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C-17s for India?

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C-17 Globemaster III
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In November 2009, reports surfaced that India was negotiating to buy 10 C-17A Globemaster III heavy transports for its air force. A Defense News article added that:

“The C-17’s advantages include its easier handling (compared with the IL-76) and ability to operate from short and rough airstrips, added the sources…. The Indian military needs to do three things: augment its ability to quickly lift larger numbers of troops as it views possible threats on its border with China; strengthen its presence on the Pakistani border; and fight terrorism and low-intensity warfare, said a senior Defence Ministry official. India needs to triple its lift capacity, said the official.”

India’s serious. They’ve now sent an official letter of request for a buy that would give them the world’s 2nd largest C-17 fleet, after the USA…

Contracts and Key Events

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IAF IL-76MD
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Jan 7/10: Boeing announces that the U.S. government has received a Letter of Request from India’s Ministry of Defence (MOD) and the Indian Air Force regarding the potential acquisition of 10 C-17 Globemaster IIIs. The C-17 has been to India, and conducted demonstration flights in February 2009 at Aero India in Bangalore.

If the buy proceeds as a Foreign Military Sale, the next step is a US State Department approval and announcement of the sale via the DSCA, complete with estimated costs. Some countries, like Qatar and Canada, have chosen to buy their C-17s as a less public, and less restrictive, Direct Commercial Sale instead, reserving the FMS request and DSCA announcements for the aircraft’s defensive systems and Global Sustainment Partnership support arrangements.

Nov 5/09: Defense News reports that India is negotiating to buy 10 C-17A Globemaster III heavy transports for its air force, and claims that a $1.7 billion deal is likely to be finalized “by early 2010.” The problem is, a $1.7 billion budget might buy India 5 operational C-17s, but it’s very difficult to see how it could buy 10.

The article correctly notes that C-17 costs would be about 300% of the Russian IL-76, which India already operates as transport, aerial refueling (IL-78), and AWACS (IL-76/A-50 Phalcon) aircraft. Purchases by countries like Jordan indicate that a stretched IL-76MF with westernized avionics would sell in the $50-75 million range, and the aircraft does have some rough field capability. In contrast, the C-17’s price tends to hover near a modern 747’s, at around $200-250 million.

Australia spent about $1.4 billion, and Canada about $1.6 billion, to buy and induct 4 C-17As into their respective air forces; the USA, who does not have the extra expenses that accompany any new fleet aircraft type, is set to spend $2.5 billion for 10 C-17s in the Senate’s FY 2010 defense budget.

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