Saab Gripen-E vs Tejas Mk1A for Philippines - A Complex Decision Based on Cost, Performance, and Strategic Considerations

In the bidding for a fighter jet contract with the Philippines, the Saab Gripen-E is competing face-to-face with India's Light Combat Aircraft (LCA) Tejas Mk1A. The Tejas is a more affordable option, but the Gripen-E has better performance capabilities, making it a more complicated decision for the Philippines.

Compared to the Gripen-E, which costs $85 million, the Tejas Mk1A is a more affordable option, with a flyaway cost of about $43 million per unit. Given Philippine budgetary constraints, the Tejas is an appealing option due of its notable price differential.

On performance, however, the Gripen-E surpasses the Tejas. It has greater battle range, heavier weapons payload, and maybe more sophisticated sensors and avionics. Depending on the Philippines' unique operating needs and perceptions of threats, these variables may be vital.

There's probably more to the Philippines' choice than just the purchase price. The ultimate decision will also be heavily influenced by additional elements like life-cycle costs, chances for technology transfer, and future upgrade possibility.

India is actively pushing the Tejas Mk1A for export in an effort to become recognised as a trustworthy provider of domestic defence platforms. Getting a contract with the Philippines would be a big step forward for this effort.

The competition's result is still up in the air because both competitors have unique benefits and drawbacks. Before making a final decision, the Philippines will need to carefully consider its priorities and compare the Tejas' cost-effectiveness to the Gripen-E's improved performance.

 

[Tanishq Bafila]

If India wants to export Tejas mk1 or increase the delivery then we have to assemble f404 jets in india...

Same what we are doing with the f414 deal to ensure Timely delivery of jets and get some TOT

 

[Tanishq Bafila]

Boeing is not making F35 it is Lockheed Martin does.

Sorry , Wrote Boeing in both the sentences in the first comment , it was LM & then Boeing

 

[Pramkumar]

Integrating Kaveri Engine only make sure we can produce and export the MK1A. Otherwise it will be windowshopping and just HAL can participate in tenders or offer its products to the other nation. Bramos get its first export order after production of nearly 1800-2000 units in india. unless IAF take delivery of 123 MK1A nothing is going to happen.

 

[Akash Vashisth]

And engines? Where will we get them ?

 

[agent provocateur]

Western conspiracy against India ~ Indian Defence Updates 😉

 

[Man-ju]

Given the reputation of HAL, I don't think Tejas has any chance. However, unlike SAAB or Sweden, India can provide a line of credit to Philippines where they will get Tejas for free and pay for it later at zero interest. All this to cover up the incompetency of Indian PSU. Let's see, most sane prediction is it will be Gripen over Tejas.

 

[k2b2]

maal bechane k liye sirf achha hona jaroori nahi.. offers k sath sath unko bhi retail vyapari banao...hme wholesaler banna chahiye..thodi political help bhi ho jaye..to sab kuchh bikta hai..

 

[Superpower Bharat]

Three years? Bro, as per the signed contract, 18 trainers and 3 mk1a were to be delivered by 2Feb 2024. Only 1 or 2 (depending on the source, officially it’s 1) trainers have been delivered and mk1a is not even in taxi trials, which means at the very least it’s not coming for a few months. And they are only making 2 and will make the third once those 2 clear the certification. So the contract has been massively breached.

And coming to mk1. I don’t know which source you are reading that says 29 mk1 were delivered by 2018. Actual contract for FOC was signed in 2018, and FOC certification itself came in Feb 2019 at the Aero India. And the second squadron Flying bullets, first one to get FOC variants, was formed in May 2020. So no more than 20 mk1 planes were delivered by then.

Now coming to the production line excuse. Can you tell me a single point of time when HAL produced more planes than IAF accepted? IAF had always said that they will buy mk1a once mk1 production ended. In fact, 40 planes were to be delivered by 2021, as per the capacity of 8 planes per year. HAL didn’t deliver the planes but IAF still placed fresh orders. Not to mention, the cost for the production line etc. is anyways borne by IAF, plus profit. So if you promise something to IAF, it already includes the cost considerations and after that delays are not only immoral but illegal. Whether IAF orders 40 or 4 is immaterial.

Its really surprise to see that when it comes to HAL you expect quick delivery of a 3 types of 4.5 gen jet with lower price and low order number. But when it comes to privet companies you want full fund from the government, a order of 200-300 units at a time for a single types of jet and with a higher price.. Also the facilities like lower tax, cheap electricity, cheap land...etc.. etc.. are additional. Are you thinking HAL is doing charity..??? HAL has Money tree or Alladin ke Chirag ??

 

[Pink Panther]

Tejas made for the next 15-20 years should go to IAF before any other country gets them, HAL simply doesn’t have time to make for other countries, it is better off Philippines go for Gripen like Tailand.

 

[beencensured]

Tejas made for the next 15-20 years should go to IAF before any other country gets them, HAL simply doesn’t have time to make for other countries, it is better off Philippines go for Gripen like Tailand.

Even Dassault has backlog on production, but HAl can say at least Tejas mk1a is being certified.

 

[Akshat]

Its really surprise to see that when it comes to HAL you expect quick delivery of a 3 types of 4.5 gen jet with lower price and low order number. But when it comes to privet companies you want full fund from the government, a order of 200-300 units at a time for a single types of jet and with a higher price.. Also the facilities like lower tax, cheap electricity, cheap land...etc.. etc.. are additional. Are you thinking HAL is doing charity..??? HAL has Money tree or Alladin ke Chirag ??

It is really surprising to see that when it comes to HAL, you want them to get all the orders, you want them to get all the ToT, free land, free paintings, upfront advance to pay for all the capex and opex, etc. You are also okay with delayed deliveries, a super heavy profit margin of 22% (unheard of in the heavy industry segment of India), no major exports etc.

But when it comes to private companies, you don’t want the government to give them any deals, you want them to invest billions without any tenders, you don’t want any tax benefits, you don’t want any tenders to be open to them. All this despite punctual deliveries and a lion’s share in exports.

Do you think private companies have an Alibaba ki gufa to get money from and give it to the government?

 

[Superpower Bharat]

It is really surprising to see that when it comes to HAL, you want them to get all the orders, you want them to get all the ToT, free land, free paintings, upfront advance to pay for all the capex and opex, etc. You are also okay with delayed deliveries, a super heavy profit margin of 22% (unheard of in the heavy industry segment of India), no major exports etc.

But when it comes to private companies, you don’t want the government to give them any deals, you want them to invest billions without any tenders, you don’t want any tax benefits, you don’t want any tenders to be open to them. All this despite punctual deliveries and a lion’s share in exports.

Do you think private companies have an Alibaba ki gufa to get money from and give it to the government?

I want private sector to invest in R&D.. army releases GSQR.. as per that or similar products foreign OEM offers... Compete in tender and win.. when they are earning from indian market they must invest for India's security also.. without India they will also doesn't exist.. compete with DRDO.. that's what I want

 

[Indian1]

Facing stiff competition itself is an achievement. Pakistani JF 17 jets always run away before the competition starts.

 

[Akshat]

I want private sector to invest in R&D.. army releases GSQR.. as per that or similar products foreign OEM offers... Compete in tender and win.. when they are earning from indian market they must invest for India's security also.. without India they will also doesn't exist.. compete with DRDO.. that's what I want

But DRDO is getting free money. Without Indian government’s money DRDO won’t exist either. So why should there be such unequal competition between here one is getting unlimited money and free tenders and no responsibility while other gets no money and their bank guarantees are confiscated when they miss the deadline by even a day? Either give money to both or don’t give it to either. How can anyone compete in such an unequal market?

What is DRDO doing? It is getting free money, and is doing R&D from it. And it is failing at it. So true competition would be when private companies also get money like DRDO does. Then ask them to do R&D. How can you support such an unfair treatment? And if DRDO had delivered then also it was acceptable. But when CAG itself says that DRDO is nothing but a machine of lies, then why shall we give them a single penny?

 

[Pink Panther]

Even Dassault has backlog on production, but HAl can say at least Tejas mk1a is being certified.

but we have ancient manufacturing process, Dassault’s is cutting edge.