By Merle D. Kellerhals, Jr.
Washington File Staff Writer

Washington -- Global arms sales to developing nations in 2001 fell approximately 43 percent to $15,956 million compared with $28,076 million (figures in constant 2001 dollars) in 2000, spurred in part by a sagging world economy, according to a U.S. government report.

"Despite global changes since the Cold War's end, the developing world continues to be the primary focus of foreign arms sales activity by conventional weapons suppliers," a Congressional Research Service (CRS) report says. "Most recently, many developing nations have curtailed their expenditures on weaponry primarily due to their limited financial resources" and "the tenuous state of the global economy," the report said.

The decline in conventional weapons sales to developing countries in 2001 was the first since 1997, the report said. Sales in 1999 were $25,213 million, in 1998 $18,348 million, and in 1997 $19,461 million.

"To meet their military requirements, in current circumstances, a number of developing nations have placed a greater emphasis on upgrading existing weapons systems while deferring purchases of new and costlier ones," according to the CRS report made available August 16. "These countries have also, in several instances, chosen to focus on the absorption of major items previously obtained."

The United States led arms sales to developing countries in 2001, making agreements worth approximately $6,956 million, down from $12,997 million in 2000, followed by Russia with $5,700 million, down from $8,319 million, France with $400 million, down from $2,184 million, and China with $600 million, down from $624 million.

During the period 1998-2001, the United Arab Emirates (UAE) ranked first among developing nations with arms purchases totaling $10,800 million (current dollars), while India was second with $7,200 million and China third with $6,700 million, the report said.

"Many weapons exporting nations have continued to focus their sales efforts on nations and regions where they have distinct competitive advantages due to longstanding political and military relationships with prospective buyers," the CRS report said. "Within Europe, the potential exists for a series of new arms sales to nations that were formerly part of the Warsaw Pact and are now members of NATO, or have membership in prospect."

The report also notes that new arms sales are most likely to occur in the Middle East, Asia and Latin America over the next few years. "A significant factor will be the health of the international economy," it said.

The report, "Conventional Arms Transfers to Developing Nations, 1994-2001," published by the Congressional Research Service, an arm of the Library of Congress, is regarded as one of the most authoritative public resources on international weapons sales. It was prepared by Richard Grimmett, a specialist in national defense at CRS.

The figures on sales of conventional arms -- reflecting legitimate transfers to national governments -- are based on unclassified background data from U.S. government sources. This report does not account for illicit trafficking in small arms and light weapons.

Conventional arms categories in the CRS report include: tanks, artillery, armored personnel carriers and armored cars, major and minor naval surface ships, submarines, guided missile patrol boats, supersonic combat aircraft, subsonic combat aircraft, other types of conventional aircraft, helicopters, surface-to-air and surface-to-surface missiles, and anti-ship missiles.

A copy of the CRS report can be obtained from the Internet at http://fpc.state.gov/documents/organization/12632.pdf.