Russia's Rostech State Corporation has tied up with Hindustan Aeronautics Limited for manufacture of at least 200 Kamov 226T light helicopters to replace the ageing fleet of Cheetah and Chetak, in a deal estimated to be worth $1 billion under 'Make in India' initiative.
Amid allegations of bribery attempt in the 197-chopper deal, India has asked the two vendors in the race to extend the validity of their commercial bids till the end of this year, making it clear that the procurement is in for further delay.
Admiral Puri says it would be wasteful to buy a foreign helicopter, pay for transfer of technology, and develop manufacturing capability in an Indian private sector strategic partner when all this already exists with HAL.
The defence ministry on Friday scrapped a scam-tainted tender worth over Rs 6,000 crore to procure 197 light helicopters from foreign vendors and decided to allow indigenous players to manufacture these choppers for the armed forces.