* Government says bidders did not meet requirement
* Defence ministry to issue fresh tender in due course
* Order for 22 helicopters seen worth $1 billion (Rewrites with India government comment, Finmeccanica, Boeing)
By Devidutta Tripathy
*Irrespective of the aforementioned points, processing of a government tender in India, the procedure is snail speed with a hurdle of red tape due to corruption, politican's interest, commission factor, misinformation and above all debating on the subject/tender would cover years. For example to process and acquire jet trainer HAWK for Indian Air Force took over 25 years at the cost of hundreds of Indian Air Force pilot life. (DTN Defense-Technology News)
(NSI News Source Info) NEW DELHI - March 25, 2009: India has cancelled a tender for 22 attack helicopters, bidders EADS and Finmeccanica said, while the 
government said the companies did not meet its requirement and a fresh tender would be issued in due course.
Yves Guillaume, chief executive of EADS's Indian subsidiary, told reporters on Tuesday the company had been "informed" of the decision to axe the tender last week but was not given any reason.
Franco-German-controlled EADS owns Eurocopter, the world's largest civil helicopter maker and a major supplier of military ones such as the Tiger, with which it had hoped to clinch an order analysts reckon to be worth $1 billion.
An official with Italian defence group Finmeccanica, whose unit AgustaWestland was one of participants, later told Reuters they were informed about the cancellation earlier this month.
"The companies did not meet the service qualitative requirement, so the tender was cancelled," an Indian defence ministry spokesman said, adding three companies had bid for supplying India 22 attack helicopters.
A fresh request for proposals will be issued in due course, he added, while the Finmeccanica official said they were ready to bid if a new tender was invited.
U.S.-based Defense News reported in February that the contest had narrowed to an all-European field of three -- Eurocopter, AgustaWestland, and Moscow's state arms agency Rosoboronexport bidding on behalf of Russian manufacturer Mil.
U.S. companies Boeing and Bell, a unit of Textron, had quit the field, the magazine reported.
Boeing, the maker of AH-64D Apache helicopter, said on Tuesday it would review its stand and wait for a fresh tender.
"We look forward to an opportunity to review any new request for proposals and follow up based on that," Vivek Lall, Boeing's India head, said in a statement.
India plans to overhaul and replace its fleet of military helicopters amid growing security risks in the region. It relies on an ageing fleet of Russian MI-25 and MI-35 helicopter gunships designed by Russia's Mil.
Last year, India sought bids for the attack helicopters, designed to assault targets on the ground, from seven international firms.
government said the companies did not meet its requirement and a fresh tender would be issued in due course.
Yves Guillaume, chief executive of EADS's Indian subsidiary, told reporters on Tuesday the company had been "informed" of the decision to axe the tender last week but was not given any reason.
Franco-German-controlled EADS owns Eurocopter, the world's largest civil helicopter maker and a major supplier of military ones such as the Tiger, with which it had hoped to clinch an order analysts reckon to be worth $1 billion.
An official with Italian defence group Finmeccanica, whose unit AgustaWestland was one of participants, later told Reuters they were informed about the cancellation earlier this month.
"The companies did not meet the service qualitative requirement, so the tender was cancelled," an Indian defence ministry spokesman said, adding three companies had bid for supplying India 22 attack helicopters.
A fresh request for proposals will be issued in due course, he added, while the Finmeccanica official said they were ready to bid if a new tender was invited.
U.S.-based Defense News reported in February that the contest had narrowed to an all-European field of three -- Eurocopter, AgustaWestland, and Moscow's state arms agency Rosoboronexport bidding on behalf of Russian manufacturer Mil.
U.S. companies Boeing and Bell, a unit of Textron, had quit the field, the magazine reported.
Boeing, the maker of AH-64D Apache helicopter, said on Tuesday it would review its stand and wait for a fresh tender.
"We look forward to an opportunity to review any new request for proposals and follow up based on that," Vivek Lall, Boeing's India head, said in a statement.
India plans to overhaul and replace its fleet of military helicopters amid growing security risks in the region. It relies on an ageing fleet of Russian MI-25 and MI-35 helicopter gunships designed by Russia's Mil.
Last year, India sought bids for the attack helicopters, designed to assault targets on the ground, from seven international firms. The new force of anti-armour attack helicopters would be capable of operating at high altitudes.
In 2007, India scrapped advanced talks with Eurocopter to supply 197 lightweight Fennec military helicopters worth $600 million after complaints about the bidding process.
Eurocopter is a sister company to Airbus, the world's largest civil jet maker, also owned by EADS. (Additional reporting by Bappa Majumdar, Tim Hepher) (Editing by Ranjit Gangadharan, Sharon Lindores)
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