Friday, 19 December 2014

India's first-ever warship export order: an offshore patrol vessel to Mauritius

India will hand over the Barracuda to Mauritius at Kolkata on Saturday

By Ajai Shukla
Business Standard, 19th Dec 2014

On Saturday, defence shipbuilder, Garden Reach Shipyard & Engineers (GRSE) will hand over to Mauritius a 1,300-tonne offshore patrol vessel (OPV) named “Barracuda”. This $58 million (Rs 365 crore) vessel is the first warship ordered by a foreign country from an Indian shipyard.

Meanwhile, GRSE is bidding to build two frigates for the Philippines Navy, for an estimated Rs 1,000 crore each. If GRSE wins that order --- for which major global shipyards are bidding, including Navantia of Spain, STX of France and Korean majors, Hyundai and Daewoo --- it would be the first time a warship designed and built in India is selected in an international tender.

India has gifted several warships to smaller Indian Ocean countries like Maldives, Seychelles and Mauritius. It has sold used vessels, such as a Sukanya-class OPV that now serves as the Sri Lankan navy’s flagship.

GRSE is also finalizing the design of a series of 140-tonne Fast Patrol Boats for the Vietnam Navy. New Delhi has offered a line of credit to Vietnam for that order.

Yet this is the first time an Indian shipyard has been commissioned to design and build a warship to specifications formulated by a buyer country. This marks an important first landmark in the Bharatiya Janata Party (BJP)-led government’s drive to increase defence exports.

According to figures tabled in parliament on November 28, India’s total defence exports were Rs 446.75 crore in 2012-13; 686.27 crore in 2013-14 and Rs 166.67 crore this year, up to Sept 2014. The export of the Barracuda would, therefore, be a significant success.

The need to support defence exports has been understood for some time, with the United Progressive Alliance government formulating a “Defence Exports Strategy” and simplifying the procedure for granting export sanctions.

The BJP’s election manifesto in 2014 pledged: “We will encourage domestic industry to have a larger share in design and production of military hardware and platforms for both domestic use and exports, in a competitive environment.”

Senior naval officers have long argued for exporting warships to friendly countries in the Indo-Pacific region. This, they said, would strengthen India’s security partnerships, while providing economy of scale to India’s warship builders and ancillary companies.

Amongst all three services, the navy has most decisively promoted indigenous warship design and construction. All 41 warships currently on order for the navy are being built in Indian shipyards.

“Building in India provides significant cost advantages like cheaper labour, when compared with most foreign shipyards”, points out GRSE chief, Rear Admiral AK Verma (Retired).

As an example of successful indigenization, Verma points to the Kamorta-class anti-submarine corvettes that GRSE is building. He says: “The challenge is not just to build warships in India, but to also increase the indigenous content of each vessel. In the Kamorta-class, we have brought the overall indigenous content to about 90 per cent.”

Several navy chiefs have lamented the relative failure to indigenize engines, weapons and sensors. Earlier this month, the navy chief, Admiral RK Dhowan estimated that the float component of our warships (i.e. the hull) was more than 95 per cent indigenous; the move component (engine and transmission) was sometimes just 60 per cent; while the high-tech fight component (weapons and sensors) was barely 35-40 per cent indigenous.

Even so, the Mauritius coast guard is said to be pleased with the performance of the Barracuda, which has completed a month of sea trials. The GRSE chief says the vessel delivered a top speed of 22.5 knots (42 kilometres per hour), against the customer’s requirement of 20 knots (37 kilometres per hour).

The Barracuda has been designed for the usual OPV tasks --- anti-piracy; anti-smuggling; anti-poaching and search and rescue --- as well as additional tasks specified by Mauritius. The additional capabilities include: pollution response; external fire fighting; and the movement by sea of troops.

The Barracuda will be handed over by Minister of State for Defence, Rao Inderjit Singh, to the Mauritius government at Kolkata on Saturday. 

7 comments:

victor raj said...

If our Air force has supported HAL, we would have exported Tejas to several countries by now. Our Navy is doing a much better job at supporting indigenous products. Air force is the one to blame for our need to import.

Anonymous said...

GRSE AND INDIAN YARDS MUST GET INTO COLLABORATIONS WITH EUROPEON , JAPANESE , KOREON SHIPYARDS TO UPGRDE SHIPBUILDING EQUIPMENT , PRACTICES MATERIALS AND DESIGNS . INDIAN SHIPBUILDING PRACTICES ARE OBSELETE AND TWENTY TO THIRTY YEARS BEHIND THE WORLD LEADERS .

Anonymous said...

INDIAN BUILT SHIPS HAVE PUMPS , MOTORS , CABLING , ELECTRONICS , COMMUNICATION SYSTEMS WHICH ARE GENERALLY 15 TO 20 YEARS BEHIND WESTERN , JAPANESE STANDARDS . BREAKDOWNS OF WATER PIPES , HYDRAULICS , AND ENGINE ROOM MACHINARY IS COMMON AND REQUIRES DEDICATED EFFORT OF MAINTENANCE . THE SHIPYARD MUST POSITION A GOOD ENGINE , ELCTRICAL AND OTHER EQUIPMENT MAINTENANCE TEAM IN MARIUTIUS FOR TIME TILL THE LOCALS ARE TRAINED OR STANDS TO LOOSE GOOD WILL WITH ITS POOR SHODY PRODUCT SUPPORT .

P.K.Chaudhuri said...

GRSE management must be rewarded for the initiative and successful export of its product. Defence PSUs such as HAL, BDL etc. must take a lesson from GRSE. India must export its successful products such as ALH, Aakash Rocket launchers, Nag- Anti Tank missile etc. Defence PSUs must increase their focus on manufacturing and export on commercial basis. Manufacturig capacities need to be increased for the purpose. I will again appeal to the Government for earliest selling twenty percent stake in the market for all Defense PSUs.

Anonymous said...

the sign post... liars... remain so...

Anonymous said...

Completely agree with Victor Raj. I have personal experience of IAF stalling indigenous development and acting as a disincentive to HAL. I must hasten to add that HAL has not exactly covered themselves in glory either. The failure to start a marketing exercise which should have been done by any commercial organisation worth its salt, for the BTA in time by HAL is a glaring case in point. This has resulted in a loss of thousands of crores to the government and also prevented HAL from having a good salable product in the international market and increasing their dismal export record.

Hareesh said...

Good job guys. Way to go GRSE.