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Sunday, January 19, 2014

Navy's Guns Sink with Tender

Oto Melara 127mm 54caliber gunThe Navy’s plans to procure weapons for future warships are at risk of running aground. The force urgently needs 127mm guns, but its tender for 13 guns estimated at Rs 1,500 crore finds itself in rough waters. To start with, there were only two vendors for the guns globally. Now, while one has walked out of the tender, the other is facing uncertainty due to its parent company’s woes.

Sources said this could delay two key shipbuilding projects—the seven follow-on Shivalik-class frigates and six Delhi-class destroyers—that are in various stages of construction in domestic shipyards.

While the UK’s BAE Systems has refused to bid, Italian Oto Melara, whose parent company Finmeccanica is facing corruption probes back home, is keen on participating in the tender.

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