Malaysia to buy Polish tanks in exchange for palm oil

Malaysian Prime Minister Mahathira bin Mohamad declared during his current visit to Poland that Malaysia would purchase upgraded PT-91 Twardy tanks from Poland. "We have made up our minds," the Malaysian Prime Minister said. "We will buy the Polish tank and now it is up to officials on both sides to work out the details of the purchase." Mahathir was quoted as saying that Malaysia might pay for the purchase with palm oil, or other products made in Malaysia. Polish representatives have unofficially stated the purchase would include 64 tanks and from 10 to 20 technical backup vehicles. The contract value, currently under negotiations, could range from $250 million to $300 million. Poland's Economy Minister Jacek Piechota said that the contract is to be signed in the first half of April, during the defense industry fair in Malaysia. The agreement will ensure the continued existence of the Bumar-Labedy military plant for at least four years. In all likelihood the PT-91 will not be ordered by the Polish Army, which will be supplied with much more modern German Leopard 2 tanks. (Puls Biznesu, p. 7; Zycie, p. 6; Reuters) M.T.