Russia & Algeria nearing $4+ billion arms deal

adeptitus

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This purchase could bump Algeria to a major purchaser of Russian arms in 2006, possibly even exceeding PRC or India in USD $ for the year (only). Also, if Algeria does purchase 50 Yak-130's, it'd be Russia's first successful export of this new trainer aircraft:

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Russia & Algeria Nearing $4+ Bn Arms Deal
Posted 01-Feb-2006 13:20

The Moscow Times reports that Russia's state arms trader Rosoboronexport and leading Russian defense industry enterprises have prepared a package of $4 billion package of contracts to sell advanced weapons and military hardware to Algeria. "Work to draw up the package is nearly over. All contracts have been negotiated and some initialed, and they are likely to be signed in February 2006," a source in the Russian defense industry told Interfax-Military News Agency. This would be post-Soviet Russia's largest ever single arms deal, and compares to annual weapons exports to all customers of $5-6 billion over the last couple of years.

Weapons rumored to be on this list include 36 upgraded MiG-29SMT multi-role lightweight fighters and 28 two-seat Su-30MK fighters, eight sets of Russia's advanced S-300MPU2 Favorit (upgraded S-300) air defense missile systems with a 200km range, and T-90 main battle tanks. Interfax's source noted that the weapons would be paid for in a complicated scheme involving striking off part of Algeria's Soviet debt. Other contracts are also rumored for the upgrade of Soviet-made arms already in Algeria's possession, and additional arms are reported to be under consideration. For instance...

Recent reports have included rumours that Algeria may pursue a separate deal for up to 50 Yak-130 advanced trainer and light attack planes to complement/ replace its older L-39 ZA Albatros aircraft from Czechoslovakia. The country is also reportedly shopping for about 30 Tunguska-M1 mobile gun & missile systems for low-level air defense and light fire support. Algeria's neighbor Morocco signed a December 2004 contract for 12 Tunguska systems.

Algeria's Appetite for Advanced Arms

This level of advanced equipment is not altogether surprising. Algeria had been a client for Soviet arms throughout the Cold War, and country data notes that they typically received and operated some of Russia's most advanced export equipment. The ANP was one of the first armies outside Eastern Europe to be equipped with the T-72 tank. Algeria also received the BMP-1 and BMP-2 infantry fighting vehicles, MiG-23 Flogger and MiG-25 Foxbat fighters, Mi-24 Hind attack helicopters, modern rapid-firing artillery, and SA-2 and SA-3 air defense missile sysytems.

In 1999, Algerian President Abdel Aziz Boutefliqa announced a new military policy aimed at modernizing Algeria's army and shifting it toward a modernized, professional force. These efforts also fall within the context of an extremely bitter and bloody war against the Wahhabist al-Qaeda affiliate GSPC, along with other Islamist terrorist groups.

Algeria currently flies the lightweight MiG-29 Fulcrum fighter, and UPI notes that Algeria received 18 SU-30MK multi-role fighters in 2005, along with a $120 million deal for 22 of Russia's SU-24 Fencer tactical bombers that proved so popular in Chechnya.

In many ways, therefore, this purchasing wave is simply a continuation of what Algeria's military government is used to. Even so, there is one important way in which this proposed deal would represent a break with the recent past.

Moscow Defense Brief magazine editor Ruslan Pukhov noted to The Moscow Times that after the Soviet Union's breakup, Algeria's military contracts largely switched to firms in Belarus and the Ukraine. We'd add that rather than dealing with Russian firms, Algeria even worked closely with South Africa's ATE Aerospace to upgrade its Mi-24 Hind attack helicopters with new avionics, sensors, weapons, and logistics infrastructure. the result was the fully-modernized "Mi-24 Superhind Mk3".

"This [$4 billion] contract will be Russia's triumphant return to North Africa," said Pukhov. "In the coming years, Algeria will account for 20% of Russian's arms exports, while China and India will plummet from 70% to 50%" as a result of saturated markets and diversification of those countries' arms sources.
 

tphuang

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it makes me wonder how Algeria can afford this?

$4 billion?

that's operating both mig-29 and su-27. Other than IAF and the Russians themselves, I guess Algeria is the only such air force.
 

bangladesh

New Member
:nono: where are they going to get the 4$ billions

i really dont get it why waste money in weapons
they dont have any threat

and by the way the situation in algeria is not good specially in FOOD

i was there even in had work hard to buy the food then

i was a kid
 
D

Deleted member 675

Guest
tphuang said:
it makes me wonder how Algeria can afford this?

$4 billion?

Indeed, this is a very inappropriate purchase given the poverty in the country. There is no threat that I can imagine (especially the kind that can't be resolved through diplomacy) that would require this purchase, so why such a big spend?

:( :( :( :(
 

Fairthought

Junior Member
Algeria can afford this, no prob. In fact, alot of petroleum exporting countries have recently found themselves with an unexpected surplus of several billion dollars each.

I predicted this four weeks ago: http://www.sinodefenceforum.com/showthread.php?p=23030#post23030
With the number of nations trying to expand their share of the arms dealing market (US, UK, France, Russia, China, India, Israel, North Korea, Ukraine, Spain, Germany, and others) now is the best time to be an arms buyer.

A buyer's market means lower prices and higher quality weapons offered for sale. With the Gulf nations gushing with record oil export revenues, we can expect to see some spectacular arms deals in the next year or two. Saudi Arabia, Iran, and Venezuela have already announced or hinted at major contracts. But other countries with no military threats will also be making some extraordinary (and potentially threatening) arms purchases: Brunei, Algeria, Lybia, Qatar, Ecuador, Mexico, the Emirates and Oman.
:nana:

This is only one of many super-arms deals that are taking place. Venezeula, Iran, Libya, and Saudi Arabia all have multi-billion dollar deals on the table. Many of these countries have better things to do with their money (transportation, educational, and agricultural infrastructure, for example). But Iran really needs the weapons, there's little doubt their going to get attacked soon.
 
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f2000

New Member
i think they can afford this.
maybe they want to have armament that can give them good deterrent
againt their enemies.who knows?
 
D

Deleted member 675

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f2000 said:
maybe they want to have armament that can give them good deterrent againt their enemies

What enemies would that be? I seriously want to know. Is the whole of Africa paranoid of their neighbours or something?

I wonder how much of Algeria's natural resources money goes into public services.....
 

Panzer

Just Hatched
Registered Member
I think Algeria has decided to buy russian arms only because the main seller of its neighbour Egypt is the USA. And the relations between Algeria and Egypt are friendly only from the first sight. Also Libia plans to sign big contracts to purchase advanced weapons from european countries. Except for that most part of previous delivered weapon was Soviet/Russian, that's why Algeria has got an experience in supplying Soviet/Russian weapon.
 
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