Here is a credible source:
French Push Warship Sales
The failure of Frances Armaris to sell submarines to Pakistan last year could hamper French efforts to sell surface ships and submarines to Saudi Arabia.
RIYADH - French Push Warship Sales - INTELLIGENCE ONLINE
Now last year, there was all the hype in the Pakistan commitee about procuring inferior U-214 boats instead of the Marlin (due to the strong French lobby, remind you even the French President Pushed for it).
Even the inside credible sources are saying that U-214 will be picked. Now how credible is the source is for Jilo has yet to be seen.
He is quite a high ranking contact who was just recently promoted to TKMS Asia and probably suss out the possibility of a U212 derivative to RAN to replace our Collins in a couple of years time. Naturally in regards to the South Asian procurement cycle he was only giving me vague specifics and I have left Pakistan too long to ascertain the exact details of the procurement process under Musharraf. What I do know is that the sale must have cabinet level clearance from the Pakistani side-and a Federal National Security Council clearance from the German side as well as significant input with the foreign ministry. In other words the German side and TKMS must be willing to authorize and bid for the tender in response to an RFP which as far as I know has not been forthcoming.
Now I base my speculation on these key trends the defence industry has observed these last four years. The IN has had severe issues as Agnostic Muslim mentioned with delays and cost overruns for key naval programs-especially Project 75 (licensed Scorpene) which will critically weaken the IN submarine arm if the first hulls do not start hitting the water in 2012 as the two foxtrots have "survivability issues" in wartime and the Type 209s are wearing out. The IN has set a requirement for 22 SSKs by 2020 (maybe too ambitious) and apparently DCNS have been refusing to transfer key technologies of an "unspecified type" (read:EW and C3) to the Mazagoan shipyard for local production. I don't know why, India has a spotless record of not copying defence tech unlike China which is why everyone wants to do business with them-perhaps some of our Indian friends can assist us?
In any case state owned Mazagoan is the only shipyard the IN trusts to manufacture SSKs under license which rules out other private yards like Hinduistan-creating this backlog as Mazagoan is also repsonsible for every other major surface combatant India is producing indigenously. In short, this means that in order to achieve the numbers IN will be forced to import at least six SSKs and the incentive is that some of these
probably will be constructed in their home countries to meet the 2020 date as opposed to PN's requirement that they be locally manufactured under licence. Now while the Indian defence bureaucracy is India's worst enemy, critical interests like these get prioritised as the admirals have New Delhi's ear-expect to see an RFP issued this year at Euronaval or the next.
Obviously TKMS intends to bid this time as it offers possible German manufacture of at least two U214, existing synergies with the Type 209s in IN and a chance to increase IN interest in more German naval products from TKMS. If I were a TKMS executive I'd be leveraging all options I have to win this deal and that means not bidding for a PN RFP as the Indians won't be happy to operate a similar platform, emphasising the U214's superb EW suite, IDAS, D2A4 etc. -and the fact my company won't get beaten on kickbacks
Naturally I could be entirely wrong as this is my synthesised informed guess based on experience and knowledge I have accumulated on the Asian defence scene-it really depends on how fast the Indians make known their requirements to interested parties through back channels(note this is even before a RFP) and how much pressure they can bear on the Germans (quite a lot due to the Indo-German MoU signed earlier this month opening up the Indian market to German vendors).