Russian leader angry over Indian aircraft carrier

2009-07-02 13:35:01 -

ARKHANGELSK, Russia (AP) - Russia's president on Thursday criticized the holdup in refurbishing a Soviet-era aircraft carrier that was bought by India five years ago.
Dmitry Medvedev was scathing of workers at the Sevmash factory in the northern city of Arkhangelsk, where work on the Admiral Gorshkov has been going on.
India reportedly paid $617 million when it signed the contract in 2004, but the factory _ one of Russia's best known _ has since demanded another $2 billion to complete the job by next year.
That's upset India, which used to be a major purchaser of Soviet weaponry and which Russia hopes to encourage anew.
Medvedev said in televised comments: «You have to consider this to be our first, and most difficult lesson.
«It's time to turn the boat over ... otherwise, there will be grave consequences,» he said.
Russia in recent years has sought to increase sales of weaponry to foreign customers, but despite a steady increase in sales, it has suffered several highly publicized failures _ attributed to swelling production costs and the general inefficiency of the nation's weapons industries.
Russian exporters have failed to fulfill China's order for 38 Il-76 transport planes and Il-78 tankers, prompting China to demand the deal be suspended. Last year, Algeria returned the MiG-29 fighter jets it bought from Russia, complaining of poor quality.