India will buy 347 T-90 battle tanks from Russia and build another 1,000 locally, the Indian defense minister A.K. Antony said on September 29 after a meeting with his Russian counterpart, Anatoly Serdyukov. The two countries have also decided to extend a defense-cooperation deal by another 10 years.
India and Russia also agreed to speed up delivery of an aircraft carrier that had been slated for 2012. In 2004, India and Russia signed a $1.6 billion deal to bring the carrier Admiral Gorshkov to India by 2008. India may now have to pay an extra $1.2 billion for the carrier's refitting costs.
India plans to spend $30 billion over the next four years to modernize its largely Soviet-era arms. The two nations also agreed to speed up pending projects, including delivery of Sukhoi-30MKI fighters, battle tanks, stealth frigates and missile destroyers, officials said.