Can IAF afford all these planned modernisations ?

[Agent_47]

Consider: The cost of 126 Rafales is some $18 billion; 250 Indo-Russian fifth-generation fighters will cost $30-35 billion; and 100-odd Sukhoi-30MKI will cost $10 billion. Add another $10 billion for C-17 Globemaster III, C-130J Super Hercules and replacing the Avro; $3-4 billion for trainers; and $10-15 billion for the light, utility and combat helicopters currently being procured. That takes the IAF’s aircraft purchases to $81-92 billion over the next 10-15 years. If the IAF condescends to buy a few squadrons of Tejas LCA, its shopping list will kiss $100 billion.

This wish list is an unaffordable fantasy given the IAF’s modernisation budget is $5.7 billion this year. And, given that an aircraft’s purchase price is just 20-25% of its life-cycle cost.


Source:Broadsword: Under-defended India

 

[nomi007]

definitely
people will pay more taxes

 

[gslv mk3]

Look at the timeframe dude!!

 

[anant_s]

Don't know the if the author is aware if even basic economics. This isn't a Cash-on -delievery mode of pruchase where we need to handover entire billions of dollar at one go. the whole price is to be paid over atleast 10 years of period in phased manner. 5 years back when everything was rosy with economy, the same journalists were criticizing govt over not spending enough on defence, today there is some other tune to sing. Who has seen next 5 years, up & down cycles are part of any economy, but a temporary trough doesn't mean we stop planning for future.

 

[HariPrasad]

Consider: The cost of 126 Rafales is some $18 billion; 250 Indo-Russian fifth-generation fighters will cost $30-35 billion; and 100-odd Sukhoi-30MKI will cost $10 billion. Add another $10 billion for C-17 Globemaster III, C-130J Super Hercules and replacing the Avro; $3-4 billion for trainers; and $10-15 billion for the light, utility and combat helicopters currently being procured. That takes the IAF’s aircraft purchases to $81-92 billion over the next 10-15 years. If the IAF condescends to buy a few squadrons of Tejas LCA, its shopping list will kiss $100 billion.

This wish list is an unaffordable fantasy given the IAF’s modernisation budget is $5.7 billion this year. And, given that an aircraft’s purchase price is just 20-25% of its life-cycle cost.


Source:Broadsword: Under-defended India

Can we?

Is all the modernization planned this year? By what time are we going to induct FAGFA? at what rate?

 

[帅的一匹]

Seems not much budget room left for indeginous weapon in the next 10 years.

 

[timetravel]

Seems not much budget room left for indeginous weapon in the next 10 years.

LCA is indegenous. We will see MK-II and possibly MK-III also. Also AMCA will be our own 5th Gen plane.

 

[janon]

Don't know the if the author is aware if even basic economics. This isn't a Cash-on -delievery mode of pruchase where we need to handover entire billions of dollar at one go. the whole price is to be paid over atleast 10 years of period in phased manner. 5 years back when everything was rosy with economy, the same journalists were criticizing govt over not spending enough on defence, today there is some other tune to sing. Who has seen next 5 years, up & down cycles are part of any economy, but a temporary trough doesn't mean we stop planning for future.

The author clearly understands that and takes it into account. He is asking whether IAF can afford to pay 100 billion dollars over the next 10-15 years, for purchases alone.

 

[senkakudefender]

The author clearly understands that and takes it into account. He is asking whether IAF can afford to pay 100 billion dollars over the next 10-15 years, for purchases alone.

Ans is yes, when you have these 2 jokers at the borders.

 

[Agent_47]

Seems not much budget room left for indeginous weapon in the next 10 years.

You missed something. LCA is indegenous,Su-30MKI,rafale,Avro,Light choppers are with ToT and made here,FGFA is joint development and production.

 

[TopCat]

I think the delivery will be delayed and there will be hardly any more room for big ticket new orders other than the existings

 

[janon]

Ans is yes, when you have these 2 jokers at the borders.

The question of "do we need" would be answered by who our neighbours are. But the question of "can we afford" will be answered by how rich (or not) we are.

 

[Kloitra]

Consider: The cost of 126 Rafales is some $18 billion; 250 Indo-Russian fifth-generation fighters will cost $30-35 billion; and 100-odd Sukhoi-30MKI will cost $10 billion. Add another $10 billion for C-17 Globemaster III, C-130J Super Hercules and replacing the Avro; $3-4 billion for trainers; and $10-15 billion for the light, utility and combat helicopters currently being procured. That takes the IAF’s aircraft purchases to $81-92 billion over the next 10-15 years. If the IAF condescends to buy a few squadrons of Tejas LCA, its shopping list will kiss $100 billion.

This wish list is an unaffordable fantasy given the IAF’s modernisation budget is $5.7 billion this year. And, given that an aircraft’s purchase price is just 20-25% of its life-cycle cost.


Source:Broadsword: Under-defended India

The cost of Rafale is exaggerated. 250 FGFAs are not going to be delivered withing next 15 years either.

A few squadrons of LCA would not be between 8 to 18 billion dollars as the author hinted. And even then, 100 billion in 15 years is less than 7 billion a year, which is still nominal with economic growth at 5%.

 

[senkakudefender]

The question of "do we need" would be answered by who our neighbours are. But the question of "can we afford" will be answered by how rich (or not) we are.

Please ... we are no 4 in billionaires around the world by PPP, we are 3rd. Itna to aukad hai hamara bhaiyaji.

 

[Abingdonboy]

I think if you look at India's mid to long term economic growth rates there is little issue wrt impending deals and their affordability- no issues whatsoever. By the end of this decade India should see a return to 7-8% economic growth and a return to double digit year-year percentage increases as India has witnessed in the past 5 years.


I don't know how anyone can be questioning the IAF's procurements at this point- things look just fine.



Looking foreward to the AH-64E and CH-47F deals being signed this fiscal.

By 2020-22 India should be spending $150-200BN a year on defence.