The US and India strengthened defence ties since Narendra Modi came to power. Some time back the US Defence Secretary Ash Carter had unfolded the American plan to help India develop jet-engine technology. The US establishment has already decided to assign the task to Lockheed. It would be feasible for Lockheed to set up an F-16 assembly line if about 100 jets are to be produced for the Indian Air Force and for possible exports. The deal was “almost finalised” when Prime Minister had visited Washington last year. During this visit, Modi finalised the Logistics Exchange Memorandum of Agreement (LEMOA) with the US, which is one of the three crucial foundational agreements that strengthened India-US defence ties.

It is beyond comprehension how could India agree to buy an obsolete technology, which is more than 40 year old. India opting for F 16 is more intriguing in the background when a number of reliable and competent defence firms have been expressing their willingness to set up assembly lines in India. Among them are the Eurofighter consortium ad Sweden’s Gripen. Boeing from the U S and Pentagon's Director for International Cooperation Keith Webster held meetings in Delhi about the possibility of producing their jets in India. While Lockheed has proposed F-16, Boeing has offered to make F/A-18s in India.

No doubt Indian Air Force is in desperate need of modern fighter aircraft as it grapples with an ageing fleet, it does not mean that any product would be hand over to them. It is significant that Lockheed would produce the fighters in an assembly line based in India, taking advantage of the new liberalised FDI conditions announced by the government. Ironically India was inducting a fighter that first took to the skies more than 40 years ago.

The deal is not a fair transaction is reinforced by the simple fact that in the beginning itself. The Defence Minister Manohar Parrikar had pointed out: “I am not looking for assembly at all. I am looking for a company to join with an Indian partner and to start manufacturing here by Transfer of Technology (ToT) in most of the items. I know that 100 per cent ToT may not be possible and 100 per cent indigenization is not possible. Even with so many efforts, LCA has only around 40 per cent indigenization.”
Even of late US has not been engaging Lockheed to fulfill its requirements. The US military has opted for more advanced fighters. Strange enough the NDA government has entered into agreement for production of F 16 even after being aware that F-16s are a critical part of Pakistan air force’s fighter arm. Besides a 40-year-old design and fourth generation fighter, would remain in the IAF for at least next 30-40 years.

At one stage Defence Minister, Manohar Parrikar had already made known that India is not interested in acquiring US F-16 fighter aircraft despite aggressive lobbying by Lockheed to build F-16 fighter jets in India. Parrikar also told the Parliament, 'The experience of flying against F-16 is what we require as we are not going to induct F-16, at least; as of now. We are not discussing buying the fighter (aircraft). We want to make it in India through transfer of technology for our requirement. Unless the American government gives permission to transfer a particular technology, the American companies, even if they want to do it, cannot.”

It is not yet clear what made Parrikar to make a shift in his stand and go for F 16. The development should be examined in the backdrop of Modi’s bonhomie with Obama. In US Modi issued a joint statement with Obama. The joint statement bore the impression that India has become a security partner of America. It said both India and America will work together as equal partners for peace and security of Asia-Pacific region.

More than the interest of nation, it was the compulsion to protect the concern of the market forces and America, the modern face of crony capitalism that mattered most. Obama in a shrewd manner made India to subscribe to his moves and get Modi agree to sign at the dotted lines. Behind the façade of ensuring the security and safety of the country, the Modi government was helping the US’s business promotion tactics and mechanism. While the allies of the capitalist powers have been cautiously treading in the matter of welcoming the FDI in their economies, the Indian government embraced it with open heart. The latest has been the case of allowing 100 per cent FDI in the defence sector. This was allowed in the garb of reforms only after India signed the LEMOA.

Modi praised the move as a “major impetus to employment and job creation” notwithstanding word of caution from the former Defence Minister A.K. Antony saying the reforms would “affect India’s independent foreign policy” and defence sector would be thrown mostly into the hands of NATO-American defence manufacturers”. The fact of the matter is India is permitting foreign capital to “reap super profits” and to help the U.S. come out of its global economic crisis at the “expense of India’s domestic economy”. Nothing could illustrate it better than the case of US defence giant Lockheed setting up its shop in India to manufacture the F 16 war planes.

Notwithstanding objections from defence experts Modi government granted permission to Lockheed to open its workshop. Lockheed Martin has firmed up its plans to produce the latest version of its F-16 fighter jets only in India under the ‘Make in India’ programme.

It might sound wishy-washy that Lockheed might not have succeeded in opening its shop in India, if the US President Barack Obama had not expressed his intentions notwithstanding opposition from the Congress to gift F 16 to Pakistan. This capitalist tactics paid off. It created the impression that F 16 was the most effective fighter which was why Pakistan was desperate to buy it. But the fact was otherwise. Even Pakistan was not too eager to have F 16. True enough it wanted some modern fighter. It settled for F 16 as Obama had offered to deliver with many concessions. But the moment USA put some conditions, which were not tenable, Pakistan backed off.

About a third of India’s 650 fighter jets are more than 40 years old. This has put nation’s defence at risk. What an ignominy now 40 year old F 16 is being purchased to augment and strengthen Indian defence. It is not that better fighters were not available in the market. Russia has been the major supplier of defence needs.

Russian's have been very helpful and welcoming as far as customization is concerned, Russians allow to deploy foreign or Indian made radars and other equipment without much fuss. Instead they collaborate with to get the best out of it, this collaboration has resulted in making arguably the best 4th generation fighter Su-30 MKI and the fastest cruise missile in the world BRAHMOS. This freeness allows us to have better equipped migs and sukhoi's than most countries are supplied.

India has not been just a market for Russian aircrafts but also a collaborator, both countries have worked side-by-side in improving Russian jets, which has resulted in some great outcomes like Bison, Su-30 KI, BRAMHOS etc, so when it came to making a 5th generation stealth fighter to compete against likes of F-22s and 35s Russia chose to partner India. The result is a proposed PAK FA (SU-50) expected to be operation by 2016. It's already in testing.

Allowing Lockheed to set up it workshop and also consenting to 100% FDI in the defence sector obviously meant that India's defence sector is gifted to Nato-American defence manufacturers. After signing of Logistic Support deal, this move would endanger India’s independent foreign policy and also threaten the national security. It would adversely affect the ongoing indigenous defence research activities.

With Lockheed intending to turn India the sale outlet for its fighter planes, a number of shadowy images would take advantage of descending here thus endangering the security and safety of the country. Intriguingly Lockheed bosses did not rule out the possibility of fighters manufactured in India to Pakistan. Howard, the spokesperson, parried questions on whether the company is willing to give a commitment not to sell F16s to Pakistan saying it will be part of discussions between the Indian and American governments. (IPA Service)