Rio De Janeiro (UPI) Feb 7, 2011
Britain is on the shortlist of potential contractors for huge military purchases planned by Brazil to modernize its armed forces and build a defense network for offshore hydrocarbon resources more than 120 miles from the country's vast coastline.
Brazil's 4,644-mile-long front to the Atlantic is the world's 16th longest national coastline and the discovery of oil and natural gas offshore has made maritime border protection an urgent new priority on a grand scale for the government.
Two years ago Brazil began an arms shopping spree, setting targets to invest more than $12 billion in land and water defenses.
A final decision on fighter aircraft and helicopters was postponed before President Dilma Rousseff took office in January. Former President Luiz Inacio Lula da Silva, who signed initial agreements with France for the supply of jets and helicopters and wide-ranging defense technology transfers, retreated from what appeared at that time to be a deal favoring France. Now a potential deal for the air defenses inventory has gone back under a government review.
The air force deal is still in the balance but latest media reports suggested BAE Systems was well advanced in negotiations to supply advanced naval craft for an expanded maritime defense force planned in response to huge discoveries of offshore gas and oil, MercoPress reported.
Industry analysts said the BAE Systems' appearance on the shortlist, which includes Boeing, France's Dassault and Sweden's Saab, made Brazil one of the fastest growing defense markets.
Brazil and Britain are in negotiation for the purchase of at least six patrol vessels and six Type 26 frigates similar to those deployed by the British navy. The total initial deal could be worth about $5 billion but BAE Systems also pinned hopes on long-term delivery and maintenance contracts.
Work on developing hydrocarbon deposits deep under the seabed, requiring specialized giant drilling platforms and related services, has heightened Brazil's sense of vulnerability in an exposed environment away from the shore.
BAE Systems is also coming round to Brazil's insistence on technology transfer and may offer, as part of the deal, second-phase manufacturing or assembly of a part of the order for naval vessels after first-phase manufacture and assembly in Britain or BAE units elsewhere.
Brazil says its long-term plan is to keep raising defense spending from the current 1.5 percent of its gross domestic product to 2 percent by 2030. The prospect for defense manufacturers is a lucrative one, industry analysts said, because Brazil's nominal GDP in 2010 was estimated to be $2.181 trillion. That makes yearly defense spending estimates ahead of $35 billion or more.
"Brazil has some very serious aspirations and they have the wherewithal to afford them," Ben Palmer, development director for BAE Systems surface ships division, told the Financial Times last year. "There is an awful lot to fight for and a lot of competition."
France is in the race to supply Brazil with naval craft as well as Dassault's Rafale fighter aircraft.
Share This Article With Planet Earth
The Military Industrial Complex at SpaceWar.com
Learn about the Superpowers of the 21st Century at SpaceWar.com
Russia rebuffs US call for new arms talks
Moscow (AFP) Feb 7, 2011
Russia said Monday it was premature to set a date for a new round of nuclear disarmament talks on short-range missiles amid pressure from the United States for a quick reduction. US President Barack Obama's administration is keen to launch negotiations over so-called tactical weapons that have remained outside the remit of previous nuclear disarmament agreements. The talks are a part of ... read more
Boeing And Northrop Grumman Submit Proposal For Missile Defense Competitive Contract|
LockMart-Raytheon Team Submits Proposal For GMD Contract
Aegis BMD System Completes Tracking Exercise
NATO Achieves First Step On TBMD Capability
Iran tests anti-ship missiles
Raytheon nabs $145 million deal in Kuwait
Kuwait Awards Contract To Raytheon For Patriot GEM-T Missiles
LockMart Receives Contract For Long Range Anti-Ship Missile Demonstrations
Bat-winged drone bomber in test flight: US Navy
UA Engineers Study Birds And Bees To Design Robust Unmanned Vehicles
AeroVironment Receives Order For Raven UAS Digital Module Upgrade Kits
New US drone spy cameras fail Air Force test: study
USAF Selects Northrop Grumman To Research SOA IT For Integrated Air And Space Command And Control
Boeing Tests New Ka-band SATCOM Antenna System
Raytheon to supply radios to Aussie army
RAF Begin Training With US On Intelligence Aircraft
Boeing pushes for multi-weapon Avenger
Integration Of First Complete Ground / Air Task Oriented Radar (G/ATOR) System
Raytheon Team To Develop Tool To Reduce Radar Interference From Wind Farms
Navy Test Pilot Completes First F-35 Flight
Germany to host EADS meeting Feb 23: Berlin
Indian Air Force Celebrates Induction Of First C-130J Super Hercules
U.K. on shortlist of Brazil arms suppliers
Russia rebuffs US call for new arms talks
Walker's World: Europe fails again
Britain still a world power despite cuts: Cameron
Japan's Kurils anger 'disappoints' Russia
NATO chief warns Europe over defence cuts
'Air laser' could find bombs at a distance
ONR Achieves Milestone In Free Electron Laser Program
US Office Of Naval Research Achieves Milestone
Navy test fires electromagnetic cannon
|The content herein, unless otherwise known to be public domain, are Copyright 1995-2010 - SpaceDaily. AFP and UPI Wire Stories are copyright Agence France-Presse and United Press International. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by SpaceDaily on any Web page published or hosted by SpaceDaily. Privacy Statement|