Wednesday, August 12, 2015

India, France struggle to agree on terms of Rafale fighter jet sale

Government-to-government negotiations between France and India over Delhi’s order of 36 Rafale fighter jets have hit a wall, four months after Prime Minister Narendra Modi intervened to break a logjam in previous commercial talks.

Two senior Indian defence officials told news agency Reuters that the two sides cannot agree on the unit price of the warplane. They are also wrangling over a condition that planemaker Dassault Aviation invest a large percentage of the value of the contract in India, through activities such as the sourcing of components for future French operations.

Modi announced in April that Delhi had ordered 36 ready-to-fly Rafale jets in a multi-billion-euro agreement, after three years of original negotiations to buy 126 planes from Dassault had been stalled over disagreements on cost and where the aircraft would be assembled.
12/08/15 rfi
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