Israeli defense industry leaders believe that strategic and commercial relations with India will remain stable, despite questions by the Congress Party’ victory in the Indian elections.
Indian Defense Minister Pranab Mukherjee announced last week at his first press conference that India’s security relations with Israel would remain intact. He said that the new Indian governing coalition included partners opposed to relations with Israel, but that all the coalition parts shared a desire not to harm the fulfilling of India’s defense needs.
In the mid-1990s, India became the largest destination for Israel’s defense exports. Israel does not report the size of its deals, but Israeli 2003 defense exports to India were estimated at $1.3 billion.
Two months ago, the Indian Defense Ministry and Israel Aircraft Industries signed an agreement for the sale of three Phalcon early warning aircraft for $1.1 billion. The modernization of the Indian Army in recent years has been almost entirely based on Israeli systems.
Mukherjee’ statement followed a similar announcement by the new government on the day after it was sworn in last week that defense ties with Israel would be preserved. The new Indian government nevertheless severely criticized Israel for the Israel Defense Forces’ operations in Rafah, and condemned the killing of Palestinian civilians there.
A senior Israeli defense industry official told “Globes”, “We’ve seen no change in relations with India. We’re not surprised that business as usual is continuing. I believe that the main consideration in defense relations is strategy, not politics or public relations.”
Published by Globes [online] - www.globes.co.il - on May 30, 2004