Saturday, January 23, 2010

Delhi-Tel Aviv tech cooperation goes much beyond arms deals

The growth in bilateral tech cooperation is based on the principles of mutual interest. Indian company Jain Irrigation Limited has acquired a 50 per cent stake in Israeli firm Naandan Irrigation systems for an approximate $ 22 million. There are plans to introduce West Asian crops in India. Efforts are also underway to pick the best suited crops for Israel from India’s huge genetic pool. Partnership with and acquisitions by Indian firms not only means cash for Israel’s agro-tech sector, it gives it greater global market access.

One has reasons to believe that the agro-tech cooperation, in future, will overshadow the much-hyped Indo-Israeli defence deals. Induction of Israeli UAVs, advanced tracking and radar systems and plans to procure Barak and the under-development Arrow anti-missile systems are significant developments in the light of the fact that India needs force multipliers quickly and Israel needs a large market outside its domestic requirements to offset huge R&D and capital costs. There are as many 50 agents in New Delhi employed by defence firms in Israel. The push is yielding some results. Israel is today the second largest arms supplier to India. But Israel is unlikely to break the Russian stranglehold on the Indian arms market. The proposed entry of India’s private sector into defence manufacturing and growing indigenous research on missile propulsion system, guidance systems, advanced avionics and radar technology will further hinder the growth of Israeli arms business in India.

Indo-Israeli cooperation can also make its impact on the quest in both nations for uninterrupted flow of clean energy. At the vaunted Weizmann Institute of Science in Rehovot, Dr Boris Rybtchinski’s team is working on developing a dye that will tap solar power. On the rolls are two Indian post-doctoral research scholars from Chennai whom I meet. The Weizmann Institute specialises in research on fundamental science and there are more than 30 Indian scientists at work. I feel the Indo-Israeli technology cooperation is going to be a long story in which the people-to-people and business-to-business needs will far outweigh the government-to-government dealings.

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Source :
IIPM Editorial, 2009


An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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