnerships & Developments

Post by Karan M »

May 2018

Approvals
Ministry of Defence
DAC approves procurement of equipment for Defence Forces
Posted On: 28 MAY 2018 5:44PM by PIB Delhi

The Defence Acquisition Council (DAC), chaired by Raksha Mantri Smt Nirmala Sitharaman, met here today and accorded approval for the procurement of equipment for the Defence Forces valued at over Rs. 6900 crore.

In a major boost to indigenisation and in realisation of India’s growing technological prowess, the DAC approved procurement of Thermal Imaging (TI) Night Sights for the Rocket Launcher (RL) used by the Army and the Air Force under ‘BUY(Indian) IDDM’ category through established Indian Vendors. The TI sight for 84mm RL will be used by troops in operations to facilitate accurate and continuous engagement of moving and static enemy targets and destruction of field fortifications (bunkers) during hours of complete darkness. The sight will enable own troops to detect and recognize enemy tanks and soldiers’ movement during night and engage them with greater efficiency. Furthermore, the effect of camouflage and concealment will be drastically reduced as RL detachments will be able to ascertain location of enemy taking cover behind foliage and thin walled constructions with greater ease.

The DAC also accorded approval for undertaking Design and Development of the Long Range Dual Band Infrared Imaging Search and Track System (IRST) for SU-30 MKI aircraft under ‘Make II’ sub category and subsequently, for procurement of at least 100 IRSTs under ‘Buy (Indian–IDDM) category. The system will be able to operate in day and night conditions and will substantially enhance the capabilities of the aircraft.

With the above approvals, in the last eight months alone, the DAC has pursued modernisation of the Armed Forces with greater vigour and has accorded major thrust on indigenisation. Approvals for procurement of equipment valued at approx Rs 43,844 crore, have been accorded, of which, Rs 32,253 crore would be Made-in-India, through the indigenous route.

SRR/NAo/Nampi/Rajib
April 2018
Government Contracts World Class Bullet Proof Jackets for Army Under ‘Make In India’ Initiative
Posted On: 09 APR 2018 6:52PM by PIB Delhi

A major contract through capital procurement route, for procurement of 1,86,138 Bullet Proof Jackets (BPJs) has been signed. The impending requirement of the Indian Army for effective BPJs, has been met after successful conduct of stringent field evaluation trials.

The contracted BPJs have contemporary and state-of-the-art specifications with added protectional level and coverage area. These ergonomically designed BPJs have modular parts, thereby providing immense protection and flexibility to soldiers operating in different operational situations ranging from long distance patrolling to high risk room intervention scenarios. The new BPJs will provide 360 degree protection to the soldier in combat, including from latest hard steel core bullets.

The concerns for BPJs for the Indian Army, have been raised at the highest levels, even in the civil domain and media reports amidst heightened security situation, along the borders and in the hinterland in the disturbed areas. The provisioning of this operationally urgent and very critical equipment concerning personal ballistic protection, will boost the confidence of the soldier and provide moral ascendency to security forces.

The case was processed as a ‘Buy Indian’. The provision of these new BPJs was done by Indian manufacturers who were successful in the trials. This has given an impetus to the ‘Make in India’ initiative of the Government, and provides confidence that the Indian Industry is capable of fulfilling the requirements of Indian Army for its personal protective equipment.
Approvals

DAC Approves Capital Acquisition Proposals Worth Rs 3,687 Crore
http://pib.nic.in/PressReleseDetail.aspx?PRID=1530623

Indian Companies and Russian Oems Sign 7 Mous for Defence Hardware during Defexpo 2018
http://pib.nic.in/PressReleseDetail.aspx?PRID=1529011

TOT to partners from DRDO
http://pib.nic.in/PressReleseDetail.aspx?PRID=1528746

January 2018
Modernisation of the Defence Forces is a continuous process based on threat perception, operational challenges, technological changes and available sources to keep the armed forces in state of readiness and remaining equipped with modern weapon system. During the last three years and in the current year (upto 31.01.2018), 192 contracts have been signed for capital procurement of defence equipment for armed forces.
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Re: Military Acquisitions, Partnerships & Developments

Post by srin »

From Shooklaw's blog: Assocham proposes raising defence FDI cap to 51%
In 2016, the prevailing 26 per cent cap for foreign direct investment (FDI) in defence was raised to 49 per cent through the automatic route. Further, FDI above 49 per cent became permissible through case-by-case government sanction “wherever it is likely to result in access to modern technology or for other reasons to be recorded.”

That has failed to spur investment. The defence sector has received a total of US$ 0.18 million (Rs 1.26 crore) in FDI from April 2014 to December 2017, the defence ministry told Parliament on March 7, 2018.
The United Progressive Alliance government from 2009-14, as also the National Democratic Alliance from 2014-19, considered raising the defence FDI cap to 74 per cent through the automatic route. However, no government has yet bitten the bullet.
I'll post my thoughts on this in a different post.
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Re: Military Acquisitions, Partnerships & Developments

Post by srin »

^^^ My thoughts on procurement:
FDI
- I don't buy into the Strategic Partner (SP) idea. It'll get bogged down in corruption/favoritism allegations. Our political climate isn't made for it.
- The real TOT is in having lots of Indians with "workex".
- I support 100% FDI. All imports are via 100% FDI. You want to buy Sig 716 ? Let them invest in a fully owned subsidiary here, employing Indians, to make them. You want to buy submarines ? Get DCNS/HDW/Rubin to fund a subsidiary, let it buy a dockyard from one of the zillion failing private players or build its own or lease from a public player, and then build the subs here. MMRCA ? same thing. Establish a factory here first.
- No offsets. All defence imports are taxed at 30% import duties. You want to not pay tax ? Then get the subsystem made in India.

MII
- Induct local/MII "good enough" products. Astra, Akash, Arjun, Nag.
- Go for rolling manufacture - say, 32 Tejas of latest version every year for next 20 years. So, when Mk1A becomes ready and then Mk2, switch to it automatically.
- Once you've chosen the product, start mass manufacturing them. Change the doctrine to choose the weapons we have if necessary. Akash or Brahmos or Astra are good enough ? Then have a few thousands of each. P17/P15B ships are good ? Then have a few dozens of each. Is Vikrant good enough ? Have a couple more - than going for unobtainium EMALS.
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Re: Military Acquisitions, Partnerships & Developments

Post by Aditya_V »

I think this is more to placate US than a real defense, but I guess we need this to keep Trump happy and at the same time we get to use Amraam C-7's

https://timesofindia.indiatimes.com/ind ... 717946.cms
srin
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Re: Military Acquisitions, Partnerships & Developments

Post by srin »

Aditya_V wrote:I think this is more to placate US than a real defense, but I guess we need this to keep Trump happy and at the same time we get to use Amraam C-7's

https://timesofindia.indiatimes.com/ind ... 717946.cms
Didn't see this - just posted the same link on Missiles thread....
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Re: Military Acquisitions, Partnerships & Developments

Post by Ankit Desai »

India scraps Israel anti-tank missile deal after DRDO says will deliver
INDIA HAS scrapped a $500-million deal with Israel for the purchase of Spike anti-tank missiles from defence contractor Rafael Advanced Defense Systems after indigenous developer Defence Research & Development Organisation (DRDO) claimed that it could deliver an alternative within two years.

Government officials associated with the approval of the deal said Israel has been informed about the contract being abandoned in favour of DRDO, which claimed that it was developing a similar missile at a lower price in partnership with VEM Technologies Ltd.

Officials said domestic production of the missile was favoured as DRDO’s effort in creating a man-portable anti-tank guided missile (MPATGM) was “progressing fast” with the second stage of testing concluded. The DRDO claimed it successfully test-fired the MPATGM at the Ahmednagar range last September.

Although Army officials were sceptical of DRDO’s claim on meeting its promised deadline and operational requirements, the Defence Ministry opted for DRDO as it would fulfil the government’s “Make-in-India” initiative. The ministry, said officials, now prefers a home-grown anti-tank missile rather than depend on time-consuming imports.

Officials said India last year delayed the purchase of Spike missiles from Rafael for fear of being dragged into another controversy at a time when the purchase of the French fighter jet Rafale was being disputed by the main Opposition Congress party ahead of the 2019 Lok Sabha elections.

At the time, the reason given was that the Spike missiles needed to undergo additional tests to prove its infrared system in the country’s high-temperature environment. The Army was said to be sceptical of the missile’s performance in the hot western deserts adjoining Pakistan.

However, the DRDO offered to deliver thousands of indigenous MPATGM by 2021, almost the time it would take Rafael to deliver its Strike missiles, said officials.

India’s deal with Israel for 321 Spike launchers and 8,356 missiles was initially struck in October 2014 after the Defence Ministry selected Spike over the US-made FGM-148 Javelin. But it was scrapped in December 2017 in favour of DRDO.

It was “reauthorized” in January 2018 following Israeli Prime Minister Benjamin Netanyahu’s visit to India and Rafael opened a production facility in India last August with local partner Kalyani Group.
-Ankit
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Re: Military Acquisitions, Partnerships & Developments

Post by Vips »

No big bang modernisation for armed forces.

There will no big bang modernisation for the over 15-lakh strong armed forces. The defence outlay is pegged at Rs 3.18 lakh crore, much like the interim budget presented in February, which marks just a 6.87 per cent hike over the last fiscal's revised estimates to just about cater for inflation.

Grappling with a ballooning salary and pension bill, the country's military modernisation will continue in its slow, incremental manner as before. The Rs 3.18 lakh crore defence budget works out to just 1.5 per cent of the projected GDP for 2019-2020, which is the lowest such figure since the 1962 war with China (Every year the figure goes further down instead of going up. If having a Modi government and presenting 6 budgets is not achieving an increase, then we are well and truly F U K C E D)

Another Rs 1.12 lakh crore has been allocated separately for defence pensions of military and civilian personnel.

The armed forces and strategic experts have for long been demanding that defence should get at least 2.5 per cent of the GDP for requisite deterrence against China and Pakistan. Finance minister Nirmala Sitharaman, however, did say, "Defence has an immediate requirement of modernization and upgradation. This is a national priority. For this purpose, import of defence equipment that are not being manufactured in India are being exempted from the basic customs duty."

But of the Rs 3.18 lakh crore figure, the capital outlay is just Rs 1,08,249 crore for new weapon systems and overall defence modernisation. It continues to be dwarfed by the Rs 2,10,682 crore revenue expenditure for day-to-day running costs, salaries and the like. Moreover, the bulk of the capital outlay will go for "committed liabilities" or instalments for arms deals inked in earlier years, with not much being left for new projects.

"The capital allocation for MoD is already almost 32 per cent of the total central government capital expenditure, which is Rs 3.38 lakh crore," said an official. Though the armed forces desperately need more money to address their critical operational shortages in fields like fighters, helicopters, submarines, minesweepers, missiles and night-fighting capabilities, there is simply not enough in the face of competing demands from other sectors like infrastructure, health, education and the like.

Consequently, there is no option for the new Modi-2.0 government but to strongly push for long-pending defence reforms, ranging from right-sizing and genuinely integrating the armed forces to cut down non-operational flab to bolstering the fledgling indigenous arms production sector and creating the post of a tri-Service chief.
nam
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Re: Military Acquisitions, Partnerships & Developments

Post by nam »

But of the Rs 3.18 lakh crore figure, the capital outlay is just Rs 1,08,249 crore for new weapon systems and overall defence modernization. It continues to be dwarfed by the Rs 2,10,682 crore revenue expenditure for day-to-day running costs, salaries and the like. Moreover, the bulk of the capital outlay will go for "committed liabilities" or instalments for arms deals inked in earlier years, with not much being left for new projects.
This is how budgeting works! At GoI level, there is no point allocating money for "non-planned" purchases. MoD has never and will never be able to negotiate and sign a new and unplanned contract within a calendar year.

If today MoD issues a AON of acquiring a new kit, trial and negotiation will never be completed in 1 year. And you don't pay all the money at upfront.

I keep hearing people complaining about not having large increase in budget allocation. There will never be a surprise increase. What is the point of allocation 10 billion more, when MoD has nothing planned to buy from it?

If ever there is a sudden need, GoI will allocate cash for sudden purchase like we have seen post 2016 surgical strike and balakot strikes.

Our issue is MoD procurement process, not allocation of money in a "feb budget presentation", which is a dog and pony show..
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Re: Military Acquisitions, Partnerships & Developments

Post by Prasad »

Not to mention, this "right-sizing" isnt necessarily the best way forward. We do require tremendous manpower given our position.
arshyam
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Re: Military Acquisitions, Partnerships & Developments

Post by arshyam »

I would be happy if they simply made MoD allocations non-lapsable.
nam
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Re: Military Acquisitions, Partnerships & Developments

Post by nam »

arshyam wrote:I would be happy if they simply made MoD allocations non-lapsable.
Let's take the example of MMRCA purchase. It started off in 2004 and sort of concluded in 2016. For 12 years, let's say you add 2 billion "non-lapsable" fund. You have 24 billion by 2016.

Contract negotiated with Dassault to pay 8 billion over 15-20 years. Signing amount 1 billion. What will you do with the remaining 23 billion? which has been lying in the bank for 12 years and not even considering interest, which would in real probably given you you close to 35 billion!

Money which could have been used for other important project, lying in bank un-used, becoz GoI & MoD took 12 years to sign the contract!

The problem is not the money.. the problem is out procurement process and import habit, which becomes expensive due to inflation.
nam
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Re: Military Acquisitions, Partnerships & Developments

Post by nam »

Let's list out the "modernization" requirement, big items

Army:
Tanks: IA wants only T90. Having been producing 100 per year.
IFV: FRCV is stuck in the "process". Cheaper to upgrade BMP with new engine, armour and probably an APS, but not considered.
Artilery: Dhanush, OFB cannot produce fast enough. ATAGS still in trials. K9 SPH on track, IA does not want large numbers
Ammo: OFB cannot produce fast enough..

Airforce:
Want more squadron: Does not want LCA MK1 production to be ramped up. does not more Su30, Want only uber expensive and imported Rafale and we have to pay 3 times the actual price for ToT to HAL ! No one in sane mind to want TOT at 3 times the price.

5G option: This is true modernaisation. But what are the option? No one except US has a 5G solution. And we don't want F35! Neither IAF wants to spend on AMCA!

Navy:
Our shipyard is full of orders and cannot finish on time! No money throwing is going to help.
SSN: Only PSU can build this and cannot build fast enough.
And please don't tell me a nuke carrier is a critical modernization requirement.

Local Production:
As the amount of local production, specially private, the cost of equipment will come down. 10 sqd of firangi SAM would cost 4-5 times more than 10 sqd of Akash.


So where do we intend to spend on extra 2-3 billion in the next 1 year?

Our problem is our procurement process. Not money. MoD cannot answer the simple question, while asking for money. GoI: where do you intend to spend it?
Vips
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Re: Military Acquisitions, Partnerships & Developments

Post by Vips »

Budget 2019: Duty exemption to improve cash flow of forces.

The withdrawal of customs duty on imported defence items that are not manufactured in India is likely to improve cash flow for the armed forces but a lack of additional funds is expected to hit defence modernisation.

Finance minister Nirmala Sitharaman reversed the customs duty on defence items that was imposed in 2016, a move that will reduce paperwork for the forces. Prior to this, customs duty paid for such items was loaded onto the purchase price by foreign vendors, creating an unnecessary bureaucratic chain. Interests of Indian manufacturers will be protected as the exemption has been given to only those items that are not made in India.
Defence minister Rajnath Singh said that the move will augment the defence budget by Rs 25,000 crore on account of savings in expenditure on customs duty over the next five years (Benefit of just 5,000 Crores a year)
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Re: Military Acquisitions, Partnerships & Developments

Post by abhik »

Budget 2019: Defence allocation disappoints military - The Hindu

https://www.thehindu.com/news/national/ ... 313288.ece
Navy and Air Force have no money left for new deals, and may default on earlier payments as well
I'd watch out for attempts to squeeze other PSUs like they are doing to HAL.
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