[BITList] More n the Hawk.

[John Feltham]

There is a problem in the R&O contract between the BAeSystems and the  
Govt which has resulted in an inadequate supply of spares for the  
Hawk.We are facing this problem time and again, where we are unable to  
detect the fine print and our officers and men suffer needlessly. The  
solution lies perhaps in training our Tech and Lgs officers on the  
fine points of contracting.

Raghu

UPDATE: BAE Says India May Buy 57 More Hawk Trainer Jets


Wednesday February 11st, 2009 / 11h28



(Adds more comments from BAE executive, background on Indian orders  
and ventures.)
By Rumman Ahmed and Nitin Luthra
Of DOW JONES NEWSWIRES
BANGALORE -(Dow Jones)- U.K. defense contractor BAE Systems PLC  
(BAESY) said Wednesday the Indian government may order 57 more Hawk  
trainer jets for its navy and air force.
India's state-run Hindustan Aeronautics Ltd. is in talks with the  
federal government to study the possibility of placing a follow-on  
order with BAE for the aircraft, Julian Scopes, president of BAE  
Systems India, told Dow Jones Newswires in an interview.
"Negotiations have started on a follow-on buying of the Hawk, which  
will be for 57 aircraft of which 17 will be for the Indian Navy and  
the remainder for the Indian Air Force," Scopes said on the sidelines  
of the Aero India show.
India had ordered 66 Hawk jets in 2004 for $1.45 billion for its air  
force. The country wants to buy more Hawk trainers to better train its  
pilots for flying supersonic combat jets such as the Sukhoi-30MKI and  
Jaguar.
As per the 2004 contract, 24 aircraft were ordered in flyaway  
condition, of which 23 have been delivered by BAE, Scopes said.
The remaining aircraft will be produced by Hindustan Aeronautics under  
license from BAE.
Earlier in the day, a senior Indian defense ministry official said the  
federal government is likely to order up to 100 Hawk jets for the air  
force and navy.
"There was always a plan for about 160 Hawks, so we are looking to  
fulfill that," the official, who asked not to be named, said. "The new  
order could be announced soon, perhaps at Aero India too."
Scopes said BAE is also in discussions with Indian companies to form  
partnerships for meeting potential demand for its homeland security  
and naval products.
The company is considering jointly producing its radar, body armor,  
command and control systems and also naval security equipment in  
India, he added.
Scopes sought an increase in India's foreign direct investment, or  
FDI, limit for joint ventures in the defense sector from the current  
26%.
"To build a business in India, we and others will argue that the  
government needs to lift the cap on FDI from 26% initially to 49% and  
then completely."
He said a joint venture with Mahindra & Mahindra Ltd. (500520.BY),  
India's biggest sport-utility vehicle maker by sales, to produce land- 
based defense equipment will start operations in the second quarter of  
this year.
Mahindra will hold the majority 74% stake in the venture as per the  
Indian norms.
"The joint venture will initially focus on existing M&M businesses,"  
Scopes said.
BAE is also considering expanding its partnership with Wipro Ltd.  
(WIP), India's third-biggest software exporter by sales, Scopes said.
BAE and Wipro had announced in November 2007 that they would jointly  
work on commercial aerospace projects.
Scopes also said the Indian government may call bids for the supply of  
an additional 1,000 towed howitzers. BAE has already bid for supplying  
400 towed howitzers to India.
"The bids for these (400) howitzers are currently under technical  
evaluation and the company expects to be called for trials sometime in  
2009," he said.
BAE is also in talks with India's defense ministry for supplying ultra- 
light weight howitzers, he added.



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