Military Review

“They choose for a long time, they demand a lot”: Indian suppliers are nervous about Indian military tenders

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“They choose for a long time, they demand a lot”: Indian suppliers are nervous about Indian military tenders

India is today one of the largest arms importers in the world. The volume of this market is huge - tens of billions of dollars per year. Despite the fact that the total share of India in world imports weapons has declined in recent years, it is still a tasty morsel for many arms manufacturers around the world.


The so-called volume of intentions for the purchase of weapons abroad from India is greater than from any other country in the world. As of 2019, this amount of intent exceeded $ 85 billion. These are general plans for the import of weapons for the coming years. For comparison: for the country that occupies the 2nd place in this indicator, Saudi Arabia, it corresponds to approximately $ 50 billion.

As you can see, the Indian market is leading by a wide margin.



Among the main partners of India in the military-technical sphere is the Russian Federation.

At the same time, many companies belonging to the military-technical partners of India, such a partnership is largely annoying or at least unnerving.

Why so when billions of dollars are at stake?


The reason is simple. Since the late 1990s, India has been advocating the principle of "diversification of supply." This principle is associated with the 1999 Kargil War. This is another border conflict that erupted at that time between India and Pakistan. Then India was going to concentrate impressive military forces in Kashmir. However, there were certain problems that New Delhi was quick to blame, including foreign arms suppliers. Among those who "inherited" from the Indian politicians and senior military men who tried to shield themselves were Russian suppliers. And then it was decided that "the more suppliers India chooses, the better the situation will develop in the military-technical market." India expected that an increase in the number of foreign suppliers would cause additional competition, and the country's armed forces as a result would receive the latest equipment and technologies.

The number of companies supplying military equipment to the Indian market has indeed grown. But the mentioned nervousness arose among the companies themselves. The fact is that Indian customers began to set more and more new requirements. Consideration of proposals in the framework of tenders has become an extremely protracted event. An example is the tender for the purchase of more than 100 fighter jets for the Indian Air Force.

Consideration of options, among which there are Russian Su-35s with MiG-35s, has been going on for more than 5 years. During this time, 36 French Rafale were ordered, but in the end it turned out that each of these fighters costs the Indian budget an incredible amount of $ 200 million. For such an amount, it was possible to purchase about 3 Russian Su-35s with weapons and not spend money on re-equipping infrastructure (including tankers), since the Indian infrastructure "knows" what Russian technology is.

At one time, the nerves were surrendered by the Swedes, who offered the JAS 39 Gripen for the Indian Air Force. When the terms of the tender were again changed in India, the Swedish company announced that it was withdrawing from the tender:

We came to the conclusion that it would be difficult for us (Saab, approx. “Military Review”) to comply with the terms of the updated Indian tender.

However, after some time, Sweden still decided to return to the offer of its fighters for the Indian market.

Now the nervousness is manifested in the American manufacturer Lockheed Martin. The other day in India, they said that they are refusing to purchase F-21 fighters. And Lockheed Martin was planning to produce these fighters specifically for the Indian Air Force as a deep modernization of the F-16. It was planned to open a plant in the Indian territory. But in New Delhi, they decided that instead of buying the F-21, it was necessary to mass-produce their own LCA Tejas fighters. An additional 83 such combat aircraft are ordered.

Regarding how Indian customers work with those who offer them their products, readers of Military Review are actively speaking out. Some comments are worth mentioning.

rocket757 (Victor)

The master is the master, what else can one suggest. There are many options, from simple, they want the best, to elementary corruption, lobbying the interests of the one who paid the most. Nothing unusual, new.


Pvi1206 (Vladimir)

Regarding military purchases from India, seven Fridays a week ... Bargain for favorable terms of the transaction.

There are comments in the European segment of social networks that all the problems with the “throwing” of India under military-technical contracts are connected with political tensions within the country itself.
It is about the action of the clan caste system. To put it simply, every political force wants to “snatch its own piece,” including both economic and political rating.

Representatives of one clan occupy positions in the leadership of the Ministry of Defense, representatives of another do not. As a result, there is an underhanded struggle that looks like the indefiniteness of the Indian state in the issue of signing this or that contract.

They choose a long time, require a lot, already during the execution of the contract they may try to introduce additional conditions.

One such example is the FGFA contract (the fifth generation fighter program that was planned to be implemented by Russia and India in a joint version). While some circles were in favor of continuing cooperation with the Russian Federation to obtain the latest fighter, from others every time they heard statements about its shortcomings. This despite the fact that the final version of the fighter at that time, in fact, did not exist yet. As a result, India left the project (Su-57), and today can’t decide how to “get” a fifth-generation fighter. To build on their own, tens of billions and many years of work will take. And in China, they are already flying ... which hits Indian vanity very painfully.
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  1. rocket757
    rocket757 18 May 2020 12: 08 New
    +2
    It's cool to watch and discuss them !!! This is for us, but sales representatives from different countries are not laughing at all, I guess!
    1. Zmeuka
      Zmeuka 18 May 2020 12: 27 New
      +3
      Quote: rocket757
      It's cool to watch and discuss them !!! This is for us, but sales representatives from different countries are not laughing at all, I guess!

      I feel someday the Indians pushed up .. They’ll freeze them and again they will be a colony of England!
      That the USSR, that Russia has already warned them more than once .. Decide on the standards of Armaments! And everyone is dancing .. And the most interesting. That the people are mostly poor. They are robbing them with these military purchases. hi
      1. rocket757
        rocket757 18 May 2020 13: 00 New
        +2
        As the people live the upper, usually a little worried ... Buddha will give how to bask.
        And to conquer them ... I can’t even imagine what kind of shifted consciousness you need to have !!!
    2. opus
      opus 18 May 2020 18: 53 New
      +4
      Quote: rocket757
      This is for us, but sales representatives from different countries are not laughing at all, I guess!

      It's simple
      1. India's spending this year, starting on April 1, will amount to 47,34 billion dollars
      2. About 60% of defense spending goes to pay a salary of 1,3 million to Indian soldiers
      3. About $ 16,2 billion is for capital expenditure and of that, of which about 90% is for existing and past liabilities.

      47,3 billion dollars-0,6 * 47,3 billion dollars-16,2 billion dollars = 2,72 billion dollars
      2,72 billion will not be particularly run up.
      at Narendra Modi there are half-hungry mouths from 1,3 billion people
      Purchases from Indian suppliers also fell to the lowest level five years before fiscal year 2019.



      In 2015, Airbus SE won a $ 1,7 billion contract to supply transport aircraft for the Indian Air Force - this is the first military agreement.


      Everyone doesn’t really want to sell technology to India

      We are at least convinced that Saab and other global original equipment manufacturers will be ready to transfer more technology to India if we have most of the control.
      ,
      said Ola Rignell, chairman and managing director of Saab India Technologies Pvt. Ltd.
      1. rocket757
        rocket757 18 May 2020 20: 57 New
        0
        It is interesting, but in India they learned to copy, although something more complicated? Here, after all, the culture of production must be at a high level from the very bottom to the top!
        1. opus
          opus 18 May 2020 21: 10 New
          +6
          Quote: rocket757
          It is interesting, but in India they learned to copy, although something more complicated?

          drugs
          1. rocket757
            rocket757 19 May 2020 06: 53 New
            0
            Quote: opus
            drugs

            Yes, drugs, ointments they have perfumed ... they drive me out of the house when I use them. In principle, the quality is good. The question is, who "put" them pharmacology, who is from the Geyropeans?
            1. opus
              opus 19 May 2020 14: 30 New
              +3
              England, EEC, USA, a lot of Japan and South Korea
              1. rocket757
                rocket757 19 May 2020 14: 39 New
                0
                It turned out well. They can, they can, when they need to.
    3. Mikhail m
      Mikhail m 18 May 2020 19: 34 New
      0
      Purchasing equipment is the tip of the iceberg. Below are the costs of operation, maintenance, repair, staff training, etc. Technology transfer, production localization are fastened to all this ... So the question is far from being as simple as it seems at first glance. And this is without taking into account political aspects.
  2. knn54
    knn54 18 May 2020 12: 10 New
    0
    The partner is "difficult" but promising.
    1. iouris
      iouris 18 May 2020 12: 14 New
      +2
      Most likely not a partner, but a competitor.
      1. knn54
        knn54 18 May 2020 12: 44 New
        -1
        And how can India compete with Russia?
    2. Pushkar
      Pushkar 18 May 2020 13: 21 New
      +2
      Quote: knn54
      The partner is "difficult" but promising.

      Not just complicated, but rather "gypsy", but as for the prospects ... I worked at a small metallurgical plant, the question arose of closing the plant, Indians immediately appeared - "let's make a joint venture." The owner had experience of working with Indians and preferred to liquidate the plant.
      1. igor67
        igor67 18 May 2020 20: 13 New
        +2
        Quote: Pushkar
        Quote: knn54
        The partner is "difficult" but promising.

        Not just complicated, but rather "gypsy", but as for the prospects ... I worked at a small metallurgical plant, the question arose of closing the plant, Indians immediately appeared - "let's make a joint venture." The owner had experience of working with Indians and preferred to liquidate the plant.

        Well, I don’t know, we were repairing 26 Indian Air Force units at our rembase mi, they were very demanding and attentive, our defect workers missed a crack on the chassis wheel, which was described by the Indians to the article. So it’s not eliminated, the result is large penalties
    3. avg
      avg 18 May 2020 13: 24 New
      0
      The partner is "difficult" but promising.

      Rather old, but snickering from numerous competitive offers and own corruption.
      And in China, they are already flying ... which hits Indian vanity very painfully.

      And the sicker the better.
  3. Andrei Nikolaevich
    Andrei Nikolaevich 18 May 2020 12: 18 New
    -2
    It is dangerous to enter into contracts with an unpredictable buyer.
    1. donavi49
      donavi49 18 May 2020 12: 32 New
      10
      You can always conclude an agreement with which thread poor countries, with a bad credit. They will take a lot, if not all. The greater the chance - to get money for the sold, the more picky the client will be. India pays a lot of supplies with live dough or pretty good loans, which are paid without problems. Moreover, she more than 2 times purchases weapons more than 3 place and more than 2 and 3 place combined wink .

      Therefore, whatever you want, if you want, but for such a market, for every position there is a real war of proposals, kickbacks, lobbying. There is simply no other India that can be sold from submarines and frigates to elements of military satellites, machine guns, pistols and components of armor.
  4. Galleon
    Galleon 18 May 2020 12: 21 New
    +4
    Indian buyers change the terms of tenders, think for a long time and then change decisions ... for years. Representatives of sellers are in correspondence, recalculations, negotiations, redoing their proposals ... for years.
    And everyone is busy ...
  5. sabakina
    sabakina 18 May 2020 12: 35 New
    0
    Well, what can I say? .....
  6. Mavrikiy
    Mavrikiy 18 May 2020 12: 46 New
    0
    For comparison: for the country taking the 2nd place in this indicator - Saudi Arabia - it corresponds to approximately $ 50 billion
    .Oh, where are those lards? request
    1. bar
      bar 18 May 2020 14: 21 New
      +2
      scope of intent arms purchases abroad from India more than from any other country in the world

      That is, the Hindus have the biggest Wishlist. "And so to buy", as they say in Odessa, is a completely different matter.
  7. The comment was deleted.
  8. alone
    alone 18 May 2020 13: 32 New
    +3
    India is at enmity with the two nuclear powers-China and Pakistan .. So they will arm themselves indefinitely .. And 85 billion do not lie on the road, because of such whims .. This is understood by arms sellers. Who is more patient, he sells
    1. V.I.P.
      V.I.P. 18 May 2020 14: 18 New
      +1
      What does patience have to do with it? India is very demanding now on the performance characteristics of military products and is buying the best samples. But patience has nothing to do with it. If there is nothing to offer, the product is not competitive, then they will not take it. At least wait a hundred years)) ...
      1. alone
        alone 18 May 2020 14: 22 New
        0
        Quote: V.I.P.
        What does patience have to do with it?

        And patience is needed just to fulfill their requirements ..
        Quote: V.I.P.
        If there is nothing to offer, the product is not competitive, then they will not take it. At least wait a hundred years)) ...

        If there is something to offer competitive, then for the sake of these billion, the manufacturer must patiently fulfill the customer's demand. If you tolerate such reluctance, it turns out like with the Swedes
        1. V.I.P.
          V.I.P. 18 May 2020 14: 32 New
          0
          Well, Poseidon, Apache, Globmaster, Chinook, K-9, Biho air defense missile system, scorpion, M777 howitzer and escalibur, and much more they somehow quickly bought)
          At the same time, IL-38 N, Mi-28, Mi-26, Warsaw. Msta, Krasnopol. armor, Russian military transport aircraft, AWACS aircraft, naval air defense, anti-submarine helicopters, sniper rifles. machine guns, etc. they do not need Russian-made. Do not like them and you can wait at least 100 years))
          1. V.I.P.
            V.I.P. 18 May 2020 14: 38 New
            -1
            For a very long time they are wise with a light fighter and ATGM.
          2. alone
            alone 18 May 2020 14: 52 New
            0
            Quote: V.I.P.
            Do not like them and you can wait at least 100 years))

            Here, as they say, there is nothing to add .. So, you need to look for other buyers
      2. Aaron Zawi
        Aaron Zawi 18 May 2020 15: 27 New
        +2
        Quote: V.I.P.
        What does patience have to do with it? India is very demanding now on the performance characteristics of military products and is buying the best samples. But patience has nothing to do with it. If there is nothing to offer, the product is not competitive, then they will not take it. At least wait a hundred years)) ...

        And that would not go brains. RAFAEL almost went crazy with their dancing.
        1. V.I.P.
          V.I.P. 18 May 2020 15: 32 New
          0
          Well, they buy from you Barack 8, the stuffing for the AWACS aircraft, the SPICE bomb, the Negev machine gun ... How long have they been wise? You transferred technology to them, were there such requirements?)))) ....... .. With ATGM Spike, they are still wise))
          1. Aaron Zawi
            Aaron Zawi 18 May 2020 15: 34 New
            +2
            Quote: V.I.P.
            Well, they buy from you Barack 8, the stuffing for the AWACS aircraft, the SPICE bomb, the Negev machine gun ... How long have they been wise? You transferred technology to them, were there such requirements?)))) ....... .. With ATGM Spike, they are still wise))

            Yes, for years we have been spinning eggs. They are attracted to us not only by the quality, but also by the fact that Israel is not a player in the "Big Game".
  9. Zaurbek
    Zaurbek 18 May 2020 14: 57 New
    +1
    The collective farm is voluntary ... do not want to - do not participate ...
  10. 123456789
    123456789 18 May 2020 16: 02 New
    0
    “They take a long time, they demand a lot”:

    5 strategies for retaining naughty customers:
    Strategy number 5. Elite, exclusive products and superior service
    The last strategy to increase loyalty is simple: make sure
    they haven’t bought it anywhere else.
    1. 123456789
      123456789 18 May 2020 16: 06 New
      0
      Link: https://lpgenerator.ru/blog/2017/07/24/5-strategij-uderzhaniya-klientov-ot-kotoryh-nevozmozhno-otorvatsya/
  11. strelokmira
    strelokmira 18 May 2020 16: 54 New
    +2
    Well, if you are nervous, do not participate in trends, what problems?)
  12. Revolver
    Revolver 18 May 2020 19: 14 New
    +1
    What turkeys are really capable of, show their pride, the program of Arjun tanks and Tejas aircraft, which showed the ability of India to make equipment at the level of the best foreign models. They swelled a damn cloud of funds, and as a result they have the level of the best examples of Soviet and Western technology ... in the best case of the 1980s, if not the 1960s. And then the motors, electronics, and much more, either entirely import, or local assembly of mostly imported components. The same Tejas is no better than the MIG-21, and if the MIG is crammed with modern electronics (in particular, Israel offers a similar modernization), it is still unknown what is better. The turkeys essno believe that Tejas is, firstly, its own, and secondly, it is also more expensive, which means it should be better, just obligated. They even couldn’t make a machine gun that was so simple (in comparison with aviation and tanks), although they took the most reliable, indestructible AK as a model and reassigned a quite good 5.56 × 45 NATO cartridge under themselves, but the resulting INSAS bait turned out to be mild unreliable, so again swelling a damn cloud of money, they eventually rearm on the AK-203. However, with regard to Indian pride, somewhere flashed info from one large international manufacturer of products No. 2, which compared to the rest of the world in India, on average, sizes are more popular request Small
    lol
  13. GRANATE-19
    GRANATE-19 19 May 2020 08: 16 New
    +1
    Even a disgruntled slave is a pusher in "one place"!
    For a long time a fool chose a gift in the market until it closed ...
    Eastern people, and wisdom is still inferior to greed.
  14. Aviator_
    Aviator_ 19 May 2020 19: 00 New
    0
    Gypsies want a lot, even in principle of unrealistic super quality. Several years ago, TK was put up for a tender for equipment, so in this TK the highest rates were recorded for all world similar samples. These qualities were not present together in any of the available samples, one had one, the other had another. Estessno, did not receive anything - it is necessary to have reasonable Wishlist. The laws of nature cannot be canceled by any dollars.