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India clears $2.5 billion deal for US military helicopters
India’s cabinet on Tuesday cleared the purchase of 22 Apache attack helicopters and 15 Chinook heavy-lift helicopters from Boeing in a deal worth around $2.5 billion ahead of Prime Minister Narendra Modi’s visit to the US.
India on Tuesday cleared deals worth $3.1 billion to buy 22 Apache attack helicopters and 15 Chinook heavy-lift choppers from US defence giant Boeing after a delay of nearly three years.
The Cabinet Committee on Security (CCS) approved the purchase on the eve of Prime Minister Narendra Modi’s United Nations General Assembly visit to New York.
HT was the first to report on September 19 that the crucial deals to fill gaps in the Indian Air Force’s capability would be cleared by the PM-headed CCS on Tuesday, paving the way for signing the contracts soon.
Boeing and the US Army Security Assistance Command had threatened to escalate the cost after September 30 by nearly 40% after holding it steady since 2009, granting 13 price extensions.
The proposals have clauses to place follow-on orders for 11 more AH-64D Apache Longbow and seven more CH-47F Chinook helicopters. Both platforms have seen combat in Afghanistan and Iraq.
Boeing had beaten off competition from Russia, which had offered its Mi-28N Night Hunter and Mi-26 heavy-lift copters to the IAF.
Armed with fire-and-forget Hellfire missiles, the Apache attack choppers can track up to 128 targets in a minute and prioritise threats. These missiles equip the helicopter gunships with heavy anti-armour capabilities. The army is moving a separate case to buy 39 Apache helicopters.
The Chinook’s main roles include transporting troops, artillery and battlefield resupply.
These deals have further consolidated the US’ position in the Indian arms market. The US emerged as the top weapons supplier to India during 2011-14, edging past Russia and Israel.
Pentagon, headquarters of the US defence establishment, has created a special cell to boost trade ties with India. Established in February, the cell called the India Rapid Reaction Cell works as a wing of the office of the undersecretary for defence acquisition, technology and logistics, focused on co-production and co-development of military equipment.
