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India Reviews Offsets for Fighter Program
Aviation Week's DTI | Neelam Mathews | August 05, 2008
This article first appeared at Aerospace Daily & Defense Report.

New Delhi -- Prospective vendors submitted their offsets package Aug. 4 for India's Medium Multi-Role Combat Aircraft (MMRCA) program.

The proposal was submitted in response to the MMRCA request for proposals (RFPs), which asked all competitors to provide an "industrial participation" (IP) plan as part of their offering.

The RFP for the 126-aircraft MMRCA program went out to Boeing, Eurofighter, Gripen, Lockheed Martin, MiG and Rafale, and the companies submitted their bids in April.

Lockheed said its offer included a wide range of projects including investment, manufacturing, export creation and joint development.

"Lockheed Martin is committed to working with our industrial partners and Indian defense industry to develop long-term, high-value projects that bring technology and sustainable business to India," said Orville Prins, a Lockheed vice president for business development.

The giant contractor, based outside Washington, D.C., is touting its history of having established four F-16 production lines outside of the United States as one of its selling points. It says it has achieved over $37 billion in offset program credits in 40 countries - "all without default or penalty. A proven cornerstone of these programs is the ability to provide transfer of technology to program partners."

Boeing claims it has a formidable industrial lineup that includes a supplier team of 16 leading aerospace and defense companies with combined revenues of over $454 billion, as well as 37 public- and private-sector Indian companies.

Earlier this year, Boeing reached agreement to form a joint venture with Tata Industries Ltd. Last year, it reached another deal with Hindustan Aeronautics Ltd, which is adopting Boeing's "Lean" and best-management practices. Boeing has also signed an agreement with international engineering firm Larsen & Toubro for joint exploration of business opportunities in the Indian defense market.

"We are already establishing the groundwork that will lead us to success in this large undertaking through early engagement of Indian industry, both public and private," said Vivek Lall, Boeing Integrated Defense Systems vice president and India country head.

Not to be left behind, EADS said it understands the importance of industrial co-operation associated with defense acquisition programs. "This is particulary true...where the industrial collaboration can decisively contribute to further shaping the future of the Indian defense industry", said Bernhard Gerwert, chief executive of military air systems.

EADS and its Eurofighter partners have signed over 20 memorandums of understanding with key Indian defense companies.

"Earlier this year we invited India to become a member of the successful Eurofighter family. Today I want to repeat this message: India is our partner of choice and we are interested in long-lasting and mutually beneficial political, industrial and military relations, based on...true partnership," said Gerwert in a statement.

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Copyright 2008 Aviation Week's DTI. All opinions expressed in this article are the author's and do not necessarily reflect those of Military.com.

 
About Aviation Week's DTI

Defense Technology International (DTI) -- Integrated intelligence, Global perspective on current and emerging land, sea and air defense technologies.


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