India-Russia aircraft carrier deal on the rocks

[Neo]

India agrees to pay more to save aircraft carrier deal​

* Indian defence secretary says carrier will be ready by 2010​

NEW DELHI: India has agreed to pay more to Russia to save the aircraft carrier Gorshkov deal, sources revealed here on Wednesday.

According to sources, both sides are refusing to spell out the exact figures for the warship, which was originally priced at $ 970 million. They said the deal had come to a standstill with India almost threatening to walk out of the deal after the Russians began demanding an additional $ 900 million. Returning from Moscow, Indian Defence Secretary V K Singh said the figure could not be disclosed as the modified contract had to be put up to the Union Cabinet and the Cabinet Committee on Security for clearance. Sources said India had also agreed to send 100 trained personnel from its shipyard to the Sevmash Shipyard in the Arctic to join the 1,200 Russian personnel working on the ship.

Talking to reporters, Singh said, “The warship requires the installation of new turbines, boilers, 2,500 km of cabling and strengthening of its flight deck for operations by MiG 29 fighters as part of the new retrofitting to be undertaken on the carrier.” He said the modified contract would be signed by the end of March after teams from Russia would visit India to finalise the contract.

Ready by 2010: The defence secretary said the aircraft carrier would be ready by 2010 after which it would undergo 18 months of extensive sea trials by the Russian navy along with their Indian counterparts.

“The sea trials for the carrier would comprise sailing it out to great distances and operating fighters from the deck,” said Singh, adding that modalities were being worked out to reduce costs by reducing time sea trials’ time and contemplating if some of these trials could be undertaken in Indian waters.

When asked to comment on Indian Naval Chief Suresh Mehta’s recent threat of walking out of the deal, Singh said, “There is no question of giving up the carrier.” He also denied reports that Russians wanted to reclaim the carrier.

Daily Times - Leading News Resource of Pakistan

 

[Proud to be Pakistani]

2012 FOR THE CARRIER WILL BE FEASIBLE!

 

[Keysersoze]

I love the part about India threatening to walk out before caving in lol. They had no other choice and everyone knew it. Either walk out and have no carrier (Kitty hawk was not happening as far as I am concerned) Or cave in and get a carrier 3 or so years late.

Chalk up another hard ball session to the Rooskies

 

[Neo]

Lot more redesigning and modifications to be done, lets wait and if the deadline can be met.

I've said it before in some other thread that there are structural problems with the hull and maindeck, some parts will have to be replaced rather than strengthend so $900 seems like a bargain to me.

 

[ejaz007]

India, Russia End Spat on Aircraft Carrier
AGENCE FRANCE-PRESSE
Published: 28 Feb 09:46 EST (04:46 GMT)

NEW DELHI - India and Russia have ended a protracted dispute over the cost of a Soviet-era aircraft carrier which will be now sold at a higher price to the Indian navy in 2011, officials said Feb. 28.

Indian Defence Secretary V. K. Singh, returning from Moscow, said a new undisclosed price had been agreed upon for the 44,570-ton Admiral Gorshkov.

Russian export firm Rosoboronexport in 2004 signed a deal to refurbish the carrier for $970 million but last year demanded India pay an additional $1.2 billion.

Singh declined to give details of the negotiations but conceded "there will be a substantial increase in the "reworked estimate" for the modernization of the 30-year-old ship.

"The figure cannot be disclosed as the modified contract has to be put up to the union Cabinet and the cabinet committee on security for clearance," he told reporters in New Delhi. "The modified contract would be signed by March end after teams from Russia visit here to finalize it. There is no question of giving up the carrier and at no time had the Russians said that they wanted to reclaim the carrier."

Defence sources said India has agreed to pay up to $900 million more for the carrier and added that a domestic shipbuilding yard was rushing experts to speed up the project.

"India is sending more than 100 trained personnel from its shipyard to the Sevmash shipyard to join 1,200 Russian personnel who are working on that ship," a ministry official said.

Singh said the Gorshkov will be rechristened INS Vikramaditya and join the Indian navy as early as 2011.

"The warship requires installation of new turbines, boilers, 2,500 kilometers of cabling and strengthening of its flight deck as part of the new retrofitting to be undertaken on the carrier," he said. The carrier will be ready by 2010 after which it would undergo 18 months of sea trials."

Under the contract, Russian shipyard Sevmash will equip the vessel with modern weapons, 16 MiG-29 fighter jets and a fleet of anti-submarine helicopters.

Admiral Gorshkov is set to fill a vacuum left by the scrapping in 1997 of India's first aircraft carrier, INS Vikrant, which had been in service since 1961.

The Indian navy has only one operational aircraft carrier, the INS Viraat, which is set to be phased out in coming years.

The breakthrough on the deal came three months after Indian Prime Minister Manmohan Singh flew to Moscow on Nov. 12 for talks with Russian President Vladimir Putin on defense and political ties.

Russia accounts for 70 percent of Indian arms supplies, but late deliveries and commercial disagreements have led New Delhi to use other suppliers such as Israel, Britain, France and the U.S.

Russia is in a race with western rivals for a $10 billion deal to sell 126 fighter jets, artillery worth $2 billion and 317 helicopters worth $1 billion to India.

India, Russia End Spat on Aircraft Carrier - Defense News

 

[ejaz007]

Indian Navy Chief Has New Gorshkov Carrier Offer​

By vivek raghuvanshi
Published: 14 Mar 12:05 EDT (08:05 GMT) Print | Email

NEW DELHI - India and Russia will attempt another round of negotiations to resolve the stalemate over the price of the Russian aircraft carrier Admiral Gorshkov during the March 13-19 visit of Adm. Sureesh Mehta, Indian navy chief, to Moscow.

India and Russia continue to negotiate ove the carrier. (U.S. Department fo Defense) Indian Defence Ministry sources said the chief is carrying a package that includes a substantial hike in the price of refitting the carrier, an offer they hope will resolve the stalemate on the price issue.

The Russians last year demanded a price increase of more than $600 million to refit the carrier - this was above the already agreed cost of about $650 million. While the Indian government resisted the higher cost, the Defence Ministry softened its stance as the Indian navy insisted on getting the aircraft carrier in the next five years.

Mehta will also inspect the assembly of MiG-29K aircraft, 16 of which have been contracted for the aircraft carrier by the Indian navy for $640 million. Mehta is also scheduled to visit the Sevmash shipyard in Russia, where the aircraft carrier is undergoing refit.

Indian Defence Ministry officials hope the visit of the Navy chief will improve defense ties between India and Russia.

Indian Navy Chief Has New Gorshkov Carrier Offer - Defense News

 

[su-47]

the russians are really f***ing us over now. i can understand that there would be cost escalation due to fall in dollar value, but not to this extent. also the delays are inexcusable.

russian inefficiency is beoming a real pain in the @ss. i just hope we dont give MRCA to them. if we do we can expect to see MiG-35 entering service with IAF in 2055.

 

[Titanium]

the russians are really f***ing us over now. i can understand that there would be cost escalation due to fall in dollar value, but not to this extent. also the delays are inexcusable.

Seems India can never get enough of Russians, even after MTA cancellation...

russian inefficiency is beoming a real pain in the @ss. i just hope we dont give MRCA to them. if we do we can expect to see MiG-35 entering service with IAF in 2055.

IF it is hurting ..........you should get over with it, but the deals suggest you guys enjoy the pain.

 

[Always Neutral]

Time for India to wake up and smell the grass on the other side of the fence. I am curious why Indians paid the next installment if they were not happy with work progress.

Regards

 

[Tiki Tam Tam]

Shadow boxing!

 

[IceCold]

I am curious why Indians paid the next installment if they were not happy with work progress.

Regards

Because they do not have a better option available at the moment. They will have to stick with it whether they like it or not or get out of the project without having a carrier at all which will be a huge blow to indian navies blue water dreams.

 

[su-47]

Seems India can never get enough of Russians, even after MTA cancellation...




IF it is hurting ..........you should get over with it, but the deals suggest you guys enjoy the pain.

we already spent a lot on admiral gorshkov. to cancel it now would be an absolute waste of money. might as well get it over with.

 

[su-47]

Because they do not have a better option available at the moment. They will have to stick with it whether they like it or not or get out of the project without having a carrier at all which will be a huge blow to indian navies blue water dreams.

that is why we started building our own AC. so that we dont have to look to anyone else to build it for us.

i just hope india can be fully self-suffiecient by 2025 or so.

 

[IceCold]

that is why we started building our own AC. so that we dont have to look to anyone else to build it for us.

i just hope india can be fully self-suffiecient by 2025 or so.

True! however to build an aircraft carrier on your own in another story and will place tough challenges ahead of india and for that again you will need assistance to get through.

 

[Titanium]

we already spent a lot on admiral gorshkov. to cancel it now would be an absolute waste of money. might as well get it over with.

I don't think you guys will get over with Russia, you draw pleasure from the pain given by Russians looking PAK-FA and so many other projects in Russian pipeline!!!