Military Technology 06/2020

Russian-built S-400 air defence systems to India, without ToT, emphasis- es the point that, despite not being happy with the lack of ToT, New Delhi nevertheless accepts Russian terms. Previously, India was not officially allowed direct contact with the OEMs, though MilTech understands that unidentified Indian defence officials have conducted relevant discussions regarding indigenous and license-production of spares and sub-assemblies. It is quite clear that India’s objective in promoting stronger industrial links between Indian and Russian companies is aimed both at the development of indigenous capability and the reduction of overall costs. Viktor Kladov, Rostec’s Director for International Cooperation and Regional Policy, charcaterised Russian strategy towards India. “Our strategy is to grow, to open up, and to go from just selling defence equipment to providing full life-time support.” It seems that Indian and Russian objectives are different – and incompatible. In December 2017 Kladov proposed that Russia could provide MRO services for military equipment through maintenance centres to be run in cooperation with Indian industry. Further details remain unknown, but if India is not to be treated as an equal 50/50 partner, the proposal will likely founder. Another difficult aspect of bilateral relations relates to Indian Navy pro- curement of Russian frigates. For many years, the Navy has struggled with increased costs, delayed delivery schedules and poor after-sales service with regard to Russian equipment. The two sides signed an inter-govern- ment agreement (IGA) in October 2016 for four GRIGOROVITCH-class stealth frigates, two of which were to be imported from the shipyard in Kaliningrad and two built at an Indian shipyard. After protracted negotia- tions, the cost of the two frigates to be built in India under ToT was halved to about $500 million ( € 457 million) in November 2018. It is well known that India’s formal acquisition process can take several years: the two sides must share responsibility for the delays. Two separate, very different yet complementary relationships char- acterise the Russian and Israeli links with India – one of the world’s largest defence markets. Differing not only in product and service offerings but in capabilities and attitudes – notably to the thorny question of technology transfer – the two supplying nations vie for budget allocations from India’s increasingly beleaguered treasury. Meanwhile, as the consumer, India struggles continually with the challenge of balancing strategic readiness with security of supply and technological self-sufficiency. North-South Russia remains one of India’s most important defence suppliers, though its share of the Indian market has fallen sharply – from about 90% a decade ago to less than 60% today. Defence industrial partnerships between the two nations have been somewhat limited, particularly with regard to after-sales support. For many years, India’s military has strug- gled with spares availability affecting service and maintenance of the more than 65% of its equipment that is of Soviet and Russian origin – a problem that quickly reached crisis proportions after the collapse of the Soviet Union in the early 1990s. More recently, after-sales services and the spares situation with Russia has improved. The March 2017 agree- ment between Hindustan Aeronautics Limited (HAL) and Russia’s United Aircraft Corporation (UAC) and United Engine Corporation (UEC), which included Indian and Russian OEMs for other platforms rather than just the Su-30MKI, was indeed a breakthrough. It must be stressed that HAL’s agreement with Russia with regard to the Su-30 MKI provides for the swift delivery of spares, local-licensed manufacturing of some components and a logistics hub for the fighters in Bangalore, where HAL builds them – but it does not cover any transfer of technology (ToT). The recent sale of Eugene Kogan A Tale of Three Nations: Russian and Israeli Relations with India 56 · MT 6/2020 Special Feature Russia’s S-400 TRIUMF air defence missile system, recently sold to India on a direct sale rather than license-production basis. (Photo: DRDO)