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US sends Letter of Acceptance to India for Predator drone purchase

The US State Department notified the drone deal on Feb 1, but the draft LOA was kept open for possible objections from US lawmakers for a mandatory 30 days.

Updated on: Mar 15, 2024, 07:58:08 IST
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New Delhi: India and US have further cemented defence cooperation with the Biden administration sending the final letter of acceptance (LOA) to the Defence Ministry for acquisition of 31 MQ9B Predator drones from General Atomics through the government to government route. The US sent the classified LOA for the nearly $4 bn acquisition to India this week.

The letter of acceptance is a response to India sending a letter of intent to purchase 31 drones to the US government.
The letter of acceptance is a response to India sending a letter of intent to purchase 31 drones to the US government.

According to officials based in Washington and Delhi, the final LOA, with the negotiated price of 31 armed drones by US with the manufacturer, was sent to the Defence Ministry on March 11, belying reports that the deal was held up by the Biden Administration after the alleged plot to assassinate Khalistani radical G S Pannun.

The US State Department notified the drone deal on February 1, but the draft LOA was kept open for possible objections from US lawmakers for a mandatory 30 days. The final LOA was sent to India after there were no vetoes from the lawmakers to the US deal with India.

Also read: Exclusive: US Congress green signals Predator drone sale to India

Now that the LOA has been received the deal will be studied by the Indian Navy, the lead player in the acquisition, and then forwarded to the Cabinet Committee on Security (CCS) for approval via the Defence Minister if the price is found to be satisfactory. The Indian Navy will get 16 MQ 9B drones, and the Indian Army and Indian Air Force will get eight each as per the agreement between the armed forces. India has decided to purchase 31 drones with 171 Hell-fire AGM 114 R missiles, laser guided bombs, missile launchers, ground stations, anti-submarine sonobuoys and the full encryption as well as surveillance complement package for the state of the art platform.

Also read: How Predator drones will neutralise the Chinese threat

The letter of acceptance is a response to India sending a letter of intent to purchase 31 drones to the US government. Under the G-to-G route, it is the supplying government that negotiates with the manufacturer on price.

The acquisition of the 31 Predator drones by India came at a time when the lease of two Sky Guardian drones (unarmed Predators) by the Indian Navy was on the verge of expiring in January . This was first extended till March, and then a contract for further extension for four years was signed this month at a cost of $ 220-230 million.

Also read: Why Indian Predator drone will be a game-changer against adversaries

Analysts say the India-US MQ9B deal will be a game changer in the Indo-Pacific, serving as an effective counter to the Chinese Wing Loong II armed drones, which have also been sold by Beijing to its client state Pakistan.

  • Shishir Gupta
    ABOUT THE AUTHOR
    Shishir Gupta

    Shishir Gupta is Executive Editor at Hindustan Times and one of India's top journalists covering national security, strategic affairs, foreign policy and geopolitics. Over the past three decades, he has extensively reported on India's military, diplomatic and security landscape, covering every major conflict and national security challenge, from the 1999 Kargil War and the 2020 East Ladakh standoff to Operation Sindoor in 2025. He has also covered major terror attacks, including the IC-814 hijacking, the 26/11 Mumbai attacks and the 2025 Pahalgam terror strike, along with numerous Pakistan-backed terrorist incidents in the Kashmir Valley and across India. He has reported on national and state elections for more than three decades. A recognised authority on strategic affairs, Gupta has covered India's nuclear programme since the Pokhran-II (Shakti series) tests in May 1998 and has written extensively on global nuclear issues, Indian diplomacy and the country's expanding global outreach. He has also reported widely on international conflicts and terrorism, with a special focus on the Indian subcontinent. Gupta has interviewed Prime Minister Narendra Modi more than four times, including Modi's first interview with the print media after becoming Prime Minister in May 2014. His other interviews include three with the Dalai Lama, as well as conversations with Benjamin Netanyahu, Amit Shah, Yogi Adityanath, S. Jaishankar, Nirmala Sitharaman and Piyush Goyal. He is the author of Indian Mujahideen: The Enemy Within (Hachette, 2011) and Himalayan Face-off: Chinese Assertion and Indian Riposte (Hachette, 2014). He was awarded the Chevening-Wolfson Joint Scholarship at Wolfson College, University of Cambridge, UK, in 1998 and participated in the International Visitor Leadership Program (IVLP) of the US State Department in 2006. He received the Ben Gurion Prize from Israel in 2011 and the K. Subrahmanyam Prize for Strategic Studies in 2015 from the Manohar Parrikar Institute for Defence Studies and Analyses (MP-IDSA). Since 2024, he has hosted Point Blank, Hindustan Times' weekly YouTube show on global geopolitics.Read More