India is a Strategic Market for Rafael: Yedida Yaari

SP’s ShowNews (SP’s): As the second largest defence company in Israel, what percentage of your revenues are accounted from within country sales?

Yedida Yaari (Yaari): In 2012, 47 per cent of Rafael's sales were domestic. Over the years, Rafael has developed systems for every branch of the IDF. These systems are based on control of a wide range of technologies and extensive familiarity with the operative needs of the IDF. Rafael's products strengthen the Israil Defence Forces (IDF) qualitative edge, and most systems have been battlefield proven.

SP’s: Of your international sales, which region/markets are you focusing on and why?

Yaari: Rafael offers a diverse and unique variety of cutting-edge solutions that can be tailored to a wide spectrum of our customer's operational requirements. Various global developments that have taken place in recent years have naturally affected our marketing strategy and focus, and have also strengthened our position as a provider of ‘system of systems’, comprehensive solutions that can be easily adapted to users' legacy systems. Such, for example, is the growing challenge of maintaining homeland security and dealing with domestic and cross-border threats in various regions around the world. One of the most challenging threats is attacks on critical assets and strategic infrastructure. Many countries, all over the world, are faced with this growing threat.

Rafael’s solutions have been instrumental in combat performance around the world, serving the US, NATO, Europe, Asian, Australian and other forces. These include our vehicle armour, which has saved thousands of lives in combat in Iraq and Afghanistan, our Spike missiles, which have been sold to more than 20 countries, having delivered more than 21,000 missiles and fired more than 3,000 in tests and in combat. Rafael’s airborne Litening navigation and attack pod has had remarkable success by a number of air forces who have noted its central role in peace-keeping and combat missions over the skies of places like Afghanistan and Libya. Rafael is one of the leading air-to-air and missile defence system houses in the world. Rafael's combat-proven aerial missiles include the Python-5 and Derby missiles, considered today the most advanced air-to-air missiles. These missiles have an air defence application - SPYDER - which provides excellent protection of valuable assets, as well as first-class defence for forces located in the combat area. SPYDER missiles have full commonality with the airto-air missile version.

In 2014 we also plan to continue making substantial investment in R&D and capitalise on our proven operational success in the areas of air defence, active protection for armoured vehicles, critical asset protection and more. One of our main goals is to continue working with our local partners and provide tailor-made, end-to-end solutions, based on solutions already developed, and other solutions we are currently working on. One of our strategies is to position ourselves as a vendor of complete systems, rather than separate individual products, all the while adapting our solutions to customer's legacy systems.

SP’s: Could you outline your presence in India and what promise does India hold for Rafael?

Yaari: India is a strategic market for Rafael. We are constantly seeking new partnerships and joint ventures with Indian companies for cooperation that will help drive forward our mutual ability to address local needs and operational requirements. We are engaged in joint ventures and partnerships with local Indian industries and are in constant search to expand our activities in the country, in cooperation with the DRDO, in order to better address local needs and requirements. Over the years, Rafael has established subsidiaries in different countries that play an important role in Rafael’s M&A strategy and marketing activities around the world. We plan to continue making substantial investment in R&D and capitalise on our proven operational success in the areas of air defence, active protection for armoured vehicles, critical asset protection and more. This cooperation has proven to be productive and has had a substantial contribution to the development of advanced technologies that have played a significant role in securing the military advantage that both countries in dealing with a wide variety of threats that they face.

SP’s: What are the main products and solutions you think will fit India’s defence requirements and what competitive edge do you hold?

Yaari: Our strategy has for a long time called for development of precise, proportionate and discriminate systems that allow forces to carry out missions effectively, efficiently and economically. Systems such as Spike, Trophy, Iron Dome, and David's Sling, which recently completed its first full system interception test successfully, are just a few examples of such breakthroughs. Laser applications and CIED capabilities will also serve a main role in any futuristic combat scenario. Rafael is a growing company and is expected to continue to grow and to provide its customers in Israel and in other countries with systems that can address the challenges of the various battle arenas they are engaged in.

Rafael offers a full range of air defence systems to ensure efficient responses against all types of airborne threats, including aircraft, helicopters, short- to long-range missiles and rockets. Rafael air defence solutions meet the requirements of the army, air force and navy. The systems can be integrated, coordinated and operated by tri-forces to provide comprehensive interoperability and interchangeability.

Rafael's exceptional capabilities are a result of more than 65 years of development efforts by outstanding people and by a culture of strivingwithout- compromise to meet the company’s commitment to customers in Israel and abroad.

SP’s : What do you think about the offset policy in India and how are you working on this requirement?

Yaari: We are constantly seeking new opportunities for cooperation and partnerships with industries in India. Such initiatives will provide an added value both to the Indian companies, as well as to the various branches of the Indian military. At the same time, we are constantly evaluating different ways of meeting local offset requirements that have been set by the Indian authorities.