Defence Minister Antony says Arjun Mk II will cost Rs 37 crore per tank

[sudhir007]

is Mk-2 come with new indigenous 1500HP engine or same German engine

 

[Omega007]

Self delete.
Reason-double post. . . . . . . . . . . . . . . . . . .

 

[Omega007]

It seems that Mr Antony stated the cost to be 37 crore with the development cost included and not the production cost per unit.Like,a F22 fly away cost is 150 mn $ but when development cost is included,the unit price grows up to 350 mn $ per plane.Same case may be the here,or my be not. We need more data to be sure.
REGARDS......

 

[suryakiran]

That does not negate the fact that this tank is coming out to be 2.5 times T-90...One of the reason for going local is to reduce the cost and of-course enjoy the benefits of self-sufficiency...No doubt mass-production will bring the cost down but to what extent??? Secondly labour cost in India is much lower as compared to ruskies...so unless this value has been reported out of context i think it will be called ridiculous...

Now if this Arjun tank can single handedly take 2 T-90's i have no problem with the cost...but can it???

Could anybody update me with the cost of T-90 during initial batch production during 1990's and the cost right now? I tried to search and i'am not able to find the cost T90 during 1990's.


Also, Arjun is the first tank project which has been designed in India. So, one cannot compare it with Russia's tanks because they are masters in tank production. Ee are just making our first step.

When we gather more experience in design and when we start producing the tank in big numbers, for ex order 1000 Arjun MKII instead of 1000 T-90's, the cost will definitely come down to a big extent.

 

[Black Widow]

It seems that Mr Antony stated the cost to be 37 crore with the development cost included and not the production cost per unit.Like,a F22 fly away cost is 150 mn $ but when development cost is included,the unit price grows up to 350 mn $ per plane.Same case may be the here,or my be not. We need more data to be sure.
REGARDS......

I do Agree with you. We need more data before jumping over our seats...

Secondly few things should be kept in mind before commenting on cost factor.
1. Mass production reduces cost. like 15" laptops are 10-15% cheaper than 14" laptops.
2. Arjuna MK II is kick-*** machine, It has got world best equipment. When you except it to be best, it has to be costly...
3. I think this 8million USD consist many things, like training to staffs, assembly line creation etc.

 

[Udtapanchi]

1. As far as I remember it was the Arjun MK1 that was found to be more than a match for the T-90s. Now we are discussing about Arjun MK-2 which will be a step up the MK-1 and hence considerably better than the T-90s.

2. A large part of the amount spent on the MK2 will remain in the country & can be used for further military development.

 

[angeldemon_007]

It seems that Mr Antony stated the cost to be 37 crore with the development cost included and not the production cost per unit.Like,a F22 fly away cost is 150 mn $ but when development cost is included,the unit price grows up to 350 mn $ per plane.Same case may be the here,or my be not. We need more data to be sure.
REGARDS......

We are not purchasing arjun from other country so as far as we are concerned the per unit cost of arjun mk2 will be around 37 crore rs.

 

[sancho]

We are not purchasing arjun from other country so as far as we are concerned the per unit cost of arjun mk2 will be around 37 crore rs.

True, since it's an indigenous development, the price should be "the fly away" cost, so without development costs and stuff, which would mean that the export price would be even higher. I can't believe that such costs are purely based on the low numbers alone and maybe the ammount of foreign parts plays a role as well (don't forget the reports that Arjun MK2 would have Israeli and French parts as well).

Btw, although I'm purley talking about the costs and not about capabilities, it is not like other tanks will not be upgraded with latest techs:

The modernized T-90S:

More infos here:

Defunct Humanity: New information & pics of modernized T-90


And the Leopard 2a7+ that the Saudis are going to procure in high numbers:

For India the price of Arjun might be less an issue, but wrt exports it does, since any export customer will clearly prefer a proven western tank, Arjuns price is equal, or even higher to these. You simply expect lower costs from Russian, Chinese as well as Indian arms and that's possibly a reason why Arjun seems not to get much interest from export countries.

 

[Lord Of Gondor]

is Mk-2 come with new indigenous 1500HP engine or same German engine

The one being conceived will have the 1500HP Indian Engine but the one being tested in Pokhran might be having the German Engine as DRDO have said that the changes will be carried out in stages

 

[Archie]

Frankly i dont know why u people are getting excited about the price

What i believe is that price quoted by antony could include development cost , as u know Arjun MK2 include some 93 improvements as well as development of several indegenous equipment like the 1500 HP Tank Engine which will replace its German counterpart
This engine will also be used in the FMBT project which will replace our 1950 odd T72 MBTs starting 2022
Several of technologies developed for Arjun will find there way into FMBT projects

Now before u guys start abusing the T-90 MBT , u need to know the conditions under which they were acquired
It was yr 1997 and there was no sign of Arjun , our Pakistani Brotherens had just ordered some 240 odd T-80U tanks from Ukraine , we needed a modern tank imidiately , not 12 yrs later
After our Nuke tests in 1998 , which were followed by western sanctions Arjun programme was virtually screwed , With war clouds gathering , it was decided by Vajpayee to order some 310 odd T-90S MBT from Russia , these tanks were delivered in 2000-01 , nearly 8 yrs after delivery of last of the T-72
Another batch of 347 T-90S was ordered in 2004 becoz of still more delay in Arjun due to the tank overheating in field trials .
these tanks were delivered in yr 2007 and a new agreement was signed to produce a further 1000 T-90M under TOT
In yr 2008 Arjun was cleared for full Induction , having solved all its shortcommings except 1 ie its weight
As u guys know that when India began developing Arjun in 1970s , we were operating T-55 , Vijayantas and Centurians , DRDO was asked to develop a tank about the size of German Leopard 1 and British Challenger 1
These tanks were out of bound for India becoz of our close relationship with USSR .
Then in 1978 India decided to Induct T-72s which were actually the most capable tanks available to us at that time , and we ended up inducting some 2418 of them between yr 1978-1994
T-72 is not much heavier than T-55 , hence most of our so called Logistic infrastructure developed to move MBTs to the frontline was developed to suite the T-72
Had the arjun entered service even in 1980s , even then we would have time to develop Logistic infrastructure for movement of Arjuns to Borders
thats the reason why Arjun Regiments are posted in Jaisalmer which is close to the front , so that these tanks can move quickly into position at times of war

The only advantage which T-90 has over the arjun is its weight , coz at 46 Tons , its compatible with our logistic infrastructure which among other things , include capability to move 3000 tanks from one place to another in a matter of days
It is not possible to replace an infrastructure developed over a period of 30 yrs

Also u need to know that we need to mentain an inventory of 4000 MBT
Currently we do have over 800 T-90 , some 124 Arjuns , 1950 T-72 and 1100 odd T-55 and Vijayantas
Even if we were to induct 1000 odd arjuns , we still will require to replace 2100 odd tanks by 2030 , that will require the 857 more T-90M and some 1300 odd FMBT .

But the problem still is that how do u deploy 1000 odd Arjuns ,
You cant just permanently deploy them to frontline areas cause that will infuriate some pakistani who might shout that India has authorised cold start and u will have the likes of Zaid Hamid and Hafiz Saeed shouting that PA should use NASR on these tanks

 

[vaibhs82]

During a visit to HVF and to the Central Vehicles R&D Establishment (CVRDE), which has developed the Arjun, Business Standard was explained that the cost of the Arjun is easily reduced. If the army places a larger order the price will drop by 30%.
P Sivakumar, Director of CVRDE, explains that 50% of the cost of the Arjun Mark I went on three imported components --- the gunner’s main sight (GMS) from OIP Systems, Belgium; the gun control equipment (GCE) from Bosch, Germany; and the power pack (engine and transmission) from Renk, Germany --- which together cost Rs 12 crore. Ordering just 124 pieces left little leeway to beat down that price.
“If you are talking just 124 tanks, there is a problem. Bring an order for 500 tanks. We will go for ToT (transfer of technology) for the foreign parts… The cost of labour in Germany is the highest in the world. We will build 70% cheaper in India. If we buy the power pack of the Arjun for Rs 7.5 crore today… I will produce it in India for just Rs 4-5 crore,” says Sivakumar.
For an army with more than 3,500 tanks, including 2,400 obsolescent T-72s that are crying out for replacement, ordering just 124 Arjun Mark IIs seems unduly cautious. But the army has little incentive to reduce cost. Though the generals are now willing to order more Arjuns, they are placing their orders piecemeal.
Since most of the Arjun’s 10,000 components are outsourced, the size of the order is a crucial determinant of what price they are supplied at. Says RK Jain, Additional DG of the Ordnance Factory Board (OFB) who oversees HVF: “If the army’s indent is for just 124 tanks, the vendors charge higher prices. Besides, the amortisation cost of jigs, tools and equipment is reduced over a larger order. HVF and CVRDE have been jointly requesting the army to confirm an order of at least 250 Arjun Mark IIs so that we can negotiate from a stronger position,” says Jain.
Another reason for the Arjun Mark II’s rising cost becomes obvious at the Arjun production line at HVF, where the army is collecting the last of 124 Arjuns that were cleared for production in 2008. Just as the Rs 50 crore Arjun line has hit its stride, it must shut down for at least two years since another order can come only after the Arjun Mark II trials next year.

this is the reason for the increased cost. if the IA orders arjun mk-2 in bulk, CVRDE can negotiate for ToT of imported parts which lowers the cost by almost 30% and taking it down to almost $5.5 million which is what the price should be

Vaibhav

 

[IndianArmy]

It Must not be looked into as buying. It is an Investment we make today to reap the best and comparatively cheaper than the rest in future. If the Armed forces do not promote buying desi weapons then during the testing times we would be forced to buy foreign no matter how expensive they are because we would be left with no choice but buy them.

 

[illusion8]

Thats overpriced, and rediculous.

How much is an Abrams estimated cost?

 

[turkish]

What kind of APS suite does MK 2 has????

 

[Kinetic]

What kind of APS suite does MK 2 has????

Most probably Trophy or an Indian APS.