NEW DELHI\u00a0\u2014 India’s Goa Shipyard Ltd. (GSL)\u00a0is looking for international companies with the technology the state-owned company needs to build 12 mine countermeasures vessels (MCMVs) for the Indian Navy.<\/p>\n\n\n\n
NEW DELHI \u2014\u00a0India’s state-owned Goa Shipyard Ltd. (<\/span>GSL)<\/span>, which was awarded the $5 billion noncompetitive\u00a0contract in 2014, on nomination basis without any competition, to build 12 mine counter-measures vessels (MCMVs),<\/span> has floated a global expression of interest (EOI) to<\/span> from companies that<\/span> willing to\u00a0transfer of<\/span>the technology\u00a0(tot)<\/span>\u00a0to build the vessels to the Indian shipyard.<\/p>\n\n\n\n Analysts said <\/span>Such a move could push\u00a0the cost of building the MCMVs<\/span> ships in India could be<\/span> higher compared with to<\/span> those built overseas, analysts here said,\u00a0but noted<\/span> the there would be<\/span> absorption of the technology would, in the long run, allow India to build more MCMVs.<\/p>\n\n\n\n An<\/span>\u00a0GSL executive of GSL<\/span>\u00a0said, they are hopeful of<\/span>\u00a0the company hopes for\u00a0a good response to get the tot<\/span>\u00a0technology it needs\u00a0from overseas. adding that <\/span>The EOI\u00a0has been <\/span>was sent to South Korea’s\u00a0Kangnam, Italy’s Intermarine, Spain’s Navantia, US-based\u00a0Lockheed Martin, Germany’s Thyssenkrupp and two Russian shipyards, he said.<\/p>\n\n\n\n GSL\u00a0will short-list foreign shipyards with capability for design and construction of a single-skin, non-stiffened structure for the MCMV. Thereafter <\/span>A formal tender will be given<\/span> to the short-listed companies will follow, the GSL\u00a0executive said.<\/p>\n\n\n\n The value of the transfer of technology (tot)<\/span> contract is over <\/span>more than $1 billion, or about which is around<\/span> 20 percent of the total value of the contract, an Indian Navy official said.<\/p>\n\n\n\n Last year, the Ministry of Defense awarded the contract to GS:\u00a0after cancelling<\/span>\u00a0canceled a 2008 global tender in which Kangnam of South Korea<\/span> had emerged as the winner because of the South Korean company’s alleged use of defense agents in pursuing the deal by the South Korean<\/span>, which overseas defense companies are not legally <\/span>allowed to do under Indian hire by <\/span>law.<\/p>\n\n\n\n Kangnam of South Korea<\/span>, however, appears to be staging a re-entry for the new ToT<\/span> technology transfer\u00a0contract, analysts said.<\/p>\n\n\n\n “Kangnam\u00a0who<\/span> have already invested time and effort and would be ready with the details,” said Shyam Kumar Singh, a retired Indian navy captain. “As far as Intermarine of Italy is concerned, they have to compete with Kangnam, which is already ahead.” says Shyam Kumar Singh, retired Indian navy captain.<\/span><\/p>\n\n\n\n Even in the 2008 global tender Kangnam had bettered Italy’s Intermarine shipyard to emerge as the front runner. However, Italy’s Intermarine approached India’s anti-fraud agency central vigilance commission with allegations of lack of transparency in procurement, leading to the cancellation of the tender, said a MoD\u00a0source.<\/p>\n\n\n\n