Elbit Systems Looks for More Partners to Address India's Growing Helicopter Market(Reuters) - Indian auto components maker Bharat Forge (BFRG.NS) and Israeli defence contractor Elbit Systems (ESLT.TA) (ESLT.O) said on Thursday they were forming a joint venture to supply advanced artillery and mortar systems to the Indian military.
The joint venture will offer solutions in Elbit's Artillery Guns & Mortar segment and roll out a range of products such as the Advanced Indian Gun System, the companies said in a statement.
The venture "will address Indian defence requirements with operationally proven systems from Elbit Systems that have been customised and adapted for Indian conditions ... for end-to-end solutions for artillery systems and armored vehicles upgrades established by Bharat Forge recently in India," said Baba Kalyani, chairman and managing director of Bharat Forge.
Elbit Systems is promoting a range of helicopter-related products in a move that would tap the growing opportunities the company identified in the Indian market, both for foreign built, locally made or upgraded platforms. Over the years Elbit Systems has established a number of partnerships and cooperation in India, paving its way into many defense sector's programs.
"Advanced avionic systems, particularly those related to helicopter modernization would fully comply for India's needs "explains Bezhalel (Butzi) Machlis, until recently the General Manager of Elbit Systems' Land and C4I Division. Machlis said such systems could also include instrumented landing systems (for operating in brownout conditions), obstacle avoidance, sensor payloads, communications and networking, integrated cockpit and helmet displays, defensive aids and DIRCM, for which the company is actively promoting its new MUSIC system for military and civil applications. "The increase in India's helicopter and transport aircraft fleets, both of domestic and foreign designs, open significant opportunities for us, both for our partners and for us, as original system manufacturers (OEM). We expect our long-term cooperation with HAL, as well as other partnerships would fit well to this trend." Machlis added.
Local cooperation is part of Elbit Systems DNA, and is also part of its activity in every strategic market, including India "We already have an excellent cooperation with HAL, providing training and simulation systems, other partnerships are underway in other areas." Machlis told Vayu.
"Our portfolio is big and diversified and not necessarily suited for one partner that can cover all. We are evaluating different opportunities and structures of cooperation and partnerships." Machlis added, saying, "Gaining market position is what we look for. Seated close to your customer, your partner can better understand the requirements, be more flexible and responsive for evaluation and testing, or addressing specific issues." Machlis explained. Elbit Systems has recently established a partnership with Bharat Forge, addressing the manufacturing, modernization and support of artillery systems.
Saab
(Reuters) - Eurocopter plans to set up a production line in India to make its Fennec helicopters, if it wins an Indian defence contract for the aircraft, its chief executive said on Thursday.
The company, a unit of aerospace and defence company EADS (EAD.PA), is competing for a contract to sell 197 reconnaissance and surveillance helicopters.
"We will set up a production line in India," Eurocopter CEO Lutz Bertling said at an airshow held in Bangalore.
Bertling expects the government to decide on the cheapest bids in the first half of 2013. "So after further negotiations, the assembly line could come up in mid-2014."
The factory would produce between 25 and 50 helicopters a year, depending on the size of the contract, he told Reuters, adding the company was in talks with several local companies to set up the production line.
Eurocopter previously won a contract to sell 197 helicopters to India, but the deal fell through in 2007.
Echoing comments by other executives at the airshow, Bertling said there was no indication that India's planned budget cuts would affect its tenders in the country.
India is planning cuts to its budget this year, including some affecting defence, to reduce spending by about 1.1 trillion rupees in the current financial year, or some 8 percent of budgeted outlay.
"We have zero indication that any request for proposal (RFP) which is out already to be affected. We can imagine for future programs it would be bit of a stretch of delivery time," he said.
Are these upgrades being offered with the aircraft...:cool2:
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