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India on a Shopping Spree with Russia After Putin’s Attempts to Entice Pakistan

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India on a Shopping Spree with Russia After Putin’s Attempts to Entice Pakistan
By
EurAsian Times
-
November 21, 2018

India and Russia signed a variety of defence agreements when Russian President Vladimir Putin visited India recently. Russia won the contract to supply S-400 Air defence Systems to India besides the naval frigates. Now Russia and its man-portable air defence system Igla won a tender in India to deliver $1.5 billion worth of short-range air defence systems, according to Sputnik News.


“Yes, our Igla won [the tender],” the source confirmed. There have been no comments from the Russian Federal Service for Military-Technical Cooperation (FSMTC) on this issue so far.

Igla is a man-portable infrared homing surface-to-air missile defence system manufactured by research and production corporation Konstruktorskoye Byuro Mashynostroyeniya (KBM). The system is intended to target various types approaching and receding aircraft and unmanned aerial vehicles round the clock when they are visually observed against clutter background and in infrared countermeasure environment.

IGLA_Anti_Aircraft_Missile_System_Details.jpg


Image Courtesy: Reuters

The FSMTC did not specify the parameters of the contracts, however, according to unofficial data, the contract for the supply of two ready-made ships is about $950 million.

The statement was made on Monday, citing its sources, that Russian state arms exporter Rosoboronexport had emerged as the lowest bidder in the Indian tender to procure a batch of short-range air defence systems. Swedish manufacturer SAAB and French MBDA were other contenders for the deal.

https://eurasiantimes.com/india-shopping-spree-russia-putins-attempts-entice-pakistan/
 
Haha. You are using loans to pay for these weapons. India's federal and state budgets are all in deficit.

BTW missile has been sold to a number of nations. Libya stockpiles were looted by Western backed islamists... Good chance Pakistan could buy one from black market.
You dont understand economics do you. Understandable as Pakistan has a practically dysfunctional economy. We generate excess capital from the loans we take. Ie our loans almost always end up being profitable for us, while Pakistan almost always wastes its loans. Case in point our forex reserves and 50 pc more that your econonomy. And over 10 times yours in per capita terms.

You need forex to buy anything from outside Paksitan and you got squat in that department. Its gonna be hard for you buying anything above 500 million $ cumulatively in the short term.
 
Apart from the headline, how is Pakistan relevant in this article?

There was news of proposed sale of S-400, BUK, TOR and other defense systems to Pakistan.

Pakistan in talks with Russia for S 400 Missile Defence System deal: Russian media
7 Apr, 2018


pakistan-in-talks-with-russia-for-s-400-missile-defence-system-deal-russian-media-1523112725-2025.JPG


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MOSCOW- Khurram Dastgir Khan confirmed to Sputnik that Islamabad was in talks with Moscow on the issue of purchasing air defence systems, adding that Pakistan was interested in such weapons.

READ MORE:PM Imran Khan given an unprecedented red carpet welcome upon arrival in Malaysia
"Air defence system is a different kind of weapon we are interested. We are very much interested in a very wide range of the Russian weapons technology.

We are in negotiations [on air defence systems] and once we conclude negotiations, we will be able to announce them," Khan said in an interview.

READ MORE:Pakistan Army Chief responds to US President Trump tirade against Pakistan
Pakistan and Russia may reach an agreement on Islamabad purchasing Russian Su-35 jets "in the next few years," the talks on the issue are in their early stages, he said.

Last February, a high-ranking military official in Pakistan told Sputnik that Islamabad had no plans to buy the Su-35.

READ MORE:PM Imran Khan leaves for Malaysia official visit
"Concerning fighter aircraft Su-35: may be in the next few years we will be able to reach that point, we are at the beginning of negotiations now," the minister said answering a corresponding question.

Pakistan is interested in acquiring Russian T-90 tanks as a long-term commitment instead of a single purchase, Pakistani Defense Minister Khurram Dastgir Khan told Sputnik in an interview on Thursday.

We are interested in tanks T-90 and it is not going to be a one-time purchase but it is going to be a long-term commitment," Khan said.

https://timesofislamabad.com/07-Apr...400-missile-defence-system-deal-russian-media


Will Pakistan Buy Russia’s S-400 Missile Air Defense System?
The Pakistan military is purportedly toying with the idea of procuring the S-400 missile air defense system.

thediplomat_2015-01-06_12-04-00-36x36.jpg

By Franz-Stefan Gady
February 17, 2017


Responding to the recent news that India and Russia will ink a contract in 2017 for the procurement of four to five regiments of Russian-made S-400 Triumf advanced Air Defense Systems (NATO reporting name: SA-21 Growler), the Pakistan military is now purportedly considering purchasing a number of S-400 units as well, a high-ranking Pakistan military official told Russian state media on February 15.

“Russia has good tanks, helicopters, electronic equipment, air defense systems that Pakistan may consider. S-400 is a big ticket number and it will all depend on our budget,” the military official told Sputnik News, the foreign language arm of Russian news agency RIA Novosti. Pakistan officially spends about $7 billion annually on defense, although the real number may be substantially higher, and is in the process of modernizing its military forces.

Yet while the country’s economy has grown a solid 4.7 percent in 2016 and is expected to continue to expand by 5 percent in 2017 (partially due to Chinese investments under the Chinese-led China-Pakistan Economic Corridor) allowing for a modest military spending increase, the Pakistan military’s big ticket budget priorities are clearly on new combat aircraft, submarines, surface warships, and the country’s various indigenous missiles programs.

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To adequately defend Pakistan airspace, the military would need to deploy at least three regiments of S-400 with total procurement cost potentially as high as $2.5 billion. (“One S-400 regiment is usually divided into two battalions each of which capable of deploying eight launchers and a total of 32 surface-to-air missiles,” I explained elsewhere.) Given that Pakistan was not able to or willing to pay $700 million for eight F-16 fighter jets (a clear budgetary priority) from the United States in 2016 following Washington’s refusal to provide Foreign Military Financing (FMF) support, it is highly doubtful that the country’s defense ministry would allocate $2 billion or more for a new missile air defense system in the near future given other defense priorities.

As an alternative to the S-400, Pakistan could perhaps opt for the cheaper Chinese-made HQ-9 (export designation FD-2000) surface-to-air missile (SAM) system, a derivative of the Russian-made S-300 long-range SAM system that can engage aircraft, cruise missiles, and theater ballistic missiles at a range of up to 200 kilometers and a flight ceiling of around 27 kilometers. China and Pakistan first started negotiations over a possible HQ-9 deal in early 2015. However, little progress has been made so far and it is unclear whether Pakistan is still interested in the SAM system.

Furthermore, the unnamed military official told Sputnik News that Pakistan might be interested in procuring additional combat helicopters from Russia. “Pakistan considers expending the existing Mi-35 helicopters contract with Russia, a number of additional machines will depend on our budget. According to the existing contract, Russia will supply four pieces to Pakistan,” he said.

Pakistan’s military is slated to receive four Russian-made Mi-35M attack helicopters in 2017 for a purchasing price of $153 million. This number could increase to a total of 20. “Given the cost of building the necessary Mi-35M logistics and maintenance infrastructure, expanding the fleet beyond four aircraft would financially be a sound decision for the Pakistani military,” I explained elsewhere (See: “Pakistan to Receive 4 Attack Helicopters From Russia”).

Russia lifted a longstanding arms embargo against Pakistan in 2014 and has been seeking closer defense ties with Islamabad ever since. This has been accelerated by India’s burgeoning defense relationship with the United States and the Russian defense industry’s loss of market share in India, although Moscow remains by far New Delhi’s biggest military hardware supplier overall. Given the importance of the Indian market to the Russian defense industry, Moscow has to walk a careful balancing act in its dealings with the two South Asia rivals and it will continue to do so for the foreseeable future.

https://thediplomat.com/2017/02/will-pakistan-buy-russias-s-400-missile-air-defense-system/

You dont understand economics do you. Understandable as Pakistan has a practically dysfunctional economy. We generate excess capital from the loans we take. Ie our loans almost always end up being profitable for us, while Pakistan almost always wastes its loans. Case in point our forex reserves and 50 pc more that your econonomy. And over 10 times yours in per capita terms.

You need forex to buy anything from outside Paksitan and you got squat in that department. Its gonna be hard for you buying anything above 500 million $ cumulatively in the short term.

Pakistan may have trade deficit and cash flow issues but that does not mean their defense budget is zero.
 
There was news of proposed sale of S-400, BUK, TOR and other defense systems to Pakistan.

Pakistan may have trade deficit and cash flow issues but that does not mean their defense budget is zero.
Budget is for internal use. But in the end if you want to buy something from russia you will have to do it in dollars or some other currency present in your forex and in that department you are quite weak.
 
Especially since India is NOT part of the Russian equation with Pakistan.

A LOT of quiet transactions have occured with Russia without a peep to the public and it times through intermediaries.

Indian transactions have impact on Pakistan and vice versa. This is not just limited to Russia but also to other countries like US, France, Sweden etc.

Israel is the only exception here as they do not have overt relations with Pakistan.
 
Indian transactions have impact on Pakistan and vice versa. This is not just limited to Russia but also to other countries like US, France, Sweden etc.

Israel is the only exception here as they do not have overt relations with Pakistan.
They have an impact but where the current turn in relations aren’t focused on them their impact isn’t enough yet to create an issue. That doesn’t mean the Indian foriegn service and intelligence spares any attempt to try and stop these transactions and they have succeeded as much as they have failed at them.
 
Budget is for internal use. But in the end if you want to buy something from russia you will have to do it in dollars or some other currency present in your forex and in that department you are quite weak.

I am from India. Just because I disagreed with you does not make me a Pakistani. On topic, Russia is now doing business with India in Rubles. The same may be the case with Pakistan. Do you know Russia is planning to build a pipeline in Pakistan?

Pakistan, Russia to ink $10 billion offshore pipeline deal
By Zafar Bhutta
Published: September 26, 2018
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Russia’s energy giant Gazprom would conduct feasibility study on its own expenses to assess economic viability and cost of the project. PHOTO: FILE

ISLAMABAD: In a major breakthrough, Pakistan and Russia are set to sign a $10-billion offshore gas pipeline deal on September 27 in Moscow, a project planned by the latter to capture the energy market of Pakistan.

Sources told The Express Tribune that the cabinet, during the tenure of previous Pakistan Muslim League-Nawaz (PML-N) government, had approved the signing of the gas pipeline deal with Moscow.

Inter State Gas Systems (ISGS) – a state-owned Pakistani company established to handle gas import projects and is already working on schemes like Turkmenistan-Afghanistan-Pakistan-India (Tapi) gas pipeline – has been designated by Pakistan for executing the pipeline project along with Russia’s energy giant Gazprom. A Pakistani delegation will leave for Moscow on Wednesday (today) to sign the multibillion-dollar deal.

Pakistan, Russia ink historic military cooperation pact

Talking to The Express Tribune, ISGS Managing Director Mobin Saulat acknowledged that the agreement would be inked in Moscow on September 27. He revealed that Gazprom would conduct the feasibility study on its own expenses to assess economic viability and cost of the project.

“China-Pakistan Economic Corridor (CPEC) has now entered the industrialisation phase and needs gas for duty and tax-free Special Economic Zones (SEZs),” he said. “The offshore gas pipeline will meet energy needs of industries being set up in the economic zones along CPEC route.”

According to officials, the pipeline will connect Pakistan and Russia and act as an energy corridor between the two countries. “Strategically, it is a very important project as the two countries will come closer to each other,” an official said. “At the same time, Pakistan will gain access to the Russian market in order to boost its overall exports which remained stagnant during five-year tenure of the PML-N government.”

Russia has nominated Public Joint Stock Company Gazprom for implementation of the project. Pakistan’s cabinet has permitted the company to conduct the feasibility study at its own cost and risk.

Separately, ISGS is working on the $10-billion Tapi gas pipeline which will connect South and Central Asia. Construction work on the scheme in Pakistan is planned to start in March 2019.

These projects are termed game changer for Pakistan as they will not only lead to regional connectivity, but will also meet growing energy needs of the country.

Pakistan, Russia: Businessmen eager to enhance ties

Owing to a long-running tussle with Europe and the United States over the annexation of Ukrainian region of Crimea, Russia is looking for alternative markets and wants to capitalise on the increasing energy demand in South Asia.

Russia has been a huge gas exporter to European Union (EU) countries and Turkey since long and despite US anger, Moscow has continued to provide gas to them. Moscow receives gas from Turkmenistan and then exports it to EU states.

Pakistan has been experiencing gas crisis, particularly in winter, for the past many years as domestic production has declined with new additions being offset by depleting old deposits. In a bid to tackle the crisis, the PML-N government started liquefied natural gas (LNG) imports from Qatar under a 15-year agreement and brought supplies from other sources as well.

According to a government official, after signing of the memorandum of understanding (MoU) for the offshore pipeline, work on the feasibility study will begin. Russian gas exports touched an all-time high in 2017. According to Gazprom, gas flow to Europe and Turkey, excluding ex-Soviet states, hit a new daily record of 621.8 million cubic metres.

Published in The Express Tribune, September 26th, 2018.

https://tribune.com.pk/story/1811503/2-pakistan-russia-ink-10-billion-offshore-pipeline-deal/



They have an impact but where the current turn in relations aren’t focused on them their impact isn’t enough yet to create an issue. That doesn’t mean the Indian foriegn service and intelligence spares any attempt to try and stop these transactions and they have succeeded as much as they have failed at them.

Agree. Not all Indian attempts would be successful. The deals that India makes need to be big enough to influence the vendors.
 
You dont understand economics do you. Understandable as Pakistan has a practically dysfunctional economy. We generate excess capital from the loans we take. Ie our loans almost always end up being profitable for us, while Pakistan almost always wastes its loans. Case in point our forex reserves and 50 pc more that your econonomy. And over 10 times yours in per capita terms.

You need forex to buy anything from outside Paksitan and you got squat in that department. Its gonna be hard for you buying anything above 500 million $ cumulatively in the short term.
Weapons are not productive assets. They useless in peacetime. So I do understand some economics. Per capita statement is b. S. : India is second most unequal economy in the world.
 
I am from India. Just because I disagreed with you does not make me a Pakistani. On topic, Russia is now doing business with India in Rubles. The same may be the case with Pakistan. Do you know Russia is planning to build a pipeline in Pakistan?

Pakistan, Russia to ink $10 billion offshore pipeline deal
By Zafar Bhutta
Published: September 26, 2018
0SHARES
SHARE TWEET EMAIL
1811503-image-1537903035-809-640x480.jpg

Russia’s energy giant Gazprom would conduct feasibility study on its own expenses to assess economic viability and cost of the project. PHOTO: FILE

ISLAMABAD: In a major breakthrough, Pakistan and Russia are set to sign a $10-billion offshore gas pipeline deal on September 27 in Moscow, a project planned by the latter to capture the energy market of Pakistan.

Sources told The Express Tribune that the cabinet, during the tenure of previous Pakistan Muslim League-Nawaz (PML-N) government, had approved the signing of the gas pipeline deal with Moscow.

Inter State Gas Systems (ISGS) – a state-owned Pakistani company established to handle gas import projects and is already working on schemes like Turkmenistan-Afghanistan-Pakistan-India (Tapi) gas pipeline – has been designated by Pakistan for executing the pipeline project along with Russia’s energy giant Gazprom. A Pakistani delegation will leave for Moscow on Wednesday (today) to sign the multibillion-dollar deal.

Pakistan, Russia ink historic military cooperation pact

Talking to The Express Tribune, ISGS Managing Director Mobin Saulat acknowledged that the agreement would be inked in Moscow on September 27. He revealed that Gazprom would conduct the feasibility study on its own expenses to assess economic viability and cost of the project.

“China-Pakistan Economic Corridor (CPEC) has now entered the industrialisation phase and needs gas for duty and tax-free Special Economic Zones (SEZs),” he said. “The offshore gas pipeline will meet energy needs of industries being set up in the economic zones along CPEC route.”

According to officials, the pipeline will connect Pakistan and Russia and act as an energy corridor between the two countries. “Strategically, it is a very important project as the two countries will come closer to each other,” an official said. “At the same time, Pakistan will gain access to the Russian market in order to boost its overall exports which remained stagnant during five-year tenure of the PML-N government.”

Russia has nominated Public Joint Stock Company Gazprom for implementation of the project. Pakistan’s cabinet has permitted the company to conduct the feasibility study at its own cost and risk.

Separately, ISGS is working on the $10-billion Tapi gas pipeline which will connect South and Central Asia. Construction work on the scheme in Pakistan is planned to start in March 2019.

These projects are termed game changer for Pakistan as they will not only lead to regional connectivity, but will also meet growing energy needs of the country.

Pakistan, Russia: Businessmen eager to enhance ties

Owing to a long-running tussle with Europe and the United States over the annexation of Ukrainian region of Crimea, Russia is looking for alternative markets and wants to capitalise on the increasing energy demand in South Asia.

Russia has been a huge gas exporter to European Union (EU) countries and Turkey since long and despite US anger, Moscow has continued to provide gas to them. Moscow receives gas from Turkmenistan and then exports it to EU states.

Pakistan has been experiencing gas crisis, particularly in winter, for the past many years as domestic production has declined with new additions being offset by depleting old deposits. In a bid to tackle the crisis, the PML-N government started liquefied natural gas (LNG) imports from Qatar under a 15-year agreement and brought supplies from other sources as well.

According to a government official, after signing of the memorandum of understanding (MoU) for the offshore pipeline, work on the feasibility study will begin. Russian gas exports touched an all-time high in 2017. According to Gazprom, gas flow to Europe and Turkey, excluding ex-Soviet states, hit a new daily record of 621.8 million cubic metres.

Published in The Express Tribune, September 26th, 2018.

https://tribune.com.pk/story/1811503/2-pakistan-russia-ink-10-billion-offshore-pipeline-deal/





Agree. Not all Indian attempts would be successful. The deals that India makes need to be big enough to influence the vendors.
I will probaby get a beating from oscar for this reply as he just asked me to stop derailing this thread with forex talk. But i am having a itch to explain this. To trade is ruble you need you guessed it rubles. Now you can get them by running a trade surplus with russia, a currency swap or simply buying rubles in exchange for some other forex you own. Paksitan doesnt have a surplus with russia, its currency in unstable and inflation high a currency swap is unlikely and the third option will will affect your reserves.

So it is unlikely that Paksitan will have significat amount of rubles other than necessary to provide liquidity in trade.

Weapons are not productive assets. They useless in peacetime. So I do understand some economics. Per capita statement is b. S. : India is second most unequal economy in the world.
You can look it like this. We use internal capital for our weapons and external loans for our infra, ie anybody who loasn us has a low risk. We are quite confortable in our debt as evident from our credit rating.

PS- Jsut an FYI income equality and capital generated has a low correlation factor.
 
I will probaby get a beating from oscar for this reply as he just asked me to stop derailing this thread with forex talk. But i am having a itch to explain this. To trade is ruble you need you guessed it rubles. Now you can get them by running a trade surplus with russia, a currency swap or simply buying rubles in exchange for some other forex you own. Paksitan doesnt have a surplus with russia, its currency in unstable and inflation high a currency swap is unlikely and the third option will will affect your reserves.

So it is unlikely that Paksitan will have significat amount of rubles other than necessary to provide liquidity in trade.

How about Pakistan buying Rubles with Yuans? Can Pakistan lease couple of berths to Russia in Gwadar? There are many possibilities here.
 

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