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Finmeccanica out, US’s Sikorsky joins Navy copter acquisition race

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Finmeccanica out, US’s Sikorsky joins Navy copter acquisition race
Rajat Pandit,TNN | Nov 5, 2014, 06.45 AM IST
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The Indian Navy has been looking for replacing the aging fleet of Sea King helicopters for a long time now.
DELHI: The infamous VVIP helicopter scandal has claimed another victim. The defence ministry has ejected the European NH-90 chopper, linked to Italian conglomerate Finmeccanica, out of the race to supply 16 multirole helicopters to the Navy.

The commercial bid of the other contender in fray, American Sikorsky-70B choppers, will now be opened this month after a long delay. "Both NH-90 and Sikorsky-70B choppers had cleared the technical trials held a couple of years ago," said a MoD source.

"But their commercial bids were not opened due to various controversies. Now, the Sikorsky bid will undergo evaluation and final price negotiations will follow. The defence procurement policy permits single-vendor situation if the bids were earlier submitted in a competitive manner," he added.

The long-pending acquisition of the 16 helicopters is critical for the Navy since it is fast running out of choppers that can detect, track and kill enemy submarines at a time when the Chinese navy has stepped up its forays in the Indian Ocean region.

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The Navy is also keen to kick-start a much bigger project for manufacturing 124 multi-role helicopters, armed with anti-submarine warfare (ASW) and early-warning capabilities as well as customized for amphibious commando operations, in an indigenous project worth around $3 billion.

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Indian Navy choppers fly past during a naval show. The long-pending acquisition of the 16 helicopters is critical for the Navy since it is fast running out of choppers that can detect, track and kill enemy submarines. (TOI file photo)

The procurement process for the 16 new helicopters, which was initiated several years ago, had been kept on hold since the CBI began investigating the now-scrapped 556 million euro contract for the 12 VVIP AW-101 helicopters of AgustaWestland, the UK-based subsidiary of Finmeccanica.

With the Modi government implementing "a partial ban" on Finmeccanica, under which ongoing contracts will continue but there will be no fresh deals, the European NH-90 chopper has now been eliminated from the naval chopper procurement case.
 
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So now only 70B is left in race. It is quite an impressive machine, no doubt, but won't he ejection of NH 90 mean this turning RESULTING INTO SINGLE TENDER clause. Usually under such cases,they resort to re-tendering and as the report indicates, with dwindling strength, that won't amuse the navy one bit.
@sudhir007 @sandy_3126
 
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So now only 70B is left in race. It is quite an impressive machine, no doubt, but won't he ejection of NH 90 mean this turning RESULTING INTO SINGLE TENDER clause. Usually under such cases,they resort to re-tendering and as the report indicates, with dwindling strength, that won't amuse the navy one bit.
@sudhir007 @sandy_3126

You are probably right. :coffee: Single vendor situations cripling our defence forces. Maybe its about time GOI should buy these birds via Foreign Direct Sales from USA.
 
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So now only 70B is left in race. It is quite an impressive machine, no doubt, but won't he ejection of NH 90 mean this turning RESULTING INTO SINGLE TENDER clause. Usually under such cases,they resort to re-tendering and as the report indicates, with dwindling strength, that won't amuse the navy one bit.
@sudhir007 @sandy_3126


The defence procurement policy permits single-vendor situation if the bids were earlier submitted in a competitive manner,"
 
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Indian officers ask kickback then they shall be sentenced in the military court.
 
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Don't you guys think we're buying too much of US weapons??? can't trust Uncle Sam..
 
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You are probably right. :coffee: Single vendor situations cripling our defence forces. Maybe its about time GOI should buy these birds via Foreign Direct Sales from USA.

No, no need for that. The FMS route while being faster actually adds on costs wrt to a 'tender' sale.
So far as 'single-vendor' sales are concerned; the rules for that has been changed already.
Sikorsky is pretty high up in the IN's wish-list and will be logical to continue with them.
Finally, this deal (if it fructifies) will give a big impetus to the TATA-Sikorsky JV in India; which will not only aid acquisition but even maintenance of these Helos in India. MoD will do well to fix Sikorsky into this program.
 
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Good.. Now we should try to clear the bigger competition ASAP. IN is in dire need of MRH.
 
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