Why buy two types of missiles that do the same thing? Also doesn't the $650 seem to little to do all these things? South America getting interesting just waiting on Brazil aircraft bid. Also heard a rumor from a friend that Argentina may upgrade 240 TAM tanks but only from a friend and have no link to back it.
PERU: No Crisis for Arms Purchases
By Ãngel Páez
LIMA, Jan 9 (IPS) - The global economic crisis apparently has not affected the Peruvian government’s plan to modernize the armed forces, which is to cost 650 million dollars from here to 2011.
The Peruvian army recently signed a 25 million dollar contract with Russia’s state arms exporter Rosoboronexport for 244 Kornet long-range anti-tank missiles to replace the Soviet-made Malyutka missiles acquired by Peru’s military dictatorship in the 1970s.
Defence Ministry and army sources confirmed to IPS that a 48 million dollar purchase of another 244 Spike long-range anti-tank missiles, super-modern weapons manufactured by the Israel-based Rafael Advanced Systems, has also been approved, but not signed.
But the army’s decision to purchase two different kinds of the same weapon, the Russian-made Kornet and the Israeli Spike -- the second of which costs nearly double -- drew the attention of the Comptroller General’s Office.
Although army specialists recommended the purchase of just one kind of long-range anti-tank missile, controversial former army chief General Edwin Donayre (2007-2008) insisted that the Spike missiles should be considered because Chile has them.
(Relations between Chile and Peru have been marred by a 120-year dispute dating back to the 1879-1883 War of the Pacific, in which Chile defeated Peru and Bolivia and annexed the former Peruvian province of Tarapacá and the former Bolivian province of Antofagasta.)
Donayre even invited representatives of Rafael Advanced Systems to give the joint chiefs of staff an exhibition on the Spike missiles, a privilege that no other firm enjoyed. He also posed for photos holding a Spike missile launcher on his shoulder at a fair that he organised at the army commander’s headquarters.
"We asked the military institutions for complete information on the procurement processes," sources at the Comptroller General’s Office told IPS. "When it comes to oversight and monitoring, secrets are never justified.
"Experience has shown us that where something has been kept secret, we must intervene, for prevention purposes. The recent past has made it clear to us that there is corruption in secret purchases," the sources said.
The official web site (http://www.mef.gob.pe/DGPM/snipnet.php) of the National Public Investment System (SNIP), an Economy Ministry agency that evaluates public spending projects, should provide details of state spending and a description of goods and services to be purchased or hired, but omits information on armed forces procurements.
The Defence Ministry sources argued that, at the request of the armed forces, which invoked national security, no information is provided on purchases by the army, the navy or the air force.
Ironically, to justify keeping military purchases secret, the Defence Ministry cited the Law on Transparency and Access to Public Information, which stipulates that public bodies must account for their actions, especially in the case of procurements, but has a clause that allows for exceptions based on "national security concerns."
However, the Comptroller-General’s Office has informed the Defence Ministry that what is kept secret in such cases are the details of what is being purchased, not the procurement process itself.
The regime of Alberto Fujimori (1990-2000) took advantage of state secrecy laws to conceal the purchase of more than 1.5 billion dollars in military equipment.
In the last few months, the government of Alan GarcÃa has taken steps to facilitate military purchases. For example, the central bank granted the Defence Ministry a 258 million dollar loan, and SNIP authorised the purchase and contracting of nearly 452 million dollars in goods and services by the armed forces.
"The purchase of the Kornet and Spike missiles is a response to the acquisition of Leopard II tanks by Chile," army sources told IPS. "Here in Peru we don’t have a budget as big as that of our southern neighbour, to make such large purchases."
However, SNIP approved a 157 million dollar purchase to replace T-55 Soviet-made tanks with T-72M1 tanks, expected to be carried out before GarcÃa’s term ends in July 2011.
According to the army sources, short and long-range anti-tank missiles are to be acquired this year, along with 10,000 assault rifles, a satellite communications system, and artillery and air defence equipment.
The navy plans to complete the purchase of eight Sea King helicopters, two used Italian frigates, and four Newport class tank landing ships, for a total of 110 million dollars.
In the case of the air force, the governments of Peru and Russia signed an agreement in November for the installation of a technical centre in Lima for the maintenance and overhaul of Russian helicopters like the Mi-8, Mi-17 and Mi-26.
This year, the process of upgrading the air force’s MiG-29 planes will begin, and the possibility of purchasing Sukhoi-27 planes will be studied. (END/2009)
Link
http://www.ipsnews.net/news.asp?idnews=45349