British defence group BAE Systems has joined the race to win part of a 2.5-billion-dollar artillery shopping spree by the Indian military, defence officials in New Delhi said Friday. India last month invited proposals from global arms manufacturers for the purchase of 140 ultra-light artillery guns.
BAE Systems joins a field including firms from Russia - India's main defence supplier - and Soltam Systems of Israel, a country which last year moved up to become the second biggest arms supplier to New Delhi.
"It's going to be a close thing," a senior defence ministry official said. New Delhi meanwhile is also expected to open a separate tender for 155 heavy guns by the end of March, Indian defence sources said. Rival firms will be showing off their guns at DefExpo, an annual arms fair which starts in New Delhi on Saturday. The tenders are part of India's plans to modernise its ageing Soviet-era military equipment.
India in 2001 floated global tenders for 400 guns, but scrapped the contract last year after testing hardware sent by Israeli, British and South African firms vying for the deal.
South Africa's state-owned Denel armament firm was later blacklisted by India on charges of corruption in a separate arms deal. The Indian army has not bought artillery since 1986 when the purchase of 410 howitzer guns for 1.23 billion dollars from then-Swedish firm Bofors sparked allegations that politicians took bribes to clinch the deal. The scandal contributed to the collapse of the government of then-prime minister Rajiv Gandhi in 1989.