Saudis ditch Typhoon going for Rafale

[EagleEyes]

Iran threat pushes Saudis towards Rafale jet deal

THE Saudi government is in talks to buy 36 Rafale fighter jets from the French regardless of how a dispute with the British over a rival £40bn (E59bn, $78bn) Eurofighter Typhoon contract is resolved.

It was feared that discussions over the Rafale jet, made by France’s Dassault Aviation, were being held as an alternative to the Eurofighter, but sources have told The Business that the Saudis want to buy the Rafale on top of the contract for the Eurofighter Typhoon.

The Kingdom is increasingly concerned about the worsening situation in the Middle East and has been buoyed financially by petrodollars. The French can deliver the Rafale quicker than the Eurofighters can be made. A senior Saudi source said: “Two things have changed in the five years since negotiations began with the British over Eurofighter. The Saudis now have more cash because of money from oil and the situation [with Iran] means it has a pressing need to bolster its airforce.”

French President Jacques Chirac has been pushing hard to interest the Saudis in the Rafale, making capital from worsening relations between Britain and Saudi Arabia.

In recent days, negotiations between the British and Saudi governments over the Eurofighter contract have been shelved.

The Saudi royal family became enraged by the length of time the Serious Fraud Office (SFO) has taken to investigate allegations that BAE Systems set up a £60m slush fund to induce some Saudi officials into securing a previous contract. Chirac plans to visit the Kingdom before the end of the year to secure the Rafale deal.

BAE, the main British company to benefit from the Eurofighter contract, took the unprecedented step of confirming that negotiations with the Saudis were going nowhere.

The threat of Rafale replacing Eurofighter has been used as posturing to force the Government to pressure the SFO into concluding its inquiry.

It is highly unlikely the Saudis would cancel the Eurofighter contract, which has taken five years to progress.

All the parties involved have vested interests in the deal. Saudi Arabia and Britain are firmly entwined over previous agreements that go beyond the supply of military hardware.

Many Saudi pilots are trained by the RAF, BAE has built training and maintenance facilities in the Kingdom and it employs almost 5,000 people over there.

http://www.thebusinessonline.com/Document.aspx?id=C25DF273-1182-4909-8741-743D738ED879

 

[EagleEyes]

There are rumours that Saudis will finance Algeria or Morroco to go for Rafales as well. Is it time and opportunity for PAF to enter SAF air space?

 

[Owais]

why they are going for rafale when they can get superior typhoon??

 

[EagleEyes]

Read the article before you respond.

The Saudi royal family became enraged by the length of time the Serious Fraud Office (SFO) has taken to investigate allegations that BAE Systems set up a £60m slush fund to induce some Saudi officials into securing a previous contract. Chirac plans to visit the Kingdom before the end of the year to secure the Rafale deal.

 

[Neo]

There are rumours that Saudis will finance Algeria or Morroco to go for Rafales as well. Is it time and opportunity for PAF to enter SAF air space?

This could be a golden opportunity to get 18-24 Rafales for a good price, we should certainly look into it.
Dassault is yet to get an export order to keep the production cost down as domestic order is being cut by atleast 30 ac's, concessions can be expected with a joing order from KSA and Pakistan.

Funds for Rafale could be available as early as 2010 and deliveries from 2011 along with the J-10.

Morocco is already negociating with Dassault to replace againg Mirage F-1c with the Rafale but funding remains a problem.
Algeria is going for Russian designs, no Rafales there.

 

[Thunder]

why they are going for rafale when they can get superior typhoon??

Acorrding to the articel the rafale can be dilvered more quickly then the EF

 

[EagleEyes]

This could be a golden opportunity to get 18-24 Rafales for a good price, we should certainly look into it.
Dassault is yet to get an export order to keep the production cost down as domestic order is being cut by atleast 30 ac's, concessions can be expected with a joing order from KSA and Pakistan.

Funds for Rafale could be available as early as 2010 and deliveries from 2011 along with the J-10.

Morocco is already negociating with Dassault to replace againg Mirage F-1c with the Rafale but funding remains a problem.
Algeria is going for Russian designs, no Rafales there.

Would be a good idea to send a team to Saudi Arabia and negotiate a deal.

 

[Iceman2]

i still think that we should consider typhoon. after SA goes with Rafale we should try to stop india getting them thru saudi influence. so it will be a win win situation for pakistan.

 

[Neo]

Imho, even if funding is realised, maintenance costs remain high for PAF at this stage.
Tyfoon is a twinjet.

 

[melb4aust]

I think its time to wake up, we not getting typhoons or raphael any sooner, even along with saudi's. For the time being we should stick with F-16's and thunders.

 

[Neo]

UK defends decision to stop inquiry: Saudi arms deal

LONDON, Dec.15: How the big business in affluent countries procures multi-billion dollar defence deals from the oil rich Middle East countries using big buck bribes and how their governments ignore the alleged frauds in the ‘national interest’ was on display here for the whole world to see as the Serious Fraud Office (SFO) was stopped on Thursday from investigating into the alleged wrong doings by a British company in a deal to sell weapon systems to Saudi Arabia.

The alleged bribes from Britain’s prime defence contractor were part of the £40 billion al-Yamamah contract for BAE to supply the Royal Saudi Airforce with 200 Tornado fighter jets. The Saudi royal family was understood to be furious that the SFO has been allowed to rake through the al-Yamamah deal and embarrass senior members who were involved in the procurement.

The Saudis threatened to cancel a £10 billion agreement signed with the British Government and BAE only three months ago. This deal will lead to BAE supplying the Saudis with 72 Typhoon Eurofighters and the total value of the contract could be worth as much as £20 billion over the 20-year life of the programme.

The SFO refused to comment on the development but issued a statement: “It has been necessary to balance the need to maintain the rule of law against the wider public interest.”

One recalls a similarly shamefaced statement issued by Pakistan’s NAB when earlier this year it was told by the highest authority in the country to stop investigations into sugar scandal involving cabinet ministers?

BAE, which leads the European consortium making the Eurofighter, employs about 4,800 people on the project in the UK. York University's Centre of Defence Economics estimates that the deal would support 11,000 jobs across Europe.

The deal will keep BAE’s Wharton factory in Lancashire, which employs over 9,000 people, operating at full capacity until 2014.

British companies earn £5bn a year from defence exports, and about £1.2bn from Saudi Arabia.

Lord Goldsmith, the Attorney General, told the House of Lords on Thursday that the SFO would have needed a further 18 months to complete its investigation into BAE with no certainty of being able to make a case. He said that he had spoken to the prime minister and the heads of the intelligence services and concluded it was in the national interest to stop the investigation.

He told the Lords: “They (the PM and others) have expressed the clear view that continuation of the investigation would cause serious damage to UK/Saudi security, intelligence and diplomatic co-operation, which is likely to have seriously negative consequences for the UK public interest in terms of both national security and our highest priority foreign policy objectives in the Middle East.”

Norman Lamb, the Liberal Democrat MP who has followed the case closely, was quoted by the media saying: “If ever there was a final nail in the coffin of this government’s reputation this is it. Coming a fortnight after the Typhoon threat from the Saudis this destroys Britain’s reputation for good governance.”

Trying to give what appeared to be a moral spin to his government’s decision on the SFO investigations Prime Minister Tony Blair said on Friday: "Leave aside the effect on thousands of British jobs and billions worth of pounds for British industry, leaving that to one side.

"Our relationship with Saudi Arabia is vitally important for our country in terms of counter-terrorism, in terms of the broader Middle East, in terms of helping in respect of Israel and Palestine. That strategic interest comes first."

One wonders what would happen if one day the Saudis and other oil rich Middle Eastern countries decide to use this highly effective commercial clout of theirs for better things like nudging the friends of Israel in the capitals of rich countries to abandon their immoral and unjustified support to Tel Aviv in its oppressive war against the Palestinian people?

http://www.dawn.com/2006/12/16/top18.htm

 

[Keysersoze]

It's kinda funny because they are falling over themsleves to keep this contract.......

 

[araz]

I dont find it at all surprising. Goras have a long tradition of ignoring the rule of Law when it comes to cold Hard cash. 20 Billions would do the Eurofighter a lot of good and drive down the per unit cost of the item for them. Further more the alleged offence took place outside the jurisdiction of the UK in any case. So even if they found some Prince or the other involved, they would not be in a situation to prosecute him, as they would not have any jurisdiction over him.And cancelling the order would tentamount to political and financial suicide. so let the princes have their trinklets to spend on some mistress or the other, while business goes on as usual!!!! From the Muslims point of view it is indeed shameful, because it shows the state of our leaders and their mentality. No wonder we are in the present state of degradation and "Zillat".
WaSalam
Araz