The Hindu Business Line : Envisaging more defence ties

DEFENCE cooperation deals between India and France are high up on the agenda during the three-day visit by French President, Mr Jacques Chirac, to India beginning Monday, with newly transformed ties being envisaged between the two countries, which could elevate the present level of engagements to a new strategic plane.

During Mr Chirac's visit, India and France are expected to sign a defence cooperation agreement setting out specific targets, including one for procurement and joint production. France already has an offer for jointly producing the Mirage 2000-5 in India. Also, the French have asked India to look at the Rafale fighter plane as another option, though this may not be up for joint production initially.

Besides these tie-ups, India and France have already signed a $3.5-billion contract paving the way for construction of six Scorpene submarines in India. The Scorpene deal is the largest deal signed by the UPA Government since it came to power in May 2004 and India getting to build the six Scorpenes is part of a bigger plan to build 26 submarines in India by the year 2030 under an effort called `Project 75', launched in the year 1997, according to industry players. The first lot of the submarines, which will be built at state-owned Mazagon Docks in Mumbai, is slated to be ready for service by 2012 and the remainder will be delivered over the following five years, at the rate of one submarine per year. The Scorpene deal accompanies other agreements signed on October 6 that insure the supply of equipment and services for the duration of the program. The supply of the Exocet SM-39 weapon system for the conventional submarines has also been inked.

Another agreement, signed for the first time by India, is an `Integrity Pact', which seeks to ensure free, fair, transparent and unprejudiced dealings prior to, during and subsequent to the currency of the contract. The Indian navy, which is looking to renew its ageing submarine fleet with new boats rather than modernise existing subs, could also see India extending its cooperation with French companies including Armaris and MBDA. The Indian Navy is also said to be particularly interested in the Aster 15 missile.

With the partnership expected to take a strategic hue, the French defence industry is also said to be actively looking at partnering Indian private sector firms such as the Tata Group and Mahindra & Mahindra, that have a presence in the defence sector.

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