Defence deals worth an estimated Rs 5,000 crore are likely to be negotiated between India and Russia during the visit of defence minister Mulayam Singh Yadav to Moscow.
India is wanting to purchase two advanced diesel-powered submarines to counter a similar number of French vessels bought by Pakistan.
Repair of Indian subs, ammunition for Russian-made artillery guns and the stalled Rs.600-crore deal for the upgradation of MiG-21 aircraft are also likely to figure in the Indo-Russian negotiations. The SSK class subs deal alone is worth Rs 2000 crore, with the balance being accounted for by the subs repair contract, the MiG upgradation deal and ammunition supplies.
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Mulayam, along with defence secretary Ajit Kumar and other officials, left on Monday night for the Russian capital.
If the submarine deal goes through, the subs will complement the Navys 15-strong fleet, of which barring the four German-made HDW T-500s, the others are all Russian-made vessels.
A number of these submarines are out of service due to heavy maintenance requirements.and are in need of repair.
The defence ministry has taken up the modernisation of the Navy as a priority and the Mulayam mission is the first major move to get the service in fighting fit condition again. Successive Naval Chiefs have voiced the serious condition confronting the Navy in the past two years and sought the attention of the government for repairs and modernisation of the fleet.
Another item on Mulayams agenda is to build a replacement for the retired Vikrant aircraft carrier. An indigenous project called Air Defence Ship (ADS) is under way and India is likely to source expertise from Russia for the purpose.
The team will also initiate negotiations on a fresh deal to upgrade MiG-27 aircraft. The ground attack planes have been pushed into the hangers for want of upgradation and refurbishment.
The sources said, the MiG-27 upgradation will be worth atleast Rs 500 crore to the Russians.