Offset policy: It’s advantage HAL

The offset policy is valid for deals worth more than Rs 300 crore.

“They have everything to gain. They were curious to know about HAL’s current and future projects for an idea of what can be invested in. The government is going to be very strict about the offset policy. At least we hope so,” the official said.

Boeing, Lockheed-Martin, Dassault Aviation, RAC-MiG and Saab, competing for a potential Rs 30,000-crore IAF order sent senior management officials (not a common practice) to meet HAL chairman Ashok K. Baweja at the display area. The real bonus was when President Jacques Chirac himself dropped by on June 14 — the French Mirage-2000-5 is competing for the order.

Sources said the topics covered in discussions with Baweja included joint investments in aeronautical engines, unmanned aerial vehicles, aerial platform development, next generation design, combat helicopters and medium multirole aircraft. With HAL waiting for the government’s approval to go ahead with the development of a Light Combat Helicopter and a medium multirole aircraft (in the absence of which the government will purchase them in large numbers from abroad), the possibility of inviting investment in future projects is substantial.

Apart from interest in investments and joint projects, HAL’s Advanced Light Helicopter (ALH Dhruv) was the real success, in terms of publicity and visibility. The international press gathered at Le Bourget announced the arrival of Dhruv on the global aviation scene with wide reviews and photographs of the Indian choppers. Sources said the HAL’s order book could be ringing by the end of this year.