France makes ‘final offer’ of $8.56 billion in Rafale fighter jet deal


May 12, 2016 14:05 IST


he Rafale fighter jet deal, which had been stuck for months over pricing issues, may finally be closed sometime soon. France has offered to sell 36 Dassault Fighter jets to India for about $8.56 billion (about €7.25 billion) and this could be the last price offered.

France had reportedly quoting a price of $10.04 billion for the fighter jet deal earlier. The latest offer from the European nation came over two weeks ago in the government-to-government deal, the Economic Times reports.

India and France are also negotiating the price of a support package for the fighter jets. It was initially a 10-year package, but has now been reduced to a five-year package. The weapon package deal will reportedly be signed separately.

Negotiations will only continue after the India government responds to the latest offer.

Once the deal is finalised, the first batch of the fighter aircraft will be delivered to India in at least 18 months.

Defence Minister Manohar Parrikar had on April 21 been quoted as saying by Press Trust of India that the deal valued at Rs. 59,000 crore was not complete yet, but the talks were in an “advanced stage” and his intention was to “close it quite soon.”

The latest offer also includes an offset clause, which would make aircraft manufacturer Dassault and Thales invest in India’s defence and security sector. France has agreed to a 50 percent offset clause, Business Insider reports.

[1 lakh = 100,000 | 1 crore = 10 million | 100 crore = 1 billion]

Original post


Comes to $238 million per plane from $279 million according to quoted price in article no weapons included……

See related post:

Flat Refusal: India Dismisses US Offer of F-16 Jets


Now, US may sell F-16s to India

Rafale fighter deal stuck, says Parrikar

Move Over Tejas. India Wants A Second Line Of Fighter Jets.

Rafale deal in final stage, India to purchase 36 fighter jets from France

French Rafale stuck in negotiation; US firms Boeing, Lockheed Martin raises pitch for fighters for IA

India considers buying American F16 and F/A 18 fighter jets. What happened to the Rafale deal?

How fighter jet sales fit into America’s China-containment strategy

‘Make in India’ pitch to sell Swedish fighter for air force

India keen to buy F/A 18 Super Hornet fighter jets for IAF

India mulling manufacture of second line of fighter planes: IAF chief

See details of Rafale: HERE


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