Brazil-France defense pact wrong choice - analysts

Fri Oct 10, 2008 1:14pm EDT
By Eduardo Simoes
SAO PAULO, Oct 10 (Reuters) - Brazil will sign a strategic defense alliance with France in December that it hopes will boost the domestic weapons industry, but critics say it may be choosing the wrong military equipment for its needs.
As part of the pact, Brazil will build a nuclear-powered submarine and around 50 helicopters under license from the French. It has also short-listed France's Dassault (AVMD.PA: Quote, Profile, Research, Stock Buzz) in a tender for at least 36 fighter jets.
Brazil, Latin America's largest country and economy, is planning to build up its military capabilities partly to help protect huge recent oil finds off its southern coast.
But defense industry analysts say U.S. or Russian aircraft are generally more suited to Brazil's continent-sized territory and that the nuclear-propelled submarine is too expensive and inappropriate for Brazilian waters.
"I don't think it's our best (choice) strategically," said Gunther Rudzit, a former defense ministry advisor.
Choosing France was a political compromise to neither depend on U.S. technology nor alienate Washington by choosing Russia, which supplies planes to the declared U.S. enemy Venezuela, analysts said.
"With (Russia's) approach to Venezuela, the United States said it wouldn't oppose a military accord between Brazil and France," said Jorge Zaverucha, professor of politics at the Federal University in northeastern Pernambuco state.
Brazil's leftist president, Luiz Inacio Lula da Silva, maintains cordial relations with the United States but often distrusts Washington's interests in South America.
France's President Nicolas Sarkozy said in February he agreed in principle to have French submarines and helicopters built in Brazil and intended to sign a strategic alliance.
Brazil last year earmarked $880 million to complete a nuclear reactor it wants to mount on a submarine built in Brazil under license by the French.