New Delhi, March 19
India and the UK today signed an agreement for effective and uninterrupted implementation of contracts for the acquisition of 66 Hawk Advanced Jet Trainers (AJTs) for the Indian Air Force (IAF).

The deal will cost 795 million pounds. The MoU was inked by Defence Secretary Ajay Prasad and British High Commissioner Michael Arthur.

The actual contracts between the Defence Ministry and British Aerospace Systems, manufacturers of the Hawk 115-Y, will be signed next week.

Of the 66 AJTs being bought to provide advanced Stage III training to pilots, 24 will be procured in fly-away condition, while the remaining will be manufactured in India by Hindustan Aeronautics Limited (HAL) under licence from British Aerospace, Mr Prasad told reporters after signing the MoU.

Under the MoU, the British Government would ensure full support and cooperation for the supply of the AJTs as also licensed production and supply of spares.

The Cabinet Committee on Security headed by Prime Minister Atal Bihari Vajpayee had cleared in principle the deal to acquire Hawks in September last year.

However, trouble arose recently over the price which had been negotiated earlier as there had been an accounting error on the Indian side whereby the cost of tooling at the HAH had been overlooked while coming to a final price. India then informed the British High Commission that the price would have to be borne by the BAe.

Describing the MoU as a “very good symbol of defence cooperation” between the UK and India, The British High Commissioner said the Royal Air Force would train 75 Indian pilots alongside its own pilots who fly Hawks.

Mr Prasad said Britain had assured that it would ensure product supply during the lifespan of the trainer aircraft.