Press Release
Groningen, 12 June 2006
Greece is about to sell four formerly Dutch frigates to Pakistan.
Greece has previously bought ten warships of the Kortenaer-class (built
in the Netherlands) from the Royal Dutch Navy. According to the
specialist magazine Jane's Defence Weekly the deal currently awaits
permission from The Hague. The sale was agreed on last month, during a
visit by the Pakistani prime minister to Greece. Earlier the ships were
only due to be decommissioned after 2015. It is not known how much
money the order is worth.
As part of a separate arms deal the Dutch branch of French arms
manufacturer Thales provides military electronics for another four
frigates that China is building for Pakistan. The export of these
so-called Link-Y Data Link systems plus training and logistic services
has been re-insured in October 2005 by export credit agency Atradius
for an amount of 2.6 million euro. If Pakistan would fail to pay the
bill, the Dutch government guarantees payment. As far as known no
export licence has yet been granted for this sale.
Campagne tegen Wapenhandel - the Dutch campaign against arms trade -
calls on the Dutch government not to grant permission for both arms
sales to Pakistan because of the following reasons:
Though tensions between arch rivals India and Pakistan are more relaxed
now then they have been for years, the situation remains volatile. The
current round of arms purchases is therefore worrying. Incidents in the
recent past have shown that the situation can easily escalate and lead
to armed confrontations.
For some years now India is the world's second arms importer after
China. Pakistan currently follows its neighbour with a series of new
purchases. Despite an enormous debt burden and the devastating
consequences of last year's earth quake in Kashmir, the regime of
Pervez Musharraf has placed orders worth a few billions of euros over
the last couple of months with the US (F-16s and Harpoon-missiles),
Sweden (Erieye spy planes) and China (fighter aircraft and frigates).
Despite having taken power by a military coup, many western governments
consider Musharraf as crucial ally in the war on terrorism. Under that
cloak the absence of democratic reforms is silently accepted. Though a
major part of the population lives in deep poverty, Pakistan spends 4
percent of its GDP on its armed forces - one of the highest percentages
in South and South East Asia. A major arms deal such as the sale of the
ex-Kortenaer frigates runs against the EU Code of Conduct on arms
exports, which under criteria 8 judges the height of military spending.
In 2003 the Dutch government denied an export licence for Pakistan on
similar grounds.
Strict adherence to the Code excludes arms exports to Pakistan. The
unresolved conflict between India and Pakistan on Kashmir, the bad
human rights situation, high military spending, as well as the poverty
in which so many live are all factors that run against the spirit of
the Code of Conduct that should prevent arms races.
Because of their nuclear tests the Dutch government maintained an arms
embargo against India and Pakistan between 1998 and 2003. Before both
were important clients of Dutch weaponry. With the announced arms sales
to Pakistan little would remain of the very restrictive arms export
policy for South Asia that was promised after the lifting of the
embargo.
More information about Export Credits:
Exportkredieten
(partly english)