Why Russia is still India’s best bet for defense procurement despite p

Discussion in 'Defence & Strategic Issues' started by Neil, Jul 17, 2013.

  1. Neil

    Neil Senior Member Senior Member

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    These are the difficult times for Russia as it no longer finds itself as singularly favored as it once used to some years ago in milking the lucrative Indian defense market. And yet the Russians are the best bet for India when it comes to defense procurement.

    Here are the glass half-full and glass half-empty pictures for Russia when it comes to doing business with the new-look of the Indian defense sector.

    The Down Side

    On the down side, there can be three strong undercurrents which stack up against Russia.

    One, Russia still continues to be the single largest defense vendor for the Indian industry and is responsible for over 60 percent of Indian weaponry currently in use by India – a situation that a resurgent India and its military establishment are not happy with and are showing signs of change, much to the chagrin of the Russians.

    Two, the Russian defense exports market is shrinking. The Russia-China defense relationship is not in good shape because of various reasons, particularly the fact that the Russian defense imports are no longer welcome by the Chinese. India, on the contrary, remains one of the biggest purchasers of Russian arms purchasers in the world today.

    The figures speak for themselves. Even in these hard times of a declining Indo-Russian defense partnership, India accounted for some 25 percent of Russia’s arms sales revenue. In the year 2011 alone, India spent $3.3 billion on Russian arms.

    Though the Indian defense procurement policy is rapidly being kept abreast to meet contemporary challenges with a sharply-increased focus on self-reliance as demonstrated by the latest policy changes announced by the Indian defense establishment on June 1, 2013, the political bosses in New Delhi are well sensitized to keep Russia in good humor.

    According to the new Defense Procurement Procedure-2013, unveiled by the Indian defense ministry on June 1, 2013, the requirement of the prescribed indigenous content, that is 30% in the Buy (Indian) category, is to be achieved on the overall cost basis, as well as in the core components like the basic equipment, manufacturers recommended spares, special tools and test equipment taken together. In addition, the basic equipment must also have minimum 30% indigenous content at all stages including the one offered at the trial stage. It has further been stipulated that an indigenization plan will be provided by the vendor.

    Three, the Russians have of late faced cut-throat competition from the West and even from a small state like Israel in eating into the rapidly-shrinking and competitive Indian defense market. Till a few years ago, it was a rarity for India to buy American defense equipment. But this situation has changed drastically, much to the discomfiture of the Russians.

    The Up Side

    Simultaneously, there are three very good reasons as to why the Russians are still the best bet for India in defense procurements and why it is a win-win situation for India and Russia to continue their age-old partnership on defense and strategic issues.

    First of all, the Russians have an established track record of supporting its friends to the hilt. The biggest contemporary example is Syria.

    Russia has sent a loud and clear message through the current Syrian crisis that it will stand by its allies, whatever it takes. This is a husband-like virtue which all states appreciate, cutting across their ideological tilts. In the ongoing Syrian crisis, Russia has demonstrated to everybody that it firmly stands by its proclaimed friends, even when they are in a snake pit.

    Therefore, it becomes a Russian USP for selling its armaments. The message is unmistakable: that Russia will stand by you even if you are in the midst of the worst rough and tumble diplomatically.

    No country can better vouch for this than India!

    The second point is closely inter-related to the first one. It relates to the spin-off effects of tying up your lot with Russia – and not to forget the ever-readiness of the Russians to transfer technology that the US and its Western allies never do for anyone.

    While the West is known to bandy about its existing democratic and governance systems and pegging implementation of their defense deals to their own so-called constitutional and legal requirements and ending up in reneging on their promises and pledges, Russia will never do this.

    The world needs to learn from India and its political leadership how not to belittle or berate Russia and assess Russia on its impeccably high delivery quotient when it comes to living up to its promises.

    Why else is it that the Indian political leadership has never criticized or levied financial penalties on Russia despite the long delays and cost overruns that have plagued a vast percentage of Indo-Russian bilateral defense contracts as well as Indo-Russian joint projects in the defense arena?

    Russia’s solid support to India extends well beyond the defense procurement arena. The Indians won’t have been ensconced in their foreign military facilities like Ayni, near Dushanbe and Farkhor, near the Afghan border in Tajikistan, but for an indulgent Russia which wields strong influence over Tajikistan.

    Now the third point in favor of Russia flows from the second one. The example in this case too is India again.

    India cannot dream of having an effective military defense without access to a satellite navigation system which the Russians have been so gladly and willingly providing: the Glonass (Globalnaya Navigatsionnaya Sputnikovaya Sistema), Russia’s own version of the American Global Positioning System (GPS).

    The Glonass system passed a stiff military test in 2008 during Russia’s war with Georgia. During this conflict, the Russians turned to the Americans for help as Glonass lacked the number of satellites that would ensure its proper functioning. But the Americans played dirty and switched off their GPS system in the region, hampering the Russian military operations in a big way. But the Russian Glonass proved its worth.

    The Indians know very well that the Americans won’t be of any help in the event of an India-Pakistan conflict. The only fall-back option for the Indians in such an event would be Glonass, and that is why when Russia offered India access to the Glonass military system in October 2011, Indian defense minister A.K. Antony readily and gratefully accepted.

    The bottom line is clear. Though the Indian defense procurement conditions are getting tougher and tougher for the Russians, the time-tested strategic partners will do well to stick together, smooth out the rough edges and repair their defense ties in mutual interest.

    India should realize that its defense contracts with overseas suppliers may at anytime end up with the latter applying political strings to the done deals. Russia has never done this.


    Why Russia is still India’s best bet for defense procurement despite problems | idrw.org
     
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  3. lookieloo

    lookieloo Regular Member

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    Re: Why Russia is still India’s best bet for defense procurement despi

    How y'all like that? "India... Russia's grateful, little wife." :rolleyes:
     
  4. hello_10

    hello_10 Tihar Jail Banned

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    Last edited: Jul 17, 2013
  5. trackwhack

    trackwhack Tihar Jail Banned

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    Re: Why Russia is still India’s best bet for defense procurement despi

    As opposed to US allies who are treated more like whores. Either way the husband reference was made to puny Syria. However, the core point that the article makes is valid and correct. Thanks to our own inept defence industry.
     
  6. W.G.Ewald

    W.G.Ewald Defence Professionals/ DFI member of 2 Defence Professionals

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    Re: Why Russia is still India’s best bet for defense procurement despi

    This is important, but who with any authority in the US government will understand it? Certainly not John Kerry.
     
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  7. no smoking

    no smoking Senior Member Senior Member

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Well, they understand it far better than you do!
    What you don't understand is: India is the only one that Russia can rely on in indian ocean! But, US or western countries have many options other than India in this area!
    In this great game, "democracy" is not the key. Instead, it is far more important: which side you are and which position you want. In the case of india, you are on your own side and USA can't afford your price--dominant power in indian ocean.
     
  8. W.G.Ewald

    W.G.Ewald Defence Professionals/ DFI member of 2 Defence Professionals

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Are you referring to US policymakers or those in India?
     
  9. Virendra

    Virendra Moderator Moderator

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Russians have increased the cost of so many projexct midway and we're still counting.
    Either their cost estimators are school dropouts or they have decided to milk Indian money by hook or crook.
    This is not the symptom of a good ally or even a professional defense partner/manufacturer. We are disappointed :(
     
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  10. trackwhack

    trackwhack Tihar Jail Banned

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Did you use Google translate after you wrote something in Chinese?

    India is no ones bitch. The US is hoping we will be and there are many here who think it will be a good idea. But as things stand, our foreign policy is as independent as any of the p5. This does not mean a good or bold foreign policy but no one has forced us to tow their line.
     
  11. sob

    sob Moderator Moderator

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    Re: Why Russia is still India’s best bet for defense procurement despi

    It is very simple as long as our interests are identical and are not colliding we will align with the Russians or the Americans or even both. At the end of the day it is all a matter of national interest.

    It was the national interest of PRC that they kept the Darfur situation simmering and overlooked the humanitarian crisis caused by their allies. It is the same interest that leads you to keep with the Pakistanis despite the inherent danger to your restive provinces with substantial muslim population.
     
  12. Armand2REP

    Armand2REP CHINI EXPERT Veteran Member

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    Re: Why Russia is still India’s best bet for defense procurement despi

    The real reason Russia will continue to decline as a percentage of Indian arms imports... they aren't keeping up with Western products.
     
  13. WMD

    WMD Regular Member

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Well its glass half-full half-empty kinda situation.
    Many Russian think-tanks, news agencies and official representatives have criticized India for ditching its old and trusted ally and leaning towards the west when it comes to defence procurements.
    But for what its worth Russia has supplied China with advanced weaponry and continues to do so, which will be potentially used against India in case of a future conflict.
    In many cases these weapons are better and more advanced than what Russia supplied to India.
    Moreover some of the Russian defence products are of inferior quality than the western ones and the delivery marred with severe delays.
    But of course Russia still is the best source of critical defence tech for India. Nobody would have supplied India nuke subs or critical reactor tech and other such valuable and strategic assets.
     
    Last edited: Jul 18, 2013
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  14. no smoking

    no smoking Senior Member Senior Member

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Both of them have better understand than you!
     
  15. no smoking

    no smoking Senior Member Senior Member

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Then don't ask US to treat you like best mate!
     
  16. LETHALFORCE

    LETHALFORCE Moderator Moderator

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    Re: Why Russia is still India’s best bet for defense procurement despi

    More than 70 percent of russia's defense exports was india and china, now with chinese developing
    And exporting their own weapons and cutting edge weaponry offered to India from many places,
    I think russia needs india to keep their shrinking exports,most projects with russia are joint
    Developments brahmos,mki,smerch. Rockets etc...
     
  17. W.G.Ewald

    W.G.Ewald Defence Professionals/ DFI member of 2 Defence Professionals

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Do you want to debate an issue or do you just want to be a belligerent pest?

    State an argument that is more than a one-liner ... if you can.

    This is what I quoted from the article:
    My comment was:
    I still don't get what your problem is.
     
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  18. TrueSpirit

    TrueSpirit Senior Member Senior Member

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    Re: Why Russia is still India’s best bet for defense procurement despi

    As you know all too well, the saintliness of our pious-to-a-fault bureaucrats is equally responsible for such financial bungling, which pervades all aspects of our lives.

    We cannot keep whining against the Russians when we have few options & no defence-industrial base to speak of (at least nothing which can cater to our Armed-forces requirements). The Defense PSU's Union-ism & arm-twisting of policy-makers ensure the status-quo continues.

    A corrupt country gets the deal it deserves. The bureaucrats that negotiate these deals are own people.

    All arms-deals involving India have been found to be scam-ridden by CAG (except for some recent-most acquisitions through FMS route).

    Something in our systems & our people must be fundamentally wrong to let things come to such a pass. Above all, arms-industry is the murkiest of businesses.
     
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  19. lcatejas

    lcatejas Regular Member

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Because BABU's are loving it....
     
  20. Virendra

    Virendra Moderator Moderator

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    Re: Why Russia is still India’s best bet for defense procurement despi

    Russia has also been more worried about its own Army's modernization lately, than to care about the quality of its exports and After-Sales support.
    The traditional Army leadership has also been resisting the Ministry's atttempts to make agility driven changes in the Military.
    Western hardware would have a much larger share in the Indian defense market, if only there weren't the strings attached and the ToT issues.
    Even now, no one in the west is willing to do JVs with India the way Russia does.
     
  21. Virendra

    Virendra Moderator Moderator

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    Re: Why Russia is still India’s best bet for defense procurement despi

    I am as angry as you are, at the state of affairs. :(
    But now that you've spoken my mind, do you think privatization would readicate these menaces plaguing our Defense arena?
    Do you ever wonder how many voters of Lok Sabha elections take into account how the Government is overseeing the Defense Industry, deals and protocols?
    From what I see after closing the webpage of this forum, the number seems miniscule.

    Regards,
    Virendra
     
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