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NEW DELHI/JERUSALEM, Thursday Reuters) India aims to boost its military edge over nuclear rival Pakistan as it races to close a deal with Israel worth more than $1 billion deal for an airborne early warning radar system.

Israeli Prime Minister Ariel Sharon is due in India on Sunday - the first visit by an Israeli leader in 11 years - and officials say the two sides could sign the contract for the sale of three Phalcon radar systems during the trip.

"There is every possibility of a signing," an Indian defence ministry official told Reuters, but he would not give further details.

On Wednesday, the Indian cabinet cleared a $1.7 billion deal with Britain's BAE systems for military trainer planes, ending almost 20 years of on-off negotiations.

The Israeli radars mounted on a Russian aircraft would be the biggest weapons deal since Israel and India established diplomatic ties in 1992, and would bring large parts of Pakistani airspace under Indian surveillance.

Pakistan, which does not have such an advanced "eyes and ears" system, is rattled by the prospect and criticised Israel's key ally and sponsor the United States for approving the sale.

Indian military experts say the entry of the Phalcon, which is like the US AWACS (Airborne Warning and Control Systems), on the subcontinent will tilt the strategic balance further and force Islamabad to look for equally advanced systems.

Pakistani President Pervez Musharraf recently called for a debate on his Muslim state establishing ties with Israel, a move some analysts saw as aimed at heading off the growing tide of strategic Israeli-Indian deals The Phalcon can pick up aircraft, including at low altitude, hundreds of kilometres away in any weather, day or night. It can also intercept and decode radio transmissions, anticipating in many cases the weaponry an enemy might employ.

"This is not a unique capability but it is one that few nations possess and gives a huge war-fighting advantage to any air force that has it," said Robert Hewson, editor of Jane's Air Launched Weapons.

"The Phalcon would increase India's airpower advantage over an opponent such as Pakistan...by a very considerable margin."

India, with the world's fourth largest armed forces, already enjoys a roughly two to one advantage over its much smaller neighbour in ground and air forces.

Indian analysts say the surveillance systems could at some point tempt the military to launch air strikes against militants fighting Indian rule in disputed Kashmir without fear of retaliation from Pakistan.

New Delhi has resisted the use of air power in Kashmir because it could trigger retaliation. "But with much of its air space under surveillance, you can pretty much control the skies," said retired admiral Raja Menon.

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