Monday, November 23, 2009

India considers U.K. carrier as Russian team in India for Gorshkov price-negotiation

Under pressure of climbing operational costs and a shrinking budget, the U.K. navy is considering selling one of its two hi-tech 65,000 tonne aircraft carriers to India. The carriers named HMS Queen Elizabeth and Prince of Wales are being built by BAE systems to replace the ageing Invincible class and are understood to be three times larger in size. The Guardian (U.K.) report further states that India, which is looking to modernise its navy to retain the strategic hold in the Indian waters, has lodged a firm expression of interest to buy the £2billion aircraft carrier. The sale of the aircraft carrier will leave the U.K. Royal Navy with only one carrier.

The Indian navy requires a minimum of three aircraft carriers to secure its interest in the waters and this is without regarding rumours of China's plan to have 6 carriers. The ageing INS Viraat is the lone carrier, which India has, but is to be phased out in the coming years. The navy is also awaiting the delivery of the Admiral Gorshkov by 2013 and the indigenously developed aircraft carrier around 2015.

It has also been reported by DailyMail that the ongoing cost-cutting drive had hit the royal navy’s ship induction plans. The Telegraph reports that as a part of austerity drive, the search and rescue services rendered by the royal navy, coast guard and royal air force may be privatised in the United Kingdom.

Meanwhile, a 40 member strong Russian delegation is in India to discuss the price hike of Admiral Gorshkov as neither side is ready to back down from their price positions. India has so far released US$650 million for the refurbishment of the Kiev class carrier. Even though the price hike has become a bone of contention between the two parties, work on the aircraft carrier has not been stalled. This may be partly because Russia could now be in a position to induct the Gorshkov into its own Navy in case discussions with India fail.

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