Serdiukov: State Defense Order 2012 Almost Placed

07.10.2011 Placement of State Defense Order 2012 has been almost completed, said Russian defense minister Anatoly Serdiukov on Sept 7 in the interview to Komsomolskaya Pravda.

"Defense order 2012 has been almost placed. Out of 580 bln, somewhat 20 bln remained", said the minister.

The matter of State Defense Order 2012 attracts particular attention in the context of the previous year's situation. That issue got in the limelight of media after defense industry development forum held by president Medvedev on May 10. He excoriated officials whose fault led to delays, and demanded to complete order placement till May is over.

In March 2011 Medvedev said some commitments on State Defense Order 2010 "were failed".

"Defense ministry will form order 2012 till December with the view to start its implementation since January. By the way, we're going to pay 100% advance to defense-oriented companies", pointed out Serdiukov.

Commenting the current defense order, the minister said "we had two complaints to industry – price and quality".

"We wanted them to show cost history. I mean, do things clear. We got to know where everything comes from", said the minister.

Volume of Russian defense order in 2011 makes RUR 750 bln which is 1.5 times as much as it was in 2010. Defense ministry's portion is RUR 581 bln.

According to Russian Audit Chamber, in 2009 only one half of defense order was executed.

Meanwhile, government plans to invest over RUR 20 trillions in state arms program till 2020.