India agrees to pay more to save aircraft carrier deal

NEW DELHI: India has agreed to pay more to Russia to save the aircraft carrier Gorshkov deal, sources revealed here on Wednesday.

According to sources, both sides are refusing to spell out the exact figures for the warship, which was originally priced at $ 970 million. They said the deal had come to a standstill with India almost threatening to walk out of the deal after the Russians began demanding an additional $ 900 million. Returning from Moscow, Indian Defence Secretary V K Singh said the figure could not be disclosed as the modified contract had to be put up to the Union Cabinet and the Cabinet Committee on Security for clearance. Sources said India had also agreed to send 100 trained personnel from its shipyard to the Sevmash Shipyard in the Arctic to join the 1,200 Russian personnel working on the ship.

Talking to reporters, Singh said, "The warship requires the installation of new turbines, boilers, 2,500 km of cabling and strengthening of its flight deck for operations by MiG 29 fighters as part of the new retrofitting to be undertaken on the carrier." He said the modified contract would be signed by the end of March after teams from Russia would visit India to finalise the contract.

Ready by 2010: The defence secretary said the aircraft carrier would be ready by 2010 after which it would undergo 18 months of extensive sea trials by the Russian navy along with their Indian counterparts.

"The sea trials for the carrier would comprise sailing it out to great distances and operating fighters from the deck," said Singh, adding that modalities were being worked out to reduce costs by reducing time sea trials' time and contemplating if some of these trials could be undertaken in Indian waters.

When asked to comment on Indian Naval Chief Suresh Mehta's recent threat of walking out of the deal, Singh said, "There is no question of giving up the carrier." He also denied reports that Russians wanted to reclaim the carrier.

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