The head of Boeing Integrated Defense Systems India stated that his company has “started to place contracts worth over $600 million with Indian companies,” as part of offset obligations accruing from the P-8I contract. The contract, valued at $2.1 billion, was signed in January 2009, under the terms of which Boeing will supply 8 long-range maritime reconnaissance and anti-submarine warfare aircrafts to the Indian Navy by 2015. The first plane is expected to be delivered within 48 months from the date of contract signing. The contact involves 30 per cent offsets. Among the Indian companies who have been awarded contracts include Electronics Corporation of India (ECL), Hindustan Aeronautics Ltd (HAL) and Bharat Electronics Ltd (BEL).1

• 1. Bappa Majumdar, ‘Interview - Boeing orders $600m from India defence companies’, Reuters India, December 7, 2009 at http://in.reuters.com/article/topNews/idINIndia-44526720091207?sp=true; ‘Boeing P-8I Selected as Indian Navy’s Long-Range Maritime Patrol Aircraft’, Boeing News Releases, January 6, 2009 at http://www.boeing.co.in/NewsRoom.do