Subscribe free to our newsletters via your
. 24/7 Space News .

Dassault, India tussle over supply chains
by Staff Writers
Bangalore, India (UPI) Jan 11, 2013

disclaimer: image is for illustration purposes only

India's defense ministry reiterated that Hindustan Aeronautics Ltd. will remain lead integrator for producing 108 Rafale fighters under the medium multirole combat aircraft contract.

Replacing HAL as integrator would jeopardize the procurement process carried out to secure the $15 billion deal with Dassault Aviation in France that was signed in January 2012.

The MMRCA contract called for final and exclusive negotiations with Dassault before production begins.

Under the tender issued in 2007, the first 18 of 126 of the twin-engine delta-wing fighters will be supplied by Dassault from its facilities in France. The remaining 108 will be produced under license by HAL at its Indian factories.

A deviation from the tender issued for the project would need to be approved by the Defense Acquisition Council and legal issues could arise, ministry sources told the Press Trust of India.

The ministry issued its statement after coming under pressure from Dassault to clarify the role of HAL so the French manufacturer could explore options for working with other companies.

Defense officials said it would convey final details of the relationship to Dassault and HAL this month, the PTI report said.

HAL is a Navratna company -- a government business -- and has 19 production and overhaul divisions and 10 research and development centers in India, the company's Web site said. It has 33,000 employees of which around half have "more than a decade of aircraft industry experience."

Dassault has been pressing the government for more freedom to choose its supply chain partners in light of a deal it signed -- shortly after getting the MMRCA contract -- with India's Reliance Industries Ltd. for working together in defense and homeland security agreements.

"Dassault Aviation, a major player in the global aerospace industry, has entered into a memorandum of understanding with Reliance Industries, for pursuing strategic opportunities of collaboration in the area of complex manufacturing and support in India," officials of the two companies told PTI shortly after Dassault landed the MMRCA deal.

The PTI report said Dassault had told the ministry that if it had overall responsibility for the project, it should have the freedom to decide on the proportion of work done by HAL and other private companies.

In February the PTI reported that Dassault must reinvest 50 percent of the worth of the deal back into Indian defense sector.

The aerospace and security division of the Reliance Industries is headed by Vivek Lall, who has been closely associated with the MMRCA deal while spearheading the campaign for Boeing in the deal.

Dassault won the hard-fought MMRCA contract by beating EADS with its Eurofighter Typhoon, Boeing with its F/A-18E/F Super Hornet, Lockheed Martin's F-16, the Russian-made MiG-35 and the Gripen from Swedish firm Saab.

The loss was a blow to EADS which less than two months before, in December 2010, had lost out to Lockheed Martin's fifth-generation fighter F-35 Lightning II in a major Japanese military contract.

Japan chose the F-35 also over Boeing F/A-18 Super Hornet in a deal estimated at around $7 billion for 42 planes.


Related Links
The Military Industrial Complex at
Learn about the Superpowers of the 21st Century at

Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks DiggDigg RedditReddit GoogleGoogle

Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News

US military ordered to prepare for fiscal 'perfect storm'
Washington (AFP) Jan 10, 2013
Defense Secretary Leon Panetta on Thursday ordered the US military to "prepare for the worst" and take cost-saving measures as it faces the threat of potential deep budget cuts. The steps include scaling back maintenance, freezing civilian hiring and delaying some weapons contracts, Panetta told a news conference. The US military's vast budget is the by far the largest in the world, with ... read more

Mission would drag asteroid to the moon

Russia designs manned lunar spacecraft

GRAIL Lunar Impact Site Named for Astronaut Sally Ride

NASA probes crash into the moon

Mars500 project - salt balance of the Mars 'astronauts'

Simulated mission to Mars reveals critical data about sleep needs for astronauts

NASA's Big Mars Rover Makes First Use Of Its Brush

Lockheed Martin Delivered Core Structure For First GOES-R Satellite

AXE to Send 22 Guys to Space with New Apollo Campaign

IBM tops as tech titans scramble for US patents

Chinese tech firms pump up volume at CES

High fashion, high tech intersect at CES confab

Mr Xi in Space

China plans manned space launch in 2013: state media

China to launch manned spacecraft

Tiangong 1 Parked And Waiting As Shenzhou 10 Mission Prep Continues

Crew Wraps Up Robonaut Testing

Station Crew Ringing in New Year

Expedition 34 Ready to Ring in New Year

New ISS crew docked at Space Station

Arianespace's industry leadership will continue with 12 launcher family missions planned in 2013

Arianespace addresses The Insurance Institute of London

Cargo loading underway with the next ATV resupply spacecraft to be launched by Ariane 5

SpaceX sets March 1 for launch to ISS

Earth-size planets common in galaxy

NASA's Hubble Reveals Rogue Planetary Orbit For Fomalhaut B

NASA, ESA Telescopes Find Evidence for Asteroid Belt Around Vega

Kepler Gets a Little Help From Its Friends

How the kilogram has put on weight

Japan to survey Pacific seabed for rare earth

3D printing creates 'virtual' fossil

LEON: the space chip that Europe built

The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement