Weekly Defence News Report (WDNR) - February 15-21, 2010

• Defence Offsets worth Rs.49,000 crores to be finalised in next couple of years

February 16, 2010

India will finalise defence offsets worth Rs. 49, 000 crores in next few years, said India’s Minister of State for Defence, Pallam Raju. In a speech delivered in a conference organised by the PHD Chamber at DefExpo–2010, the Minister Said: “There are 41 offset contact worth more than Rs. 49000 crores in the pipeline at various stages of negotiations which are going to materialise in the next couple of year.” So far, the MoD has signed 10 offset contracts worth Rs. 8,200 crores. Apart from state-owned DPSUs and OFs, 31 private companies have received offsets.

• Akash missiles to be deployed in North-East

February 16, 2010

Reports noted that India is planning to deploy surface-to-air Akash missile in North-East. As per the plan, the India Air Force (IAF) will deploy eight squadrons of the missile at the cost of over Rs. 6,100 crores by 2015, with the first squadron being expected to come up by 2011. The deployment is part of Indian defence forces’ plan to step up military preparedness, in move to “counter China’s massive build-up of military infrastructure all along the unresolved 4057-km Line of Actual Control (LAC).” In other measures, the Indian Army is raising two infantry mountain divisions and an artillery brigade in Arunanchal Pradesh. The infantry division, which will have 1260 officers and 35,011 soldiers, is expected to go operational in 2012. The IAF is raising two squadrons of Su-30 MKI, one each in Tezpur and Chabua in Assam.

• Army wants to ‘dump’ Insas rifle

February 18, 2010

Reports noted that the Indian Army wants to ‘dump’ the indigenous assault rifle Insas, developed by Defence Research and Development Organisation (DRDO). A global RFP (request for proposal) has been issued by the Army for a new assault rifle, stipulating that the rifle’s weight needs to be lighter than 3.5 kg. The Insas, which weighs 4.1 kg, may find it difficult to compete in the tender, unless some modification is carried out. The Army’s lack of enthusiasm for Insas is because “it does not measure up its requirements”.

Weekly Defence News Report (WDNR) - February 08-14, 2010

• India releases three joint military operational doctrines

February 09, 2010

General Deepak Kapoor, Chief of the Army Staff (COAS), and the Chairman, Chiefs of Staff Committee released three joint operational doctrines: Joint Doctrine for Sub Conventional Operations, Joint Doctrine for Electronic Warfare and Joint doctrine for Maritime Air Operations. “Since wars would be fought not only in air, on land and sea but also in cyberspace, on electronic fronts, along information highways and media fronts”, the Doctrines emphasise on enhancing joint fighting capabilities of the Indian armed forces. Formulated by the Headquarters Integrated Defence Staff (HQ IDS), a tri-service body under the Ministry of Defence, the “doctrines would fundamentally shape the way Armed Forces plan, think and train for military operations.”

• Indian to launch defence satellite

10 February 2010

Reports noted that Indian Space Research Organisation (ISRO) and Defence Research and Development Organisation (DRDO) are developing a satellite “with sensors to pick up conversations and detect espionage activities” across the borders. The 100-crore satellite, to be placed in the lower-orbit by a polar satellite launch vehicle (PSLV), is likely to be launched in 2014. Among the components, Defence Avionics Research Establishment (DARE) and Defence Electronics and Research Laboratory (DLRL) will jointly develop the electronic warfare system of the satellite, and Bharat Electronics Ltd. (BEL) will manufacture the radar.

• HAL demands $10.5 million compensation from BAE for AJT Hawk troubles

February 10, 2010

Reports noted the Hindustan Aeronautics Ltd (HAL), the largest defence public sector undertaking under the Ministry of Defence has demanded $10.5 million compensation from UK’s BAE Systems for the ‘troubles’ in assembling Advanced Jet Trainer (AJT) Hawk. In 2004, India had signed a contract with BAE systems, under which 24 aircrafts were to be delivered off-the-shelf, and 42 to be assembled by HAL. During the assembly, the HAL however faced problems in re-tooling and re-designing the components supplied by BAE, resulting in delay in its schedule.

• HAL, Boeing sign $4.5 million offset deal

February 12, 2010

US company Boeing and HAL signed a $4.5 million offset deal, under which the Indian company would supply weapons bay doors for the P8-I maritime reconnaissance and anti-submarine aircraft. India had earlier signed a deal with the US major for supply of eight P8-I in a deal worth $2.1 billion. Under the India’s defence offset policy, Boeing is required to provide offsets of 30 per cent of the contract’s value to Indian defence industry.

Weekly Defence News Report (WDNR) - February 01-07, 2010

• L&T, EADS revive defence JV plan

February 05, 2010

Reports noted that India’s Larsen & Toubro (L&T) and Franco-German aerospace and defence group, EADS, are reworking on their defence JV plan after the said plan failed to get clearance earlier from the Government on the ground of non-conformity with the FDI policy. As per the revived plan, L&T will hold 74 per cent of the proposed JV and the rest by EADS. The Indian company is planning to step up its defence business from the present Rs 400 crores to Rs. 2,500 crores in next five year and the proposed JV is crucial in that direction. For EADS, “India is a key market … [and its] target is to establish long-lasting partnerships in India” Says the spokesperson for EADS Defence & Security.

• Agni-3 test fired Successfully

February 07, 2010

The fourth test of the nuclear capable Agni-III missile was test fired successfully from the Wheeler Island, situated in the Bay of Bengal off the coast of Odisha. A Government Press Release noted that the missile, with a flight range of 3,500 KM was “tested for the full range, hit the target with pin-point accuracy and met all the mission objectives.” The test was part of the user (the Army) trial and the missile is “now” expected to be “fully inducted into the armed forces.”

Agni-II is 17 meters long and 2 meters in diameter, has a launch weight of 50 tons. It is a two stage solid propellant system with a pay load capability of 1.5 tons. The first test of the in July 2006 had failed, but its second and third flights in April 2007 and May 2008 were successful. About 80 to 85 per cent of the components of the missile are indigenously developed. “The missile is equipped with a state of the art computer system, navigated with a most advanced Navigation system and guided with an innovative guidance scheme. The Navigation system used for guidance is first of its kind.”