India asked to buy Ka-31 helicopters from Russia in May 2019, but the acquisition program faced inordinate delays due to the coronavirus pandemic and the platform’s high price tag.
About half of India’s offset obligations across a set of 57 contracts worth $13.52 billion have resulted in either penalties or the threat of them, hampering the ability of foreign defense companies to do business in the country.
Russia has been the largest arms supplier to India since the early 1970s. Today, 60% of India’s military hardware inventory is from Russia or the former Soviet Union and the bulk of India’s license-based defense manufacturing comes from Russia.