ID :
178702
Thu, 04/28/2011 - 21:16
Auther :

F-16, F-18 out of IAF bid, US says deeply disappointed

New Delhi, Apr 28 (PTI) Two American companies have lost
out in India's multi-billion dollar combat fighter deal, a
decision received by the US with "deep disappointment" and one
of the firms saying it will take "possible actions" impacting
the Indian Air Force after reviewing details.
Boeing's F-18 and Lockheed Martin's F-16 were in
contention for the bid under which India will procure 126
Medium Multirole Combat Aircraft (M-MRCA) for the IAF.
However, after intense trials, both these fighters were
not considered by the Defence Ministry which shortlisted
European Eurofighter and French Dassault Rafale. Also not
considered were MiG-35 of Russia and Saab Gripen of Sweden.
Both the shortlisted firms have been asked by the
Defence Ministry to extend till December 31 the validity of
their commercial bids which were to expire on Thursday,
officials said here.
"We have given two weeks time to the two companies to
extend their bids upto December 31," an official said while
noting that representatives of Eurofighter and Dassault Rafale
had met Defence Ministry officials on Thursday.
Boeing, Lockheed Martin, Russian MiG 35 and Swedish Saab
Gripen were conveyed the rejection of their bids on Wednesday,
they added.
The Ministry will now work on "benchmarking" a
reasonable price for the aircraft and then open the commercial
bids of Dassault Rafael and Eurofighter Typhoon to select the
lowest bidder for the tender, they said.
The deal is expected to be finalised by the end of
present fiscal that ends on March 31 next year, they said.
The negotiations for fulfilling the offset clause and
the Transfer of Technology (ToT) would be done simultaneously
by the Ministry, officials said.
The US Embassy here said it was informed on Wednesday
that two aircraft offered by the US Government through the
Foreign Military Sales process were not selected for
procurement by the Indian Ministry of Defence.
"We are reviewing the documents received from the
Government of India and are respectful of the procurement
process. We are, however, deeply disappointed by this news,"
Ambassador Timothy Roemer said.
He said he was "extremely confident" that the Boeing
F-18IN and Lockheed-Martin F-16IN would provide the Indian Air
Force an "unbeatable platform with proven technologies at a
competitive price."

Roemer said he had been personally assured at the
highest levels of the Indian government that the "procurement
process for this aircraft has been and will be transparent and
fair."
Remaining convinced that the US offers its defence
partners around the globe the world’s most advanced and
reliable technology, the envoy said, "We look forward to
continuing to grow and develop our defence partnership with
India."
Reacting to the decision, Boeing said, "We are obviously
disappointed with this outcome. Our next step is to request
the IAF for a debrief. Once we have reviewed the details. We
will make a decision concerning our possible options, always
keeping in mind the impact to the IAF."
However, Boeing did not specify the options being
considered by it.
"We believe we offered the IAF a fully compliant and
best value multi-role aircraft for its defined missions and we
will continue to look for opportunities to help India
modernise its armed forces and enhance its aerospace
industry," it added in a statement.
Lockheed said the US government was working on a
response to the letter issued to it by the Defence Ministry
conveying the rejection of the US companies.
Swedish firm Saab said, "To support the continued
participation of the MMRCA, we are willing to provide
additional information to the IAF and Defence Ministry to
address any concerns that may have resulted in this decision."
It said the company was "offering India a world-class
next generation fighter aircraft at a very competitive price
and an extensive technology transfer programme."
In a statement, it said the Gripen NG provides a price
and life cycle cost, which will enable India to acquire the
requisite number of aircraft which makes it "unmatched".

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