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The Obama Administration had notified the Congress
April 23rd of the potential sale of 10 aircraft
to India, and sought any objections or approval.
The Congressional consent has come well before
the Indo-US strategic dialogue beginning in Washington
DC from June 2.
The aircraft are being sold to India under the
US Government’s Foreign Military Sales (FMS)
programme, with the maximum package value of USD
5.8 billion. That includes the 3.8 per cent administrative
fee that the government charges to ensure timely
delivery and guarantee the supplies.
 Government
to government deals may not necessarily be cheaper
but ensure a hassle-free environment and a near-zero
scope of corruption. In legal terms, such deals
also ensure sovereign guarantees.
In the case of Gorshkov deal with Russia for
instance, after the recent agreement between New
Delhi and Moscow, the Russian government had agreed
to ensure the aircraft carrier’s delivery
by 4th December, 2012, that is just before the
Indian Navy Day. During the discussions to revise
the 2004 Gorshkov agreement between the two countries,
the Russian government also ensured that work
on rebuilding the carrier was not stopped and
once it extended USD 250 million credit to the
Sevmash Yard in this regard.
The actual cost of the C 17 aircraft for India
would be less as India would not be buying all
the options, and the 3.8 per cent fee would be
payable only on the actual amount of the deal.
In some countries, the administrative fee ranges
up to 18 per cent.
Boeing India’s Vice President for Defense,
Space and Security, Dr Vivek Lall, told India
Strategic from Washington DC: "We
are pleased that India's intent to buy 10 C 17
Globemaster III has received U.S. congressional
approval. With this, the Indian government is
one more step closer to acquiring the C 17 which
we believe is ideally suited to meet India's airlift
needs for military and humanitarian purposes.
The submittal of the Letter of Acceptance to the
Government of India will be the next step towards
finalizing the Foreign Military Sale."
The Indian Air Force (IAF) Chief of Staff, Air
Chief Marshal P V Naik, had told India Strategic
last year that IAF was looking for 10 plus 10
C 17s, described in its parlance as VHTAC, or
Very Heavy Transport Aircraft, as a replacement
of its ageing fleet of Soviet vintage IL 76 transport
jets.
India has 17 IL 76 transporters, another six
as IL 78 midair refuelers and one as an AWACS
with Israeli Phalcon electronic radome radar.
But IL 76 is out of production after the demise
of the Soviet Union, and whatever useable airframes
were available, they have mostly been acquired
by China.
An IL 76 can carry up to 45 tonnes of cargo,
while a C 17 can carry about 75 tonnes, and for
a much longer range. A C 17 can land from grassy,
football field size strips and needs only three
crew members as against 7 for an IL 76.
It does cost much more though.
The US Air Force has ordered a total of 223 C
17s, out of which 198 have been delivered, and
the 199th, which was shown to a visiting Indian
media team at its Boeing manufacturing facility
at Long Beach, recently, is set to join its designated
squadron.
Boeing plans to continue production for about
five years to ensure deliveries to USAF (24),
UAE (six), UK (seven) and India (10). It should
take India approximately three years to get the
first C 17 after the formal agreement between
the two countries is signed.
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Pics: C 17 aircraft operating
in Afghanistan.
Courtesy USAF
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