India japan defense cooperation.
The $1.3 billion India Japan defence deal to procure 12 US-2 Shin Maywa Amphibian aircraft
for the Indian Navy has again hit the roadblock over the pricing issue.
The deal was expected to be finalised during the Japanese Defence Minister General Nakatani
three-day visit to India starting on Thursday. But it seems to have got stuck over the issue
of pricing as the Ministry of Defence finds its hands tied with a narrow budget and senior
officials of the Indian Navy are believed to have opposed to the deal, sources told
BusinessLine. The deal, talks for which has been going on
since 2011, almost reached a conclusion when Prime Minister Narendra Modi visited Japan
in 2014 and announced that India will buy the aircraft off the shelf. This was further
strengthened with the visit by Japanese Prime Minister Shinzo Abe to India in December 2015.
“Talks are underway … We have to analyse its usefulness and benefits before we can
sign the deal,” said an official of the Ministry of Defence on condition of anonymity.
According to the joint statement issued after the meeting between Minister Nakatani and
Defence Minister Manohar Parrikar: “The Ministers commended the effort made by both
countries regarding the cooperation on US-2 amphibious aircraft.”
“We need a certain level of technology that can account for some combat mission also.
Japanese are treating this as just a plane that can do search and rescue operation. The
Japanese are very capable of providing the equipment, Sources say that India wants to
take production of this aircraft under ‘Make in India’, but there is some disagreement
or lack of common position on that issue as well. The decision to purchase US-2 amphibian
aircraft was made. Initially, Indian Navy and Indian Coast Guard had taken keen interest
in this aircraft due to its range of 4,500 Km and it can land on the sea, but the high
cost and Japan’s rigid stance against sharing critical technology has forced India to look
towards other options. Therefore, the lack of progress in this deal has brightened the
prospects for purchase Russian and Canadian naval aircraft by India. Thank you for Watching. Please Like, Comment