Saturday, 2 May 2015

Breakthrough in Rafale deal

Dassault Rafale
Dassault Rafale

Marking a breakthrough in the protracted talks for striking the Dassault Rafale jet deal, Prime Minister Narendra Modi announced on Friday that India would buy a total of 36 of the fighter planes in flyaway condition, citing critical operational requirements of the Indian Air Force.

Mr. Modi made the announcement at a joint press conference with French President Francois Hollande after their summit talks at Elysee Palace.

“Keeping in mind the critical operational necessity of fighter jets in India, I have talked to him [Hollande] and requested for 36 Rafale jets in flyaway condition as quickly as possible under a government-to-government deal,” he said.

The original deal was for 126 fighter aircraft under the Medium Multi-Role Combat Aircraft contest, which began in 2007. Dassault Rafale was shortlisted in 2012 after rigorous evaluation but negotiations have been stuck over pricing and delivery guarantees for the aircraft manufactured by Hindustan Aeronautics Ltd. (HAL) in India.

A direct purchase will drive down the costs as there is no technology transfer involved and the delivery of aircraft will be faster.

Depleting fleet swung the Rafale deal

The major reasons for the direct purchase of 36 Rafale jets from France are the fast-depleting fighter strength of the Indian Air Force, unending delays in the Medium Multi-Role Combat Aircraft negotiations and the steep price rise.

The fighter aircraft strength has fallen drastically to 34 squadrons from the sanctioned 42 and is set to further dip with the phasing out of MiG-21s and MiG-27s in the next few years. The Chief of the Air Staff, Air Chief Marshal Arup Raha, has flagged the issue on several occasions. The MMRCA and the Light Combat Aircraft (LCA) Tejas, the replacements, are nowhere on the horizon. Also with the price crossing $20 billion, funding this was a concern for the government with other major modernisation programmes in the offing.

The two leaders had the boat ride after their detailed discussions, focusing on cooperation in the areas of civil nuclear energy, defence, space and trade.

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