India on Friday signed a 7.87-billion-euro (Rs 59,000 crore) deal with France for direct acquisition of 36 Rafale fighter aircraft, equipped with the latest missiles and weapon systems, reports fe Bureau in New Delhi. Of the 36 aircraft, 28 will be single-seat and eight twin-seat and will have India-specific modifications.
The inter-governmental agreement was signed by defence minister Manohar Parrikar and his visiting French counterpart Jean Yves Le Drian 16 months after Prime Minister Narendra Modi announced India’s plans to buy 36 Rafale fighter aircraft in a flyaway condition during his trip to France.
The first aircraft will be delivered within 36 months, with the remaining 35 aircraft to be supplied in 60 months, according to defence ministry officials. “We have insisted on including a penalty clause should there be any delay in the delivery schedule,” the officials added.
The tough negotiations by the MoD-IAF team extracted many concessions and discounts from the French before arriving at a price that is almost 750 million euros less than what was being quoted by the French side in January 2016.
