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India's Phalcon: Long-range problems
By Ramtanu Maitra

On February 29, Israel's security cabinet approved the US$1.1 billion sale of the Phalcon Airborne Warning and Control System (AWACS), one of the world's most sophisticated long-range warning and control systems, to India. Approval of the deal, worked out last December, was a foregone conclusion, but its timing could poison the India-Pakistan talks now in progress and upset regional political equations more broadly.

Islamabad responded immediately to news of the deal: "The sale of sophisticated weapons to India will accentuate strategic and conventional imbalance in South Asia," Foreign Office spokesman Masood Khan told state television. "Such transactions undermine the spirit of peace and stability being pushed by Pakistan, India and the international community in the region," Khan added.

A European defense expert monitoring AWACS-related developments quoted by Pakistan's Defence.com stated that high level consultations between Beijing and Islamabad on the Phalcon deal were in progress and that both Pakistan and China had conveyed their intention to counter the Indian move.

But despite the European defense expert's claims, the official Chinese reaction has been relaxed, even indifferent. "This is something between Israel and India," a Chinese Foreign Ministry spokesperson said. The spokesperson declined to comment on whether the sale of three Phalcon radar systems would alter the regional security situation.

Meanwhile, New Delhi is keeping quiet. London Financial Times correspondent Edward Luce, in New Delhi, reported that Indian officials would not comment on Pakistan's reaction, however, officials did point out that India's defense calculations also include neighboring China, which defeated India in a border war in 1962 (the two have recently embarked on talks to resolve their border dispute). "India's defense requirements are not all targeted at Pakistan," they said.

Official reactions notwithstanding, the Phalcon deal is a very important development. It is an important benchmark in the Indo-Israeli defense relationship that has burgeoned in the past two years. Significantly, Israel is today India's second-largest weapons supplier after Russia. Indeed, it may be some time before the political and strategic implications of this become clear.

An Israel-India-Russia deal
The Phalcon deal is a three-way transaction involving Israel, India and Russia, one that will greatly enhance the surveillance capability of the Indian Air Force against incoming surface-to-surface missiles, while also providing India with the means to strike deep into enemy territory.

On October 11 last year, Indian Defense Secretary Ajay Prasad signed the preliminary agreement with retired Israeli Major General Yasi Ben Hanan, head of Sibat, the Israeli Defense Ministry's licensing agency for the Phalcon. Russia was represented by Mikhail Denisov, the first deputy chairman of Russia's State Committee for Military Technical Cooperation, who also signed.

Under the terms of the agreement, Israel will purchase an Ilyushin-76 cargo aircraft from Uzbekistan, which will then be sent to Russia to be fitted with new high-powered engines. After structural modifications, the aircraft will be sent to Israel to be mounted with the AWACS radar system, and the complete aircraft will then be delivered to India.

Following approval by Israel's security cabinet, a senior official of the Beriyev Design Bureau, based in Russia's port-city of Taganrog on the Sea of Azov and a unit of Irkut Aerospace Corporation, told the Press Trust of India that Russia hopes to sign the contract - to supply the fitting of the IL-76 with new engines - with Israel by April at the latest.

The decks were finally cleared for the supply of Phalcon AWACS to India with the visit of Israeli Deputy Prime Minister Silvan Shalom to New Delhi in February. "We have agreed on the sale of Phalcons," Shalom said. "We had some problems with the Americans till recently," he added, "[But] we have now opportunity to finalize the deal." Shalom told reporters after top-level meetings with Indian leaders, including Defense Minister George Fernandes, that Israel expects to make deliveries shortly.

Negotiations kept under wraps
Indian interest in the Phalcon AWACS goes back to 2001, but negotiations were kept under close wraps. It was the unwillingness of the US - the "patron saint" of Israel - that stalled the deal. It is evident, though, that India and Israel could not have discussed the Phalcon, or the Arrow missile system for that matter, without American blessings.

According to a report appearing in Global Online on March 27 last year, the Bush administration had informed Israeli officials in Washington that it opposed Israel's selling of three Phalcon AWACS planes to India. Reports from Washington claimed that the administration had informed Israel that its $1 billion special military grant from the US was contingent on canceling the Phalcon deal.

"If the objection is for commercial reasons, it is not legitimate," Israeli Knesset Foreign Affairs and Defense Committee chairman M K Yuval Shteinitz (Likud) said at the time. "The deal with India is completely different from the one with China." In 1999, under pressure from then US president Bill Clinton, then-Israeli prime minister Ehud Barak had cancelled a deal to sell four Phalcon planes to China.

A likely reason for the US resistance to the Phalcon deal with India was the prevailing high level of tension between the two unaccepted nuclear powers, India and Pakistan, coupled with the US's preoccupation with its war in Iraq. The US was worried that supplying AWACS to New Delhi might accelerate the arms race in an already tense sub-continent. There is no American equipment on the plane, but since the US veto of the sale to China, which set off a diplomatic crisis with Beijing, Israel coordinates its defense sales with Washington.

Taking a more cynical stance, many argued that the US administration was trying to improve Boeing's opportunities in the global AWACS market by pressuring Israel Aircraft Industries subsidiary Elta Electronics Industries not to sell AWACS to the Chinese air force or the Indian air force.

But as Indo-Pakistani tensions along the border began to subside, Washington changed its mind and okayed the sale. In August 2003, the Israeli daily Ha'aretz reported that the US had given the green signal. Ha'aretz cited US State Department deputy spokesman Philip Reeker, saying that the US no longer had any objections to the deal. Reeker added that in the past, the US had refused to okay the sale on the grounds that it was wrong to sell such intelligence technology to India given the tensions along its border with Pakistan. But, said Reeker, the US now feels that developments on the ground have eased the concerns on this score.

Sharon's groundbreaking visit
During Israeli Prime Minister Ariel Sharon's three-day (September 8-10, 2003) visit to New Delhi, India and Israel expressed their resolve to strengthen cooperation in defense as well as in the fight against terrorism. At the time, the two sides discussed both the $1.1 billion deal for the Phalcon systems and the $2.5 billion anti-ballistic Arrow missiles system.

Sharon's highly publicized visit to India was the first-ever visit by an Israeli prime minister since the two countries established full diplomatic relations in 1992. Sharon's visit had deeply worried Pakistan, which does have diplomatic relations with Israel, concerned about the close defense cooperation between India and Israel.

According to news reports, Pakistani President General Pervez Musharraf, Prime Minister Zafarullah Khan Jamali and other senior Pakistan officials held a meeting to discuss Sharon's visit to India. Musharraf had said that no compromise would be made on his country's defense and all available resources would be allocated for this purpose. The sale of Phalcon systems was a matter of serious concern for Pakistan, he added.

Pakistan Foreign Minister Khurshid Mahmud Kasuri, commenting that Israel's sale of weapons to India could disturb the balance of power in South Asia, said: "By visits of that nature in which the primary purpose seems to be the sale of ultra-modern and strategic weaponry aimed at disturbing the balance of power in South Asia, ultimately it will be the poor people of South Asia who will pay."

Expanding defense ties
Indo-Israeli defense cooperation has, in fact, expanded rapidly. Currently, there are reports that Indian intelligence officers will be trained by Israeli intelligence personnel from the Mossad, Israel's secret service. Reports also indicate that, following a decision by India's cabinet committee on security, Israel will in addition train four new special forces battalions of which the Indian army is raising to fight the Kashmiri insurgency. Officers and men from the proposed battalions, trained by Israeli specialists in irregular warfare and armed with Israeli weaponry, will be attached to the Northern Command, in charge of the Kashmir frontier and internal security operations in the war-torn region.

India has already purchased a number of Barak missile systems for its Delhi class destroyers and Israel is apparently willing to transfer technology to India on some of its latest, most sophisticated projects - the Advanced Naval Attack Missile and the Next Generation Defense Missile - provided India is willing to invest money in their development. Another potential project is an aerial attack vehicle configured for striking at ballistic missiles in their boost phase.

With Pakistan acquiring short and medium range ballistic missiles - capable of striking deep inside the country - from North Korea, India turned to Israel for advanced surveillance equipment and an anti-ballistic missile defense system. Consequently, it acquired two Israeli Green Pine radars and supplemented its capability with aerostat balloons and unmanned aerial vehicles (UAVs) to meet immediate needs against a potential Pakistani missile assault.

India has also acquired an unspecified number of Israeli Searcher UAVs, or drones, some of which have reportedly been put to use by the army in Kashmir. Reports also say that the Indian navy is acquiring six Heron UAVs, at a cost of $3 million each, for surveillance and monitoring purposes in the Arabian Sea and areas around the Andaman and Nicobar chain of islands.

Recently, India concluded a $20 million agreement with Israel Military Industries for Tavor 21 5.56 millimeter standard assault rifles and Galil 7.62 mm sniper rifles, in addition to varied night vision and laser range-finding and targeting equipment.

According to a Brookings Institute analyst in Washington, this system will allow India to execute a counter-air campaign against Pakistan more effectively and will also provide it with an enhanced capability to prevent a Pakistani air counter-attack. Furthermore, with the technology required to assess radar systems non-existent in Pakistan, Islamabad is likely to take a more conservative view of Indian strategic defenses once the radar system is deployed.

At the same time, the purchase of the Phalcon by the Indian Air Force could presumably justify the US's selling of a F-16 AWACS to Pakistan, which Islamabad has long sought.

Disturbing implications
The most contentious aspect of the whole deal is that it steals the limelight at a time when India and Pakistan, after an absence of three years, have only just begun to talk to resolve a number of bilateral disputes, including the difficult Jammu and Kashmir imbroglio. The first round of meetings took place in mid-February and the next round of talks are scheduled for May-June, leading to a ministerial-level meeting in early autumn.

Finalization of the Phalcon acquisition at this juncture carries some political risks that are not inconsequential. Israel is looked at with deep suspicion in the sub-continent. Tel Aviv's policy toward the Palestinians is strongly resented in the region's Muslim countries and also by a large number of Indians. Israel has always been considered a stalking horse of the US. Now, in the wake of the Iraq invasion and the dubious American policy in Afghanistan, the high-profile presence of either the US or its shadow, Israel, gives little comfort to the general population.

Israel's growing presence in the sub-continent also raises questions about Iran, with whom India maintains friendly relations. Having failed to achieve the status of a nuclear weapons-capable state through covert means, Iran is under massive political pressure from the US and others. Reportedly the leak about Iran's illegal nuclear fuel enrichment came from the inside, where Israel still nurtures a few assets left over from the days of the Shah. It is well known that Israel would not like to see Iran possess nuclear weapons capability. Israel developed its own nuclear weapons capability in the 1960s with the help of Western nations, never signing the non-proliferation treaty. In 1995, Israel talked openly of bombing Iran's nuclear installations.

At this point in time, Iran needs support from India and other nations who do not want to see the country isolated and destabilized. Iran is now actively engaged in drawing support from wherever it can, but the looming presence of Israel in the region may create serious doubts in the Iranian mind about India's true intent. The Phalcon may be important, but for India, it is a lot more important to secure its friendship with both Iran and Pakistan.

(Copyright 2004 Asia Times Online Ltd. All rights reserved. Please contact content@atimes.com for information on our sales and syndication policies.)


Mar 9, 2004





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