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RAFALE STORY FAR FROM OVER; GOVT TO KEEP HAL IN THE LOOP
by Dr. Anantha Krishnan M
BANGALORE: Thirty-six Rafale jets for the plane-deprived Indian Air Force (IAF) from Dassault Aviation! That's buzz all around since last night after Prime Minister Narendra Modi sprang yet another surprise. Finally, the much-hyped mother of all deals jettisoned out of the red-tape-trap, with even the number 36 surprising many.
Plane pundits are already out with many theories, with some even wondering the ‘logic' behind going for such a small order, which is just enough to fill only two Squadrons.
But, those who saw the Rafale script from close quarters confirm to OneIndia that the story is far from over. Any more surprises on this front? "Can't predict," they say.
HAL will be kept in the loop
Sources confirm that the Modi government is in no mood to push Hindustan Aeronautics Ltd (HAL) away, despite a strong private lobby wanting it to be out of the Rafale frame.
"Any additional orders for Rafales will have to be via the Make in India route and it will be HAL who will be manufacturing the same. The private sector too will be roped in subsequently," an official in the Ministry of Defence (MoD) said.
When asked about the fate of various Price Negotiation Committees (PNCs) looking into the 126 MMRCA deal, the official said: "Some clarity will emerge in the next one month."
The official said that the government was ‘aware of the implications' it would face following its decision to take the direct purchase route.
"It was expected that many would see it as a stand away from the Make in India policy. The numbers (36) should be seen as a pointer towards the government's thought process. Private industries and HAL will play a significant role in the new scheme of things set to unfold," the official said.
When asked whether RFP process in which Dassault Aviation has emerged as an L-1 stands nullified now, the official refused to comment.
Fate of RFP a closed chapter: Matheswaran
Reacting to the deal, Air Marshal M Matheswaran (Retd), former Deputy Chief of the Integrated Defence Staff (Policy, Planning and Development), IAF and currently an Advisor to HAL, told OneIndia the government's was keen to find a quick solution.
"The PNCs are good if they find a logical solution. In my personal opinion the RFP is a closed chapter now. I am sure the government will take a fresh call. All the future moves will be linked to Make in India, ToT (Transfer of Technology), production standards, delivery schedules and HAL's role," says Matheswaran. He had played a significant role when the IAF decided to go for the MMRCAs.
"The fate of the RFP (for the 126 Rafales as per the original tender now estimated around $20 billion) is now in the hands of the government. Plugging the gap was the key. The government could go in for any aircraft now which can fit into the Make in India plan," says the former IAF official, now a leading think-tank on military matters.
Govt got some breathing space now
When asked about the allegations that ‘HAL will not be in a position to roll out quality Rafales,' Matheswaran said that the premier aerospace company has been delivering different types of aircraft over the years.
"The vendor has no business to raise the issue at the end of the negotiation. Yes, I am for a good private eco system coming up for the benefit of aviation in India," Matheswaran said.
He said the decision to buy 36 Rafales in a fly-away was purely to strengthen the strategic partnership with the France. ‘It's a G-to-G decision and we have had the Mirages-2000s coming in the same format 30 years back," he added.
He said the government has got some breathing space now with the decision to go in for 36 fighters. "There's some room to move around. The freedom to take new decisions," Matheswaran added. He said that the Dassault has the capability to deliver all the 36 Rafales to IAF in the next two years.
HAL's Bangalore Complex warms up to Rafale
HAL insiders say that the Company has gone some distance in handling a new fighter plane and associated technologies. HAL's famed Bangalore Complex, which has manufactured many flying platforms in the last seven decades, has already warmed up to the Rafales.
"We have spent lot of time in the last five years. Much before the Make in India concept came, we were prepared to handle a new platform. It is now certain that the IAF will go for more Rafales. We have held series of consultations with Dassault and many of our engineers have gone to their facilities has well," an official said.
When asked about the built-quality concerns, the official said, "It's unfair to rake up a scenario before we reach there. There could have been instances of quality concerns in the past, but Bangalore Complex's recent track record in delivering Hawks needs to be factored in."
OneIndia has confirmed that HAL Chairman T Suvarna Raju is among the delegates accompanying Modi during the current Paris trip.
(The writer is a seasoned aerospace and defence journalist in India. He is the Consultant Editor (Defence) with OneIndia. He tweets @writetake)
Rafale story far from over; Govt to keep HAL in the loop - Oneindia
RAFALE FIGHTER JET DEAL: WHAT DOES IT MEAN FOR INDIA?
Prime Minister Narendra Modi, left, is greeted by French President Francois Hollande before a meeting at the Elysee Palace, in Paris, France, Friday, as part of a European tour for Modi (Source: AP photo)
During Prime Minister Narendra Modi’s visit to France this week, India asked France to supply 36 Rafale fighter jets in “fly-away” condition “as quickly as possible”. This is under a government-to-government deal, unlike the tender currently being negotiated by the Ministry of Defence with Dassault, Rafale’s manufacturer.
For that tender, Rafale had earlier been chosen as the Medium Multi-Role Combat Aircraft (MMRCA) for the Indian Air Force (IAF) after a stringent technical evaluation and global tender process which has lasted a decade. That tender proposed the purchase of 18 Rafale aircraft in “fly-away” condition, and 108 to be made operational by Hindustan Aeronautics Limited (HAL) under a transfer of technology clause.
Subsequently, the deal has been mired in controversies. It has been alleged that Dassault Aviation has refused to transfer technology, increased the price in violation of the original tender, and refused to take charge of timely deliveries for the aircraft produced in India.
The ostensible reason for India starting a separate process, away from the 126 aircraft deal, is to urgently meet the “critical operational necessity” of the IAF. IAF is now down to 34 squadrons from its authorised 42, and successive Air Chiefs have highlighted the necessity of expeditiously acquiring the MMRCA. This is way of rapidly alleviating the IAF’s most immediate concerns, while leaving room for future negotiations.
Dr Iskander Rehman, non-resident Fellow in the South Asia Programme at the Atlantic Council says, “I can only imagine the collective sighs of relief at this announcement, not only amongst the French employees of Dassault, but also within the IAF, which has repeatedly expressed its concern over the steady haemorrhaging of the Indian air fleet. This acquisition couldn’t have been more pressing in nature.”
Prime Minister Narendra Modi, left, with French President Francois Hollande attend a joint press conference at the Elysee Palace, in Paris, France, Friday. (Source: AP photo)
The bold political call taken by the Indian government is also a reflection of the frustration on both sides at how bogged down the deal has got in terms of procedures and pricing negotiations. As it is a government-to-government deal, India should be able to get these aircraft cheaper. The negotiations over price are still on but experts estimate at least a 10% lower price for these 36 aircraft. With limited funds available for capital acquisition in the defence budget, monetary considerations are an important factor in any major Indian procurement.
The announcement, however, doesn’t talk about making Rafale in Hindustan Aeronautics Ltd (HAL), a core proposition of the original tender. This multi-billion dollar procurement thus runs contrary to Prime Minister Narendra Modi’s Make in India plan for the defence sector.
This has led to whispers of some other high-end defence technology transfers from France as a quid pro quo for this deal. One such technology being spoken about is the reactor for the Ship Submersible Ballistic Nuclear (SSBN) Submarine; India is currently in the process of making its first indigenous nuclear submarine, the Arihant. A nuclear submarine is seen as the best guarantor for a second strike capability in case of a nuclear conflict because it can stay underwater for longer periods than a diesel submarine, which needs to come to the surface for oxygen intake.
Speculation aside, there are doubts that France will part with such technology. “India badly needs help perfecting its SSBN reactors, but something tells me that that technology is way too sensitive for the French to part with it, even if India tries to strongarm them over the Rafale deal,” a French military analyst told The Indian Express.
Whatever be the case, India seems to have firmly thrown its lot with the Rafale.
Already running a mix of seven different fighter aircraft, it is highly unlikely that India will stop at buying 36 Rafale aircraft which can equip only two squadrons. This should put an end to speculation about another rival MMRCA manufacturer bagging the 126-aircraft deal. However, Air Vice Marshal (retd) Manmohan Bahadur, Distinguished Fellow at the Centre for Air Power Studies though warns, “Nothing is certain. IAF has worked with only two squadrons of Mirage 2000 and two of Mig-29 earlier.”
The most pressing question that has cropped up after this 36 aircraft government-to-government deal is: what happens to the original tender of 126 Rafale fighters? The best option is for the ongoing negotiations to be completed under the current tender wherein India gets another 126 aircraft from Dassault. If India doesn’t want another 126 Rafale fighters, it would have to go for the option of issuing a new tender process. That is an extremely time-consuming process, with no guarantee that Rafale will again emerge as the winner.
The third option for India would be to go for a follow-up government-to-government deal with France for additional Rafale aircraft. This could include an option for Transfer of Technology to make them in India. AVM Bahadur suggests a way in which the current deal could help the Make in India programme in the defence sector. The Maintenance Transfer of Technology (MTOT) for these 36 Rafale fighters, Air Marshal Bahadur suggests, should go to a private vendor instead of HAL. The DPP (2013 revised) clearly specifies that nomination of DPSUs like HAL for MTOT can be done away with and the contract given to a private vendor.
“We have so far not leveraged the MTOTs. If we give the Rafale MTOT to a private player, positive spin-offs will happen as it will expose that vendor to R&D and modern technology,” AVM Bahadur said.
“It will take another five years for Rafale to go for maintenance, and that is a long enough period for a private player to create the capacity – hangars, jigs, procedures, equipment, trained manpower. Even HAL will have to do this from scratch, which is no different for a private player, and it is better we get the private sector in now,” AVM Bahadur added.
All the experts, however, agree on one thing. It is too early to conclude anything concrete about the 36 fighter procurements unless more details of the deal are made public by the government.
Rafale fighter jet deal: What does it mean for India? | The Indian Express | Page 99
RAFALE DEAL – NAMO ACTS IN NATIONAL INTEREST, NO TIME FOR SECOND-GUESSING
The biggest highlight of day one in France of Prime Minister Narendra Modi is the announcement that India will buy 36 Rafale jets from France in fly-away condition soon.
The announcement comes even as some have attempted to second guess (Subramanian Swamy) the Prime Minister’s decision unmindful of the fact that he was still on foreign soil. For long the bipartisan Foreign Policy tradition in India has been to keep domestic disagreement back home with even the Opposition respecting this tradition. It is unfortunate that those closer home have chosen to go public with their disagreement even as the Prime Minister was conducting the nation’s business in France.
Defence Minister Manohar Parrikar however hailed the decision while exuding confidence that the Rafale jets will be inducted in the Indian Air Force in the coming two years. This is a major breakthrough as the MMRCA deal had been pending since last 17 years.
Jagran Post added that, India and France had been locked in negotiations for three years over the purchase of 126 Rafale fighter jets valued at 12 billion USD. They were unable to seal the deal over cost and Dassault Aviation’s reluctance to stand guarantee for 108 planes to be made by state-run Hindustan Aeronautics Limited (HAL).
Dinakar Peri wrote for The Hindu that,
“The major reason for the direct purchase of 36 Rafale jets from France are the fast – depleting fighter strength of the Indian Air Force, ending delays in the Medium Multi – Role Combat Aircraft negotiations and the steep price rise."
The fighter aircraft strength has fallen drastically to 34 squadrons from the sanctioned 42 and is set to further dip with the phasing out of MiG – 21s and MiG -27s in the next few years. The Chief of Air Staff, Air Chief Marshal Arup Raha, has flagged the issue on several occasions.”
Sushant Singh while writing for The Indian Express said that,
“The ostensible reason for India starting a separate process, away from the 126 aircraft deal, is to urgently meet the “critical operational necessity” of the IAF. IAF is now down to 34 squadrons from its authorised 42, and successive Air Chiefs have highlighted the necessity of expeditiously acquiring the MMRCA. This is way of rapidly alleviating the IAF’s most immediate concerns, while leaving room for future negotiations.”
On this topic China.org reported that,
“France’s Defense Minister Jean-Yves Le Drian would travel to India soon to finalise the deal, according to the French president. The contract could be worth 4 billion euros (4.24 billion U.S. dollars), with the price of a Rafale is estimated at 110 million euros without arms.”
China.org also added that,
“The Rafale, manufactured by French company Dassault Aviation, is a twin-engine delta-wing multi-role jet fighter. Since it was introduced in 2000, it only serves in the French navy. Due to its high price, the French aircraft faces competition from Boeing’s F/A-18 Super Hornet and Gripen NG from Sweden’s Saab.”
Manu Pubby wrote for The Times of India about the Rafale deal that,
“After a series of twists and turns, a multi-billion dollar deal for new fighter jets for the Air Force has hit the last mile with the NDA government determined to iron out differences and wrap up negotiations with an out-of-the-box solution to end a two-year deadlock. A test of political will to find an innovative approach to ink a contract that was threatening to get out of hand, but one that had significant strategic and geopolitical implications, has been on display in the lead up to Prime Minister Narendra Modi’s visit to Paris, where the Rafale deal has been firmed up along with a memorandum of understanding on joint defence production in India.”
Vijainder K Thakur wrote on MyIndMakers on the same lines as Mr. Pubby and added that those who say that Su-30MKI is more capable as the Ralae in WVR (within visual range) is not true. He adds that:
“The Su-30MKI is more maneuverable in WVR, only at low speeds. The Rafale outmaneuvers the Su-30MKI when energy levels are high. In a typical air-to-air engagement, It takes more than 40-secs of max g maneuvering for speeds to bleed off to an extent where the Su-30MKI begins to gain advantage and most WVR engagements end before 40-secs. The Rafale has an edge over the Su-30MKI in other important ways. Sensor fusion makes the aircraft a single pilot platform reducing costs, and gives it an edge in heavily contested airspace. In simpler words, threat assessment and engagement is automated to a greater degree.”
Rafale deal – NaMo acts in National Interest, no time for second-guessing ~ Indian Defence News
RAFALE DEAL: CONGRESS SPEAKS IN DIFFERENT VOICES - SLAMS SUBRAMANIAN SWAMY
NEW DELHI: A day after Subramanian Swamy threatened to take legal recourse over the Rafale jet deal, Congress today spoke in different voices on the issue with Amarinder Singh strongly defending the purchase and asking Swamy not to sabotage it, and Digvijay Singh daring the BJP leader to move court.
"This statement (of Swamy threatening to go to court) is obviously for settling scores with the Prime Minister for not being taken into the cabinet," Congress Deputy Leader in the Lok Sabha Amarinder said in a statement, wondering whether Swamy's "personal requirement come before that of the nation?"
Welcoming the government's decision to buy Rafale fighter jets from France to strengthen capability of Indian Air Force, Amarinder said, "For heaven's sake put your personal agenda aside for a while as this concerns the Defence of the Nation."
Amarinder's strong defence of the deal came close on the heels of Congress General Secretary Digvijay Singh daring Swamy to move court over the Rafale deal a day after the latter threatened to take legal recourse claiming that there were shortcomings in the fighter aircraft.
"I dare Subramanian Swamy to go to court on Rafale Jet purchase," Singh said in a tweet, a day after Swamy threatened to move court if the government went ahead with the deal. Expressing surprise over India buying 36 'Ready to Fly' Rafale jets from France off the shelf, Singh wondered, "Is this the new Defence Purchase Policy of GOI? Would CAG/CVC please take notice."
Amarinder, who had served in the Army, said purchase of 36 jets to equip two squadrons was crucial for strengthening the IAF, as are the others, which are to follow.
The deal was decided during the Prime Minister current visit to France.
"It is time that we all look to the Defence of the nation, rather than playing politics," Amarinder said, insisting that all three Services require the government's "urgent attention" to make good their requirements.
Amarinder lamented that each year budgetary allocations for the Defence Ministry lapse as the decision making process goes "inactive, once again to the detriment of the nation". Amarinder claimed the country's defence forces were "badly short" of modern and sophisticated equipment and weapons.
"The Chinese air force has a 3:1 superiority over us, and against a minimum requirement of 45 squadrons the IAF has only 32," he said, adding that of these, 32 are MIG-21 jets which were first introduced in 1965 and have outlived their utility.
Amarinder, the former Punjab Chief Minister, claimed that the Armoured Corps has no fresh first line ammunition, the Infantry needs a new rifle, as the INSAS is not liked by the troops as they consider it ineffective.
AICC General Secretary Digvijay Singh also took a dig at the working of the Modi dispensation.
Taking a swipe at the Modi government's slogan of 'Minimum Government, Maximum Governance', he said, "When (the) Prime Minister was buying fighter aircraft in France our Defence Minister was buying fish in Goa! Minimum Government and Maximum Governance."
"When (the) Prime Minister is signing deals abroad Foreign Affairs Minister Sushma Swaraj is propagating Modi's future achievements in Vidisha, Madhya Pradesh. Another example of Minimum Government and Maximum Governance", he said.
Amarinder said "for the AK 47, used extensively on the counter infiltration grid, we have to import ammunition as we are not making any in India". Besides, he said, "all major armies of the world use the 155 Howitzer as the standard medium gun".
"The Chinese have a vast submarine fleet and we are yet in the planning stage! What about the state of our defence roads when China has four-lane roads and even railways, right up to our border, we have been waiting for these since 1962!" Amarinder said.
Meanwhile, Congress spokesman Sanjay Jha said in a tweet, "The Rafale purchase is another brazen u-turn by PM Modi. It will help only France get a big sales order. What happened to 'Make in India'?"
Rafale was selected by India from among five bidders in 2012 as it quoted the lowest price.
Rafale Deal: Congress Speaks in Different Voices -The New Indian Express
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