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S. Africa, Russia eye SE Asian defense market

S. Africa, Russia eye SE Asian defense market

LANGKAWI, Malaysia (AFP): Major military equipment
manufacturers including South Africa and Russia are eying the
Southeast Asian market, with Malaysia as a possible gateway into
the region, officials said yesterday.

"South Africa is using Malaysia as the starting point to boost
its presence in the Southeast Asian region because of its
friendship with its neighbors," South African Defense Minister
Joe Modise said at a maritime and air show here.

Modise, attending the Langkawi International Maritime and
Aerospace (LIMA '95) show which opened here Tuesday, said South
Africa was also willing to share its technological expertise to
develop the defense industry in the region.

"By working together, we have a greater chance of success," he
told reporters on the northwestern Malaysian island of Langkawi.

The South African team is the largest at the LIMA exhibition
with more than 30 companies taking part in the six-day show.
South Africa's state-owned weapons procurement and export agency,
ARMSCOR, already has an office in Kuala Lumpur.

The exhibition has attracted 588 companies from 35 countries
as exhibitors for military hardware, satellite equipment and
passenger plans and boats.

Top officials from Russian defense equipment exporters, which
clinched a deal to sell 18 MiG-29 fighter aircraft to Malaysia in
1994, said they would build on existing ties here to strengthen
its presence in the region.

Boris Kuzyk, Russia's presidential adviser on military and
political cooperation with foreign countries, said the MIG-29
deal showed the potential for other Russian defense deals in the
area.

The MiG-29 contract, which included training for pilots and
spare parts for the aircraft, cost the Malaysian government a
total of US$1.6 billion, of which $381 million went towards the
aircraft.

"We are looking at other countries to sell our weapons,
especially those which have plans to reorganize their armed
forces in Southeast Asia," Kuzyk said.

But he declined to answer questions on whether Russia was
negotiating to sell MiG-29's to Thailand and the Philippines.

Malaysia has already indicated it will be scouting for defense
equipment during LIMA '95 to upgrade its armed forces.

The Malaysian Air Force is reported to be one of several
countries which evaluated a South African attack helicopter, on
display at LIMA, during flight and weapons-firing tests in South
Africa earlier this year.

The CSH-2 Rooivalk is made by South Africa's largest defense
industry company, the Denel Group, which is also parading its
Oryx medium transport helicopter at the Langkawi show.

The Malaysian army is also looking at buying up to 70 tanks
including bridge-layers and recovery vehicles to equip two
armored regiments.

The tank contract is being eyed by Britain's Vickers PLC and
Z.M. Bumar Labedy S.A. of Poland.

The biennial exhibition, the third since 1991, will show a
total of 84 military and civilian planes and helicopters, 18 navy
vessels and seven mega yachts.

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