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Fiscal constraints hit Pakistan’s production of Al-Khalid-I tanks

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Jon Grevatt - Jane's Defence Weekly
01 December 2017

Pakistan’s land systems specialist Heavy Industries Taxila (HIT) is producing Al-Khalid-I main battle tanks (MBTs) at a rate far below capacity due to budgetary constraints, the Pakistan Senate’s Standing Committee on Defence Production was told on 30 November.

In a committee hearing, the details of which were published on the Pakistan Senate website, senior HIT officials said the state-owned enterprise is producing 18 Al-Khalid-I MBTs per year on average despite having capacity to build 50.

Officials said the lower output was due to budgetary constraints, although they did not elaborate.

HIT officials added that the company has also started preparation to develop and produce the next-generation Al-Khalid-II MBT.


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Fiscal constraints hit Pakistan’s production of Al-Khalid-I tanks | Jane's Defence Weekly



Senate body appreciates HIT achievements, projects

November 30, 2017

ISLAMABAD, Nov 30 (APP):Senate Standing Committee on Defence Production in its meeting on Thursday appreciated
the achievements and projects of Heavy Industries Taxila (HIT) and recommended
that the budget disbursement process to HIT might be made smoother and quicker
to achieve more viability and fast pace of work.
The meeting was held under the Chairmanship of Senator Lt. Gen. (R) Abdul Qayyum
here at the Parliament House.
The Committee was given a detailed and comprehensive briefing by Brig. Nauman about
the ongoing and completed projects of HIT, the budget allocation to it , capacity enhancement for commercial inland sales and exports and future vision of the Heavy Industries.
Chairman of the Committee while terming Al-Khalid Tank pride of the nation praised the
proposal of bringing an upgraded and progressive model Al-Khalid-2 in the
industry to compete with constantly developing weaponry. The Committee was told
that the HIT had a capacity of 50 tanks per year but they were making 18 tanks
on average due to budgetary constraints.
The Committee strongly recommended that the allocation of budget to defence
production industries should come directly to ministry of defence production
from the finance division.
He observed that the Committee would push for this proposal on its own but HIT also needed to take the matter up
regularly.
The Committee was told that HIT was not entitled to commercial activity on its own.
It can only carry out commercial activities from the surplus capacity after fulfilling all kinds of defence needs of armed forces.

The Committee lauded the efforts of HIT and observed that defence production
establishments in Pakistan had made tremendous contributions not only by
equipping our armed forces but also by undertaking commercial sales. Equipping
our armed forces with tanks, and state-of-the-art ammunitions not only means
colossal savings but also promotes self-reliance, Senator Lt. Gen. (R) Abdul
Qayyum stated.
The Committee advised the HIT leadership to do capacity building of their vendors,
ensure coordination inter and intra defence production institutions and create
a reserve pool of skilled work forces to meet sporadic demands.

Senate body appreciates HIT achievements, projects | app.com.pk



Brigadider Tahir Islam told the committee that his organization is producing tanks, tank guns and other related equipment. HIT has the capacity to manufacture fifty tanks, one hundred engines of tanks and fifty APC. The meeting was informed that manufacturing of Al-Khalid-1 tank was started in 2016 and it will be completed in two phases by 2023.

https://pakobserver.net/pak-start-production-high-tech-al-khalid-2-tank/
 
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The meeting was informed that manufacturing of Al-Khalid-1 tank was started in 2016 and it will be completed in two phases by 2023.
This means Pakistan won't get the Al Haider tank before 2024.
 
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The Committee recommended changing the disbursal method by having the money routed to the MoDP directly (instead of the MoD?).

Sounds like red-tape (and other funny-funny activity) clogging up the pipe between Army procurement funds and defence production.
 
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The Committee recommended changing the disbursal method by having the money routed to the MoDP directly (instead of the MoD?).

Sounds like red-tape (and other funny-funny activity) clogging up the pipe between Army procurement funds and defence production.
Sir if we don't have funds to build at home then how we will buy for outside?
 
. . .
The Committee recommended changing the disbursal method by having the money routed to the MoDP directly (instead of the MoD?).

Sounds like red-tape (and other funny-funny activity) clogging up the pipe between Army procurement funds and defence production.

Do you really think there is funds shortage that much?

If there is funds shortage how come our army go for t-129? Mi-35? Ah-1z?

How PA is going for rifles?

PA defence acquisition budget is about $570 mn from their 47.5% share in defence budget for 2017-18 and 50 A.K 1 can't cost more than $150 million because I remember one official of HIT told an anchor a few months back that the cost of producing a single A.K is between $2.5-3 million.
 
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The Committee recommended changing the disbursal method by having the money routed to the MoDP directly (instead of the MoD?).

Sounds like red-tape (and other funny-funny activity) clogging up the pipe between Army procurement funds and defence production.

I think thats why this move is being made. If i'm not wrong, not too long ago, such reports of fishy fishy stuff surfaced within armed forces circles-not sure abt HIT but i did hear something abt POF.
 
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Do you really think there is funds shortage that much?

If there is funds shortage how come our army go for t-129? Mi-35? Ah-1z?

How PA is going for rifles?

PA defence acquisition budget is about $570 mn from their 47.5% share in defence budget for 2017-18 and 50 A.K 1 can't cost more than $150 million because I remember one official of HIT told an anchor a few months back that the cost of producing a single A.K is between $2.5-3 million.
I suspect in the case of HIT and the AK it's specifically red-tape and fishiness more so than lack of funding. Though the Committee should also be careful about routing the money to MoDP. Yes the MoDP has been alright since 2013, but a change in gov't need not guarantee that in the long-term. We need to en-fang the Auditor General of Pakistan (AGP) such that it can inquire as deeply as India's CAG on these issues, and then level critical review of how funds are being spent.
 
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obsolete program.nobody wants tanks in this modern warfare.rather than investing on attack helicopters, they are investing on tanks.
 
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I suspect in the case of HIT and the AK it's specifically red-tape and fishiness more so than lack of funding. Though the Committee should also be careful about routing the money to MoDP. Yes the MoDP has been alright since 2013, but a change in gov't need not guarantee that in the long-term. We need to en-fang the Auditor General of Pakistan (AGP) such that it can inquire as deeply as India's CAG on these issues, and then level critical review of how funds are being spent.

Funding, engine delivery delays and other issues aside, it appears Army's requirement for Al-Khalid/Al-Khalid 1 doesn't exceed 410, i.e., the number of 6TD-2 engines ordered.

As per Brian Cloughley's latest book,

During visits to HIT in 2006 and 2011, the author toured production lines and was briefed on current projects, which appeared effective and flexible. On querying the comparatively slow rate of output of the Khalid, and remarking on the high level of human rather than computer-guided mensuration, it was stated that there was no foreseen requirement to increase the rate, but there were plans for acquisition of more hi-tech equipment should that be necessary.
 
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obsolete program.nobody wants tanks in this modern warfare.rather than investing on attack helicopters, they are investing on tanks.
Tanks are still of great importance in modern warfare, just see their effectiveness and usage in Syria and Iraq.
They are still the tip of the spear while launching a ground offensive.
 
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Sad really very sad. If we are forced to cut down the production of just a tank than how can we fight a full scale war, when it happens. Economy must be fixed on sustained basis.

Ishaq Dar was doing a good job...
 
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