A Rafale fighter jet on display at the Dubai Air Show last year. Jeff Topping / The National
A Rafale fighter jet on display at the Dubai Air Show last year. Jeff Topping / The National

Plane makers in a battle over combat aircraft orders



There's a dogfight fight going on involving the makers of the most advanced combat aircraft in the world's arsenal.

It is being fought over the contracts to supply the next generation of fighters to countries including Brazil and India.

Standing on the sidelines is the UAE, with a requirement for 60 medium multi-role combat aircraft by 2017, and a reputation for getting the best, for the cheapest deal when it comes to defence procurement.

Over the past few weeks one plane maker has emerged as a front runner - France's Dassault, with its tried and tested Rafale. But the competition is not lying down. Another European plane maker, EADS with the Typhoon; Sweden's SAAB Gripen; and the US giants Boeing and Lockheed Martin with their F15, F16 and F18 variants, are still in play.

The UAE is faced with sorting through their competing claims.

Up until the beginning of this month, Rafale was dead; killed by a damning statement in November by Sheikh Mohammed bin Zayed, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the Armed Forces."Regrettably, Dassault seem unaware that all the diplomatic and political will in the world cannot overcome uncompetitive and unworkable commercial terms," he said.

Then, on January 31, Dassault announced it had been made preferred bidder for the contract to supply the Indian Air Force with 126 Rafales, with a potential second batch bringing the total to 206. The total order could be worth US$20 billion (Dh73.46bn). Suddenly there were stories that Dassault and the UAE were still talking and the French press were saying the French president Nicolas Sarkozy could be visiting Abu Dhabi next month to sign a deal. The UAE, meanwhile, is still keeping its own counsel.

The also-ran on the India deal was EADS' Typhoon.

Both aircraft had undergone stringent evaluations by the Indian Air Force, but the French had offered more technology transfer, and an arrangement whereby the first 18 aircraft would be built in France and the remainder at Hindustan Aerospace in Bangalore. They were also said to be cheaper.

Other possible customers for the Rafale stepped forward. From being a French venture that had failed to secure a single overseas customer and was in danger of having its production line shut down, Rafale was flying again.

Brazil's FX2 competition for 36 next-generation fighters worth $2.2bn, with potential follow-on orders for up to 120 aircraft, is up for grabs. Brazil was already talking to Dassault, EADS, Saab, Russia's Sukhoi and Boeing.

In Brazil, the Rafale had not been a front-runner, but after India's announcement the Brazilians suddenly wanted to know what was in Dassault's package.

Yes, Rafale was aircraft carrier-capable, important for the Brazilian Navy, but the price at $9bn was the highest among the bidders. Boeing's Super Hornet was also carrier-capable, and at $7.7bn, cheaper and Boeing's passenger aircraft division offered major offset possibilities for Brazil's commercial airliner industry. EADS, the maker of the Typhoon, offered similar benefits via Airbus. But fighter contracts are complex. On price, even if there is an initial loss, there will be an opportunity to catch up, upgrading aircraft to a next level, four or five years hence. And other strategic concerns can trump up-front commercial benefits.

India's decision to prefer the Rafale to the Typhoon was based on history.

The Indian Air Force is a satisfied user of French fighters, going back to the 1950s, and France has been a staunch ally.

During the 1999 Kargil campaign against Pakistan, India obtained French clearance to urgently adapt Israeli laser-guided bombs for its French-made Mirage fighters.

On the other hand, the 1998 US arms embargo after India's nuclear test has not been forgotten in New Delhi. France was the only western nation not to impose sanctions.

The weapons systems and sensors for the Rafale are mostly French-made, and thus not subject to a third-party embargo. The Typhoon is produced by a consortium of four nations, each with different foreign policies and different attitudes to arms exports.

One of them, Germany, has dithered over technology transfer with India on previous deals, and both German and Italian law prohibits deliveries of weapons and spares to warring nations. Also, Typhoon's air-to-air missiles include the US-made AIM-120 Amraam and the German-led IRIS-T, and its primary air-to-ground weapon is the US-made Paveway laser-guided bomb system.

Could India rely on those allies to keep her supplied, or could an India at war see its supply of weapons and spares shut down?

In Brazil, the newspaper O Estado de Sao Paulo quoted the influential Workers' Party deputy leader Jose Genoino as saying: "France is always the better partner ... we don't know what is going to happen in 10 years so that we will be able to guarantee our spare parts. The USA, traditionally, does not transfer technology … We want to seek the lowest price with the most technology transfer."

Meanwhile, the UAE is offering no hints. Typhoon is still in the running, and if Dassault is right, so is Rafale.

"It won't just be about performance," said one defence industry analyst, who declined to be named.

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Skewed figures

In the village of Mevagissey in southwest England the housing stock has doubled in the last century while the number of residents is half the historic high. The village's Neighbourhood Development Plan states that 26% of homes are holiday retreats. Prices are high, averaging around £300,000, £50,000 more than the Cornish average of £250,000. The local average wage is £15,458. 

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Key facilities
  • Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
  • Premier League-standard football pitch
  • 400m Olympic running track
  • NBA-spec basketball court with auditorium
  • 600-seat auditorium
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  • An elevated football field that doubles as a helipad
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  • Disruption Lab and Research Centre for developing entrepreneurial skills
Real estate tokenisation project

Dubai launched the pilot phase of its real estate tokenisation project last month.

The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.

Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.

Test

Director: S Sashikanth

Cast: Nayanthara, Siddharth, Meera Jasmine, R Madhavan

Star rating: 2/5

The White Lotus: Season three

Creator: Mike White

Starring: Walton Goggins, Jason Isaacs, Natasha Rothwell

Rating: 4.5/5

The smuggler

Eldarir had arrived at JFK in January 2020 with three suitcases, containing goods he valued at $300, when he was directed to a search area.
Officers found 41 gold artefacts among the bags, including amulets from a funerary set which prepared the deceased for the afterlife.
Also found was a cartouche of a Ptolemaic king on a relief that was originally part of a royal building or temple. 
The largest single group of items found in Eldarir’s cases were 400 shabtis, or figurines.

Khouli conviction

Khouli smuggled items into the US by making false declarations to customs about the country of origin and value of the items.
According to Immigration and Customs Enforcement, he provided “false provenances which stated that [two] Egyptian antiquities were part of a collection assembled by Khouli's father in Israel in the 1960s” when in fact “Khouli acquired the Egyptian antiquities from other dealers”.
He was sentenced to one year of probation, six months of home confinement and 200 hours of community service in 2012 after admitting buying and smuggling Egyptian antiquities, including coffins, funerary boats and limestone figures.

For sale

A number of other items said to come from the collection of Ezeldeen Taha Eldarir are currently or recently for sale.
Their provenance is described in near identical terms as the British Museum shabti: bought from Salahaddin Sirmali, "authenticated and appraised" by Hossen Rashed, then imported to the US in 1948.

- An Egyptian Mummy mask dating from 700BC-30BC, is on offer for £11,807 ($15,275) online by a seller in Mexico

- A coffin lid dating back to 664BC-332BC was offered for sale by a Colorado-based art dealer, with a starting price of $65,000

- A shabti that was on sale through a Chicago-based coin dealer, dating from 1567BC-1085BC, is up for $1,950