Saturday 31 March 2012

India is darling of global defense firms

March 30, 2012


Sailor-suited Russian models touted their nation's submarines. Indian officers posed for pictures atop foreign-made armor-plated vehicles.

And working the room at New Delhi's aging exhibition center were French, British and American arms merchants from global defense giants, elbowing each other aside in the search for a deal at Defexpo India 2012, the country's biggest-ever weapons trade show.

Fueled by superpower ambitions and rivalry with China but hampered by a creaky domestic defense industry, India is on a military buying spree that's made it the belle-of-the-global-military ball.

"India's a little yokel with pockets full of cash and everyone's trying to mug it," said Ajai Shukla, a defense analyst and former army colonel.

India's long shopping list calls for $20 billion in fighter jets, $1.5 billion worth of refueling aircraft and billions of dollars in submarines, tanks and artillery, among other equipment, all part of an estimated $80 billion spending spree over the next five years.

Pakistan once kept Indian generals awake at night. But increasingly that mantle goes to China, with its growing economic and military might and festering territorial disputes along its shared 2,800-mile-long border with India. Adding to India's insecurity are memories of its defeat by Beijing in a 1962 border war.

The situation leaves India increasingly bracing for the possibility of a two-front war given close Sino-Pakistani relations. Its armed forces already battle civil unrest and border incursions in the disputed region of Kashmir, a homegrown Maoist insurgency and threat of terrorists breaching its thinly patrolled coast, as seen during the 2008 Mumbai attack.

The country was the world's largest weapons importer for the 2007-11 period, according to the Stockholm International Peace Research Institute think tank, followed by South Korea, Pakistan and China. Although the Middle Kingdom's annual military budget of $106 billion is nearly three times India's, the rapid expansion of its homegrown defense industry means it produces an estimated 90% of its weapon systems domestically, compared with 30% for India.

A measure of India's unease is seen in plans to add three army divisions totaling 90,000 soldiers along the border. This anxiety isn't shared, however, with Beijing largely focused on what the American military, not India's, is up to, analysts said.

China holds the high ground given the altitude of the Tibet plateau — key in any land conflict — in part because of its superior hardware and better rail and road links. By some estimates, China could deploy troops within a week, whereas India would need three weeks.

"India must at all costs avoid land competition with China," said Endre Lunde, a consultant with IHS Jane's, a defense consultancy. "It just can't end well."

No comments:

Post a Comment