MRCA Deal: Strategic Considerations & Arms Card

The much awaited request for proposal (RFP) for 126 medium-range multi-role combat aircraft (MMRCA) was finally announced by the Ministry of Defence in a press release on 28 August 2007. It took nearly two years of deliberations since the request for information (RFI) was issued in late 2005. Six bidders, considered ‘gorillas’ in military business, will compete for the massive $ 10.2 billion contract, dubbed as ‘mother of all deals’ in the history of Indian arms acquisition.

Deba R. Mohanty

The Lucrative Indian Aerospace Bazaar

With a slice of more than 15 percent of the global aerospace market – both civil and military, currently estimated to be over $ 300 billion per annum with a near double digit projected growth over the next ten years, it is no surprise that the Bangalore Aero-India show has not only attracted gorillas like the Boeing, Lockheed, BAe (British Aerospace) or the European major EADS but also offered opportunities for aerospace chimpanzees (mid-sized companies like Embraer, Israeli Aircraft Industry) as well as marmosets (like HAL).

Deba R. Mohanty