Advertising Console

    India in £700m deal for jet parts

    Repost
    ODN

    by ODN

    21.1K
    251 views


    UK firms BAE Systems and Rolls-Royce have bolstered their position in the fast-growing Indian market after sealing a £700 million deal to supply parts and engines for 57 Hawk jets to the country's air force and navy.


    The deal was announced as Prime Minister David Cameron toured Hindustan Aeronautics facility in Bangalore during a major trade visit to India.


    The contract - worth around £500 million to BAE Systems and £200 million to Rolls-Royce - will support around 200 jobs in the UK and follows a previous agreement to supply 66 jets in 2004.


    Mr Cameron said: "This agreement will bring significant economic benefits to both our countries. It is evidence of our new, commercial foreign policy in action."


    The aircraft - 40 for the air force and 17 for the navy - will be assembled by Indian firm Hindustan Aeronautics and extend the existing relationship with the UK firms for a further six years.


    Rolls-Royce has worked with the Indian firm since 1956 and is supplying its Adour engines for the jets. BAE Systems also sells the Hawks to customers including Australia, Canada, South Africa and the UK's own Royal Air Force.