February 5, 2020 | International, Aerospace
By: Vivek Raghuvanshi
NEW DELHI — India's defense budget for 2020-2021 will be $73.65 billion, the country government announced Saturday, but officials and analysts are warning the amount is unlikely to meet new demands for weapons purchases and military modernization, as India is set to spend about 90 percent if its defense funds on existing obligations.
Of the total budget, $18.52 billion is for weapons purchases; $32.7 billion is for maintenance of the military's weapons inventory, pay and allowances, infrastructure, and recurring expenses; and $21.91 billion is for defense pensions.
“The capital budget leaves no room for any big-ticket weapons purchase, as over 90 percent of the allocation capital funds will [be spent] for past [defense] contracts' committed liabilities," a senior Ministry of Defence official told Defense News.
The limited procurement spending is expected to directly impact “Make in India" defense projects, a policy meant to boost the local economy under the ruling National Democratic Alliance government.
“This also [leaves] no room for any major weapons purchases from U.S. at least for one to two years,” the MoD official added.
India is slated to make a number of purchases through the U.S. Foreign Miltiary Sales program, including 22 MQ-9 Reaper (Predator B) drones for $2.6 billion; and additional six P-8I maritime surveillance aircraft for $1 billion; two Gulfstream 550 aircraft for intelligence, surveillance, target acquisition and reconnaissance for nearly $1 billion; and one unit of the National Advanced Surface-to-Air Missile System II for more than $1 billion.
During at least the last two years, the Indian military has complained about a lack of funds for resolving existing liabilities. Amit Cowshish, a former financial adviser for acquisitions at the MoD, said the military will likely continue to face the challenge of preventing defaults on contractual payments.
The senior MoD official told Defense News that due to the shortage of funds, at least a dozen pending defense contracts will experience delays. “The current $18.52 billion capital allocation is only [a] marginal increase from [the] previous year [capital] allocation of $18.02 billion [and] does not even adequately cover inflation costs.”
The Indian Air Force is to receive $6.76 billion from the 2020-2021 budget, a drop from the previous year's $7.01 billion. The money is expected to go toward payments for orders of Rafale fighters from France and an S-400 missile system from Russia.
The Indian Navy is to receive $4.56 billion, which is expected to help cover the cost of leasing a nuclear submarine and stealth frigates from Russia, as well as pay for warships from Indian companies. A Navy official said it is unlikely the service will be able to sign a contract for 24 MH-60R multirole helicopters for more than $2 billion from the U.S. next year.
The Indian Army is to receive $5.06 billion to pay cover previous orders of wheeled and ultralight artillery guns, T-90 tanks, and ammunition.
India's state-owned defense companies continue to receive 60 percent of defense-related business, with 30 percent going to overseas defense companies and 10 percent to domestic private defense firms.
Another MoD official said the armed forces plan to focus on industry-funded defense projects under the government's “Make-II” category, which allows private companies to participate in the prototype development of weapons and platforms with a focus on import substitution, for which no government funding will be provided.
May 5, 2024 | International, Security
Nation-state hackers have a new trick - turning Microsoft's own cloud services into secret command centers to launch attacks undetected.
July 31, 2020 | International, C4ISR
Andrew Eversden The Army's new network tools, set to be deployed to units in 2021, were heavily influenced by a new factor: soldiers. Through exercises and training events, the Army's Network Cross-Functional Team received feedback on its design decisions for Capability Set '21, the set of new network tools set to be delivered to soldiers next year as part of the service's network modernization efforts. “This is the first time really in recent history that the network has really focused on soldier feedback. And it's important and it played a huge role in that,” said Col. Garth Winterle, project manager for tactical radios at the Army's Program Executive Office Command, Control, Communication-Tactical. The Army recently completed its critical design review of Capability Set '21 and is in the beginning stages of procuring network pieces for delivery. In the lead-up to making purchases, feedback from units helped show the differences between how the new network tools perform in the field versus in a lab. “Soldier ingenuity, leader know-how, the skill craft that our soldiers bring and the tradecraft they utilize in the field is a lot different than how we conceptualize it back here,” Col. Rob Ryan, deputy director of the Network CFT at Army Futures Command, said at a C4ISRNET event in June. Testing for the capability set has been ongoing in lab-run experiments and with limited field tests in the last few months. Through the field experiments, the Army modernization team received feedback from units on what volume of various capabilities the soldiers needed, what capabilities were usable and what “attributes” of each capability soldiers found to be more important than others, said Winterle. Disruptions caused by both the coronavirus pandemic and a deployment of the 82nd Airborne Division to the Middle East at the end of December forced the modernization team adjust its testing plans. Defender 2020, a massive exercise scheduled to take place in June with European allies, was altered. Army leaders had planned to use the event to test network equipment with allies. However, network tests are “back on the calendar” in the fourth quarter of fiscal 2020, Winterle said. “The design decisions that were made at critical design review are still up on the table for revision or reassessing after continual soldier feedback,” Winterle said. “This is a continual evaluation, continual process.” Maj. Gen. Peter Gallagher, director of the Network CFT, said in a June 9 webinar with industry that several testing events, like a Joint Warfighting Assessment and Defender 2020, were altered, as were combat training center rotations and other exercises. Those “are always great venues for us getting feedback from soldiers and leaders on improving the network design,” Gallagher said. Ryan said that the network team received feedback from soldiers during the development, build and delivery phases of network design. In forthcoming testing events, the Army wants to figure out how many radios are needed and where they need to be located, Winterle said. The service also plans to evaluate if it undervalued and overvalued certain capabilities. https://www.c4isrnet.com/yahoo-syndication/2020/07/30/from-the-lab-to-the-battlefield-soldiers-put-new-network-tools-to-the-test/
August 6, 2021 | International, Aerospace
Italy has hiked defense spending with a new budget that includes the first 20 million euro Italian funding for the Tempest fighter.