India, Russia yet to achieve breakthrough on Gorshkov deal
IRNA - Islamic Republic News Agency
New Delhi, Jan 9, IRNA
India-Russia-Gorshkov Deal
India and Russia are yet to achieve a breakthrough on resolving the Gorshkov deal, which has been in a deadlock over pricing.
"There has been no major breakthrough, though discussions are on," Defense Minister A K Antony said on the sidelines of a function to launch the Golden Jubilee celebrations of the Defense Research and Development Organization (DRDO), PTI reported here quoting Antony.
India is supposed to get the delivery of the aircraft carrier next year, but the Russians told New Delhi that they cannot stick to the time schedule due to heavy cost overruns on the warship's upgrading.
In the new terms, Moscow is demanding dlrs 1.5 billion more for carrying out complex cabling work on the warship to integrate its command and control stations.
Under the original deal concluded in 2004, India was to pay dlrs 1.2 billion for complete retrofitting of the carrier.
Antony said negotiation teams from both countries had held a number of round of talks, but no breakthrough had been achieved yet.
His remarks assume significance in the backdrop of an expected visit by a Russian delegation later this month here on the issue.
Though uncertainty over the delivery of the carrier continues, Russia is expected to stick to schedule on supplying the first batch of Mig-29K, the warship's main fighters by June next year.
The defense minister said that Malaysia had evinced interest in acquiring the surface to air Akash missiles.
"Malaysians got to hear about the 100 percent successful trials and broached the subject of its acquisition during the talks," he said.
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