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Government clears $3.1 billion chopper deal with the US ahead of PM's visit

In a decision that will bolster the Indian Air Force's striking and carrying capacities, the Cabinet Committee on Security (CCS) on Tuesday approved the $3.1 billion deal to buy 22 Apache attack and 15 Chinook heavy-lift helicopters from the US.

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In a decision that will bolster the Indian Air Force's striking and carrying capacities, the Cabinet Committee on Security (CCS) on Tuesday approved the $3.1 billion deal to buy 22 Apache attack and 15 Chinook heavy-lift helicopters from the US.

Notably, the decision comes a day ahead of Prime Minister Narendra Modi leaving for New York to attend the UN General Assembly and also after surviving 12 price extensions.

In August, India had asked for the 13th price extension for a month even as the previous extension on agreed price window was to lapse on August 31 and US warning to revise it.

According to the purchase agreement, India will buy 22 Apache helicopters from the US aviation giant Boeing with a follow-on clause to buy 11 more, the total cost being $2 billion. Similarly, 15 Chinook helicopters are to be bought and there would be an option to buy four more for $1.1 billion.

The Defence Acquisition Council (DAC) had cleared the deal in August 2014 itself but it was delayed due to final contract negotiations. The Apache is a "hybrid"deal in which there would be separate contracts with the Boeing and the US government. While the contract with the aviation firm will be for buying choppers, the one with the government would be for armaments and radars.

The bids for the advanced multi-role combat helicopters Apache and heavy-lift helicopters Chinook were submitted in 2009 itself.

Apache is all weather helicopter with night-fighting capabilities with advanced stealth features and armed with Hellfire missiles, the twin-engine Chinook is capable of rapid troop movement and battlefield supplies.

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