Thursday, August 11, 2011

MMRCA, Aviation Week analysis

©Dassault Aviation - A. Hernoult
Indian fighter competion nears final

The winner of the Indian air force’s $12 billion Medium Multi-Role Combat Aircraft (MMRCA) fighter competition should soon emerge, as the government is set to formally begin the process of identifying the lowest bidder in early September.
The Eurofighter Typhoon and Dassault Rafale are the final contenders left in the race and Indian government officials have finalized how they will judge offset and industrial participation offers that are crucial in deciding which company will be chosen to supply the initial order for 126 fighters. However, a defense ministry official indicates that the air force wants contractual options to be exercised immediately, which would boost the buy to 189 fighters and the program value to almost $20 billion.[...]

bullet points :
  • Formula has been found to benchmark the offers to provide a like-for-like comparison.
  • Offset packages review almost completed 
  • 50% offsets requirement (at least $6 billion) one of the most challenging in recent aerospace contracting.
  • India’s aerospace industry not considered mature enough to absorb all offsets.
  • Dassault and Eurofighter confident that their packages meet what is required.
  • Eurofighter and Dassault have insisted that their bids are competitive
  • The local MMRCA team offices of the four eliminated contenders remain fully staffed: officials at all four believe that things are delicate enough in the final phase for them to remain in the country.
  • If commercial bids are examinated next month, lowest bidder could be named in November-December and a contract signed before the end of March. 
 Read the full article in Aviation Week 

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