India Strikes Back : Rs 16000 Crores Contract Between Turkey And Hindustan Shipyard Ltd Cancelled
The Turkish Anadolu Shipyard was L1 bidder for the Fleet Support Ship project for the Indian Navy and had technically qualified for the from among three other global companies who were in the race for the construction of five ships.
Seven global players had initially responded to the Request for Proposal — the German ThyssenKrupp Marine Systems (TKMS), Fincantieri of Italy, Navantia from Spain, Rosboronexports (ROE) from Russia and Turkey’s Anadolu Shipyard. At the end of the scrutiny only three companies including TKMS, ROE and the Turkish Shipyard was shortlisted.
The Hindustan Shipyard Limited (HSL)’s collaboration with M/s Anadolu Shipyard, Turkey for the FSS project is estimated to cost Rs 16000crores or $ 2.3 billion.
No contract has been inked as yet as the analysis of the technical and financial assessment is going on, the Turkish shipyard as part of negotiations was expected to provide ship design, supply key machinery equipment (KME) and provide technical assistance.
On the completion of the evaluation, the second round of negotiations related to the price was on the agenda. This was the first time ever that a Turkish shipyard which is part of TAIS industrial group, participated in any defence contract in India.
However without citing any reason, speaking to Financial Express Online on condition of anonymity, a senior official confirmed that “The contract for the 45,000-ton fleet support ships (FSS) for the Indian Navy with the Turkish Company has been cancelled ”
This is due to fall out of Turkey cosying up to Pakistan and raising Kashmir issue at the recently concluded 74th United Nations General Assembly (UNGA).
The Turkish President Recep Tayyip Erdogan had raised the Kashmir issue and had criticized the international community for not paying attention to the situation. On the sidelines of the UNGA, Prime Minister Narendra Modi met with leaders of Turkey’s strong rivals and close neighbours –Cyprus, Armenia and Greece.
It has also been reliably learnt that Turkey is secretly aiming to get a nuclear device / nuclear technology from Pakistan.
The FSS project is likely to get delayed a bit because now a new L1 has to be found out between the TKMS and ROE have to be short listed.
