18 November 2016

Challenges to Indo-Israel Defence Relations

Nov 16, 2016 

Challenges to Indo-Israel Defence Relations

Despite the robustness of Indo-Israeli defence cooperation, some constraints for closer relations exist. Some of these include India’s domestic political environment where a strong lobby resisting Israeli entry in defence sales to India exists, competition and balancing relations with the Gulf States and Iran. Of late allegations of corruption in Indo-Israeli arms trade has also been very sensitive issue which has challenged the relations With more number of players including the United States entering defence market there is competition as well as conflict of interest as in some technologies Israel and the US have bilateral agreements.

There are major political challenges internal as well as global for Indo-Israel defence cooperation. There is a large anti-Israel lobby in India mainly of Left parties and Islamic organisations who have been raising concerns over Israel’s role in suppression of aspirations of the Palestine people. India has so far successfully evaded these challenges. Support to the Palestinian cause thus remains a major factor in India’s foreign policy. Thus every visit by a dignitary from India to Israel is also followed or preceded by a visit to Palestine to express solidarity with the cause of the Palestinians, though India seeks resolution of the Palestinian issue politically.

The entry of diverse foreign suppliers in the Indian market has also added to the competition that was being faced by Israel which was limited only to Russia in the 1990’s. The Arrow anti-missile defence systems is one example which was blocked by the US in 2003. American necessity to maintain a balance between India and Pakistan in the South Asian context has also led to restricting Israel from supplying some technology to India from time to time.

In January 2011, US pressure led to barring Israel from export sale of EL/M-2052 radar to India. This is presumed because US defence industry was keen on selling this system by offering similar technology to equip Tejas Light Combat Aircraft (LCA) with this radar. Currently, there is competition between Israel’s Rafael and the European MBDA over Advanced Short Range Air-to-Air Missile (ARSAAM) and Python 5.

Bureaucratic delays and corruption is another major factor impacting Indo-Israeli defence cooperation. India’s complex bureaucratic system is seen by many as highly cumbersome and unfriendly to defence sales and partnership. This does not favour speedy decision making and rebuffs foreign supplies. There are also restrictive regulations for foreign companies to invest in the Indian industry which has acted as a disincentive. On the other hand corruption in defence deals also leads to huge blocks.

Issues surfaced when India’s Central Bureau of Investigation (CBI) conducted an investigation of IAI and Rafael regarding supply of Barak-1 missiles, a deal conducted by the BJP-led NDA government in 2000. However, this has since been cleared. Some of the contractors are presently facing legal action for indulging in malpractices related to deals with Indian Ordnance Factory chief Sudipto Ghosh. M/s. Israel Military Industries Ltd. (IMI) is presently involved in this case.

The key concern arising from charges of bribery is use for political purposes by the Indian leadership and also long legal cases which may take years to come to fruition banning future sales by defence majors in the country. 

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