September 30, 2015

India seeking technology to build MCMVs

(UPI) -- Indian state-owned company Goa Shipyards Limited is looking for other companies to supply the technology to build 12 mine countermeasure vessels.
GSL was awarded a $5 billion noncompetitive contract to build the vessels in 2014, and has now floated a global expression of interest from companies who are wiling to transfer the technology to build the vessels. Analysts warn this could raise the cost of building the ships, saying it would be cheaper to have them built overseas, according to Defense News.
To acquire the technology, GSL has sent the EOI to Lockheed Martin from the U.S., Kangnam from South Korea, Intermarine from Italy, Navantia from Spain, Thyssenkrupp from Germany, and two Russian shipyards.
The transfer of technology contract is valued at more than $1 billion, however this makes up only 20 percent of the total value of the contract, according to an Indian Navy official. India's Ministry of Defense canceled a 2008 global tender with Kangnam, citing their alleged use of defense agents to pursue the deal is against Indian law.
A mine countermeasure vessel is a naval ship designed to locate and destroy naval mines, combining the role of minesweeper and mine hunter.
India's government formed GSL in 1957 following the country's blockade of Goa. It is used to manufacture warships for the Indian Navy and the Indian Coast Guard. Currently, the company is in the process of modernizing the fleet.

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