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The Defence Acquisition Council (DAC), the top procurement body in the Ministry of Defence, has just cleared going ahead with the acquisition of six conventional submarines with Air Independent Propulsion.
The estimated cost of the deal, which will involve building the submarines in India with transfer of technology from the chosen OEM, is put at Rs 43,000 crore ($5.9 billion).
Four major overseas shipbuilders have already responded to an Indian "expression of interest" (EoI) for partnering an Indian "strategic partner" firm to build the submarines in India. The four OEMs are: Rosoboronexport (Russia), Naval Group (France), Thyssenkrupp Marine Systems (Germany) and Kockums (Sweden).
It's either Russia or Germany. Won't put all eggs in the French basket and also the Scorpene leaks. The Japanese boats would have been interesting since they are really advanced. But they seem to be missing. So are the Swedish but there are no strategic wins there.
ReplyDeleteRussia has had India's back for decades now and relations with Germany are lukewarm. These are important considerations. Strategic relationships triumph technical and cost considerations.
India should go for the Russian boats.
L&T won't win, the Government babus will ensure Mazgaon dock wins. L&T will be kept happy with building the surface fleet for the Navy and Coast Guard.
We are witnessing the birth of the Military Industrial complex in India.