Wednesday, April 15, 2015

Indian Defense Minister's Comments Raise Doubts Over Fate Of $20B Rafale Fighter Jet Deal

India will buy Dassault Aviation-made Rafale jets only through direct talks with the French government, India’s Defense Minister Manohar Parrikar said on Monday. His comments, which came just two days after Prime Minister Narendra Modi announced the purchase of 36 Rafale jets from France, raise doubts over the fate of an existing deal with Dassault.

In 2007, the Indian government had floated a global tender to purchase fighter jets. Of the six companies -- including Boeing and Lockheed Martin -- that competed for the contract, France’s Dassault emerged as the lowest bidder in January 2012. The tentative order for 126 Rafale fighter jets was valued at $20 billion. However, three years down the line, price negotiations and disputes between the Indian government and the French company over local assembly have failed to achieve a breakthrough.
14/04/2015/Avaneesh Pandey/ibtimes.
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