DCNS India signs a contract with a local Partner under the Scorpene submarines programme (P75)

Paris, 8 June 2011

DCNS India signs a contract with a local Partner under the Scorpene submarines programme (P75)

The Contract was signed between Flash Forge India Pvt. Ltd., based in Visakhapatnam, and DCNS India Pvt. Ltd.

The production by the shipyard Mazagon Dock Ltd. (MDL) of six SSK Scorpene submarines (P75) under the DCNS transfer of technology (ToT) is ongoing. Simultaneously, DCNS India is working at the selection and qualification of Indian companies as partners for local production of the Scorpenes’ equipment.

In adherence with the Indian authorities systematic pursue of local manufacturing of systems, DCNS is continuously striving to go beyond the contractual ToT with MDL so that vital equipment could be locally manufactured*. The aim is to enhance local expertises with the Indian industries.

“We are in India to establish partnerships with the Indian industry to develop local capability and to perform genuine transfers of technologies. We are providing our Indian partners with know-how and technical assistance to manufacture equipments which will be installed onboard the Scorpene submarines. MDL, our main contractor, is also to sub-contract work to these local players. Together, we are qualifying the suitable companies which are meeting the rigorous specifications needed for the submarines” explains Bernard Buisson, Managing Director of DCNS India**.

This first contract with Flash Forge for the manufacturing of mechanical equipment is the conclusion of a long and stringent process. This involved the identification, audits (of the manufacturing and quality processes) and qualification of potential partners. Selection of the winner was made through a competitive Request For Proposal (RFP) which took into account, among various others, the following critical parameters:

• Quality requirements: Every shortlisted local supplier had to demonstrate an experience and adherence to strict production and quality control policies. All equipment onboard a submarine contributes to the overall safety of the crews on board and of the ship on the whole.

• Delivery schedule: Every supplier had to show a track record of on-time deliveries as it is imperative to curtail any delay arising out of the procurement process.

• Long term vision: Given the relative small quantities of each material to be manufactured (the last four submarines will be fitted with indigenized equipment), each potential industrial partner needs to demonstrate a willingness to invest in the required specific infrastructure development.

The same comprehensive selection method is under way for other equipments and more contracts with Indian partners will be announced shortly.

* The locally produced elements to be installed onboard the P75 Scorpene submarines represent thousands of articles. These are the equipments, systems and sub-systems that are fitted onboard (engines, pumps, valves, accommodation elements, AC and safety equipments, but also the combat and ship control systems…). They are part of the MPM (Mazagon Procured Materials), contracted in 2010.

** DCNS India Private Limited was inaugurated in March 2009 in Mumbai. It is specialising in naval services. DCNS India’s main missions are to support the naval shipyards and industries (Naval Technical Advice Department), to develop local services with Indian talents (Design & Marine Engineering Department), to achieve localized production with large base industrial partners (Programme Department) and to extend sourcing opportunities for both local and international needs (Sourcing & Purchasing Department).

About Flash Forge
Established in 1991 in Visakhapatnam, India, Flash Forge Private Limited is an ISO 9001:2008 certified manufacturer of customised special material forgings used for severe service conditions in industries such as defence, aerospace, power, oil and gas, shipbuilding, petrochemicals and process plants.

About DCNS
DCNS is a world leader in naval defence and an innovative player in energy. The Group’s success as an advanced technology company with global reach is built on meeting customer needs by deploying exceptional know-how and unique industrial resources. DCNS designs, builds and supports submarines and surface combatants as well as associated systems and infrastructure. The Group proposes services for naval shipyards and bases. Last but not least, DCNS offers a range of solutions in civil nuclear engineering and marine renewable energy. Committed to sustainable development, DCNS was one of the first defence contractors to achieve Group-wide certification to ISO 14001. In recognition of the success achieved by its Filières du Talent knowledge sharing programme, DCNS was awarded a Trophée National de l’Entreprise Citoyenne (national award for corporate citizenship) under the patronage of the French Senate. The Group employs 12,000 people and generates annual revenues of around €2.4 billion.

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