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Folha de Sao Paulo, EFE, with comments by NPSGlobal, 7 Sept 2009.  It is an agreement for more than 8 billion five hundred million Euros, or 12 billion dollars to bolster the Brazilian endowment of submarines and French helicopters, and it includes transfer of technology. Negotiations are advanced for the purchase of 36 airplanes.
On Monday, Brazil will sign with France the largest military agreement of its recent history, with the purchase of French submarines and helicopters in a deal which will run in the first instance the 12 million dollars, according to the newspaper Folha de Sao Paulo.
The agreement will be signed on the second day of official visit by French President Nicolas Sarkozy to Brazil, and is part of the strategic partnership that both countries agreed last December. Sarkozy was accompanied by an entourage consisting of French entrepreneurs and part of his government team including the Ministers of Foreign Affairs, Defense, Culture and Communication, Economy and Foreign Trade, among others.
The deal includes the purchase by Brazil of four Scorpene conventional submarines, the manufacturing of the hull of the first nuclear powered submarine to be built in Brazil, and the construction of a naval base and shipyard in Rio de Janeiro.
The newspaper also said that Brazil will also buy 51 Cougar EC-725 helicopters
According to local press, the agreement between Sarkozy and Brazilian President Luiz Inácio Lula da Silva will be sealed after both participate this Monday at Brasilia of the celebrations of the “Seventh of September", day in which the independence of Brazil is fêted.
As a mater of importance, the value of the military equipment that Brazil will buy from France is superior to the value of the investment of Venezuela, which acquired similar equipment from Russia. It is also higher than the operational agreements being implemented by Colombia and the United States to increase the North American military contingent at Colombian bases.
The Brazilian government intends to pay the more than twelve billion dollars of the business with France in up to 20 years, through funding and direct payments, but that resolution depends on the approval of the Congress.
Besides the submarines and helicopters, the Brazilian government is likely to buy from France 36 Rafale fighter jets at a cost of 5464.4 million dollars. The preference for the French jets was confirmed by Defense Minister Nelson Jobim, but that acquisition was not taken yet.
In an interview last Wednesday, President Lula expressed his preference for the French plane in relation to its competitors of Sweden and the United States because the offer had an "exceptional comparative advantage" due to France's guarantee to share all military technology with Brazil as part of the deal.
"Everyone knows that one of the requirements of Brazil is access to technology," said Lula. "We cannot buy a fighter jet without having the technology because we think of producing part of this aircraft in Brazil, indicating that there is a major company that has the ability to do so”.
To advance in the operation, France agreed to transfer its technology. It is an unprecedented offer considered by Paris taking into account the good relationship between the Heads of State, which led Brazil to opt for the French model.
The agreement also includes 50 EC-725 French transport helicopters for the Armed Forces that will be provided between 2010 and 2016.
According to specialist in military affairs Roberto Godoy this program will change the military equation in Latin America.
“Probably this is the beginning, nobody comments on it because it can bring diplomatic consequences but it will give the country the largest naval firepower in Latin America,” said Godoy.
“The idea is to have a defensive firepower”, not offensive, higher than neighboring countries, he added. Related Links: The Future of Nuclear Power in Latin America, Irma Arguello Brazilian nuclear submarine reactor scheduled by 2014 Brazil searchs U$S 3.6 billion dollars for its 5-submarine project Brazil to Start Enriching Uranium at Resende Confirmed: Agreement with France Includes the Brazilian Nuclear Submarine Back |
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