Bidders for India's $12 billion multi-role combat aircraft competition have submitted their offsets proposals, with the companies keen to stress the level of participation offered to Indian industry and the uniqueness of their proposals.
The Boeing F/A-18E/F, Dassault Rafale, Eurofighter Typhoon, Lockheed Martin F-16, the RSK MiG-35 and Saab Gripen in the fray for the deal, one of the most anticipated tenders in recent years. Under India's stringent offset rules, the bidders must reinvest 50% of the contract's value in the country.
That has resulted in all of the companies signing agreements with prospective Indian partners, pointing to these as evidence of their commitment to helping the country's industry. Boeing, for example, boasts that it has 37 local partners as part of its industrial participation programme and adds that India will play a key role in helping the company to enhance its global competitiveness.
"We are already establishing the groundwork that will lead us to success in this large undertaking through early engagement of Indian industry, both public and private," says Vivek Lall, Boeing Integrated Defence Systems vice-president in India.
EADS restated its invitation for India to formally become a partner in the Eurofighter programme, and insists that its plans for "industrial collaboration can decisively contribute to further shaping the future of the Indian defence industry". Bernhard Gerwert, chief executive of Military Air Systems at the European conglomerate, adds: "India is our partner of choice and we are interested in long lasting and mutually beneficial political, industrial and military relations."
Lockheed, pointing to the four F-16 production lines outside the USA, says that it "has a long history of delivering on commitments" on industrial co-operation and offsets programmes. Some analysts suggest that the F-16 could be disadvantaged as it is also operated by India's rival Pakistan. But the company adds: "The F-16IN will be a unique configuration of the F-16, designed to address every requirement specified in India's RFP. The F-16 is already the most reliable, maintainable, affordable and safest multirole fighter in the world. The F-16IN will be even better."
India is seeking 126 fighters, 18 bought in fly-away condition and 108 licence-produced by Hindustan Aeronautics, under the programme to replace its MiG-21s. It plans to make a decision by 2010, and envisages the first aircraft entering service around 2012.
Source: Flight International
