Dassault Rafale, tender | News & Discussions [Thread 2]

[Hindustani78]

50% of Rafale deal value will be invested in India: Defence Minister Manohar Parrikar - The Times of India
MEERA MOHANTY & Manu Pubby,ET Bureau | May 11, 2015, 12.20 PM IST

NEW DELHI: Terrorists, irrespective of wherever they may be operating from, should be neutralised using all types of methods, Defence minister Manohar Parrikar told ET in an exclusive interview. He elaborated that "neutralisation" doesn't necessarily mean killing terrorists but making them "ineffective."

Parrikar also criticised ex-BJP minister Arun Shourie, saying the latter "does not have the full brief on what is happening". Shourie had recently said the Narendra Modi government was faltering on policymaking and delivery.

Responding to a question on how India should deal with terrorists in foreign territory, the defence minister said: "A terrorist has to be neutralised-...Certain issues cannot be discussed but I feel that for any enemy of the country, all types of methods should be used to neutralise them."

"Neutralising does not mean just killing...it means any method that makes them non-functional - get him to jail or to make him ineffective in any manner," Parrikar added.

In his wide-ranging interaction with ET covering several key policy areas, Parrikar also set out the exact figure on India's manufacturing share of the Rafale fighter jet project - France will need to spend 50% of the contract value, almost four billion dollars, as investments in the Indian defence and aerospace sector. The minister said the Rafale jet project will "unleash Make-in- India".

Parrikar also said that with India buying around 36 Rafale jets for now, government savings on this project is likely to be up Rs 60,000-65,000 crore. This money, Parrikar said, will be used to accelerate defence manufacturing in India, including speeding up the long-ingestation Light Combat Aircraft. The minister said LCA will be inducted in large numbers, up to 200 fighters or 10 squadrons.

Parrikar linked low levels infiltration from Pakistan and fewer incidents of cross-border firing this year to Indian forces' strong retaliation to "misadventures".

Acknowledging that defence forces face an issue on resources, the minister said all three wings, army, air force and navy, must prioritise spending. All three wings have been asked to make a list of must-have items, Parrikar said. He said Defence Research and Development Organisation (DRDO) would have a new head by May 24.

DRDO will also have a separate Scientific Advisor, who will be attached to the ministry for independent advice. Parrikar said for important projects he will form consortiums of all stakeholders from the government system, it won't be just DRDO taking all the critical decisions.If the army has to operate in the Jammu & Kashmir, it needs AFSPA: Defence Minister Manohar Parrikar

 

[Hindustani78]

Last Updated: Saturday, May 16, 2015 - 19:52
Talks on Rafale deal should have started: Parrikar | Zee News

Panaji: Initial discussions between the Indian and French sides over the purchase of Rafale fighter jets "should have started" already, Defence Minister Manohar Parrikar said here on Saturday.


Parrikar, who was addressing a press conference at the party`s state headquarters, also said the current Defence Procurement Procedure was a "very cumbersome process" and that it required a bold initiative by Prime Minister Narendra Modi to seal the Rafale deal with the French government.

"On May 13, our committee was formed, which is headed by (Deputy Chief of Air staff) Air Marshal (S.B.P.) Sinha from our side and his officers. Not negotiations, from today talks should have started," Parrikar said.

He lamented that because of the current Defence Procurement Procedure, India could not buy a fighter plane for over 15 years.

"The exercise started in 2000 and could not be concluded even by 2015. For 15 years we did not buy a single plane. So we took a very bold initiative and Modi decided to buy it directly with a better price and on better terms. What they are will be revealed in a month or two," Parrikar said, adding that speeding up the process was necessary.

"We took it on a fast track. That was necessary," Parrikar said.

Prime Minister Modi during his visit to France in April signed an agreement to buy 36 Rafale fighter jets for $6 billion.

IANS

 

[Hindustani78]

Last Updated: Saturday, May 16, 2015 - 23:15
French team in India to negotiate Rafale deal | Zee News

Panaji: French team constituted to negotiate the Rafale deal has arrived in India and talks can start anytime now, Defence Minister Manohar Parrikar said on Saturday as he described the agreement as "one of the bold initiatives" of the Modi government.


Parrikar said India has constituted a committee headed by Air Marshal SBP Sinha to hold negotiations with the French team.

"The negotiations on Rafale deal can start anytime from now.Indian government has already formed a committee headed by Air Marshal Sinha. The team from France already arrived in India on May 12 to start the negotiations," he told reporters.

India is to buy 36 Rafale fighter jets in flyaway condition from France after Prime Minister Narendra Modi and French President Francois Hollande last month agreed to conclude an Inter-Governmental Agreement bypassing the protracted negotiations for purchase of 126 such jets.

The two countries had decided to form committees to take forward the negotiations.

"The signing of agreement for Rafale purchase was one of the bold decisions taken by the government. We signed the deal for better price, better than earlier," he said.

A joint statement issued after Modi-Hollande talks had said the two leaders agreed to conclude an Inter-Governmental Agreement for supply of the aircraft on terms that would be "better" than that conveyed as part of a separate process underway.

It was an apparent reference to the talks that kicked off in 2012 for the sale of 126 Rafale fighter jets for 12 billion USD. The deal had been bogged down over cost and Dassault Aviation's reluctance to stand guarantee for 108 planes to be made by state-run Hindustan Aeronautics Limited (HAL).

Talking about various initiatives taken by his ministry in the last one year, Parrikar said, "One Rank-One Pension (OROP) proposal is reaching finality."

Asked about CAG's report on India's battle-readiness, he said,"The report about India?s low preparedness to fight the war is old one, dating back to March 2013. After that we have improved our preparedness by almost 50 per cent."

About the government auditor's contention that India's ammunition stock would not last even a few days in the event of a war, Parrikar said, ordnance production had also improved over the past year.

He said the Defence Ministry has delisted 65 per cent of the items, making them free for manufacturing and export.

The minister said the impact of raising FDI limit in defence to 49 per cent will also be seen in the years to come.

PTI

 

[Hindustani78]

Updated: May 17, 2015 03:56 IST
Talks on Rafale to begin soon: Parrikar - The Hindu

A committee headed by Air Marshal S.B.P. Sinha is all set to begin government-to-government negotiations with France for procurement of Rafale fighter jets for the Indian Air Force, and the multi-billion dollar deal will be finalised as early as possible, Union Defence Minister Manohar Parrikar said on Saturday.

“The committee set up on May 13 will begin negotiations on the deal any time as a French delegation has arrived in India to hold negotiations,” Mr Parrikar said. Prime Minister Narendra Modi during his visit to France last month had signed an agreement to buy 36 Rafale fighter jets for over $6 billion.

Proposals cleared
Speaking about the achievements of the Defence Ministry, Mr. Parrikar said that Capital Acquisition proposals of Rs.1,60,000 crore, which were blocked for years, had been cleared.

Make in India initiative
He said that under the Make in India initiativc, the government had allowed 65 per cent licence-free manufacturing and exports. FDI in Defence has been increased to 49 per cent.

In the Defence sector, he said, the government would emphasise indigenisation in manufacturing. Ordinance factory production had already shown improvement, he said.

Mr. Parrikar said Tejas, the light combat aircraft, would undergo final flight testing next month, observing that ‘Make in India’ was a long-term solution for improving the strength of the IAF.

 

[IND151]

French team in India to negotiate Rafale deal | idrw.org

 

[Hindustani78]

Dassault to double Rafale output in 2-3 years if India buys - The Economic Times
By Reuters | 18 May, 2015, 04.14PM IST

GENEVA: Dassault Aviation will double production of its Rafale combat jet within two to three years once it has completed a forthcoming contract to sell the planes to India, its chief executive said on Monday.

The French planemaker is also in talks with several other countries including Malaysia, after recently winning its first export contracts with Egypt and Qatar, CEO Eric Trappier added.

He was speaking to Reuters at the EBACE business jet exhibition outside Geneva.

Trappier last week said Dassault would increase production of the Rafale if it signs a third export contract but did not give a timeframe.

It currently produces 11 Rafales a year.

India has pledged to order 36 of the planes directly from the French government after talks stalled with Dassault over a larger deal.

 

[Techy]

Planemaker Dassault to double Rafale output in 2-3 years if India buys

Trappier last week said Dassault would increase production of the Rafale if it signs a third export contract but did not give a timeframe.

Reuters/Regis Duvignau/Files

Dassault Aviation will double production of its Rafale combat jet within two to three years of the completion of a planned sale to India, its chief executive said on Monday.

The maker of combat and business jets is also in talks on potential fighter sales with several other countries including Malaysia, after recently winning its first export contracts for the Rafale with Egypt and Qatar, CEO Eric Trappier added.

He was speaking to Reuters at the EBACE business jet exhibition outside Geneva.

Trappier last week said Dassault would increase production of the Rafale if it signs a third export contract but it did not give a timeframe.

It currently produces 11 Rafales a year.

Trappier said it would be feasible to lift output as high as 2.5 aircraft a month in order to meet future export demand.

India has pledged to order 36 of the planes directly from the French government after talks stalled with Dassault over a larger deal.

Trappier said he hoped the govenment-to-government contract would be finalised this year, adding: "Once the India contract is signed we will double production in two to three years."

Trappier also signalled a period of stability at French defence firm Thales, which has been disrupted by a series of management changes.

Last week, Thales confirmed the company's chief executive and temporary chairman Patrice Caine in the combined roles of CEO and chairman after former utilities chief Henri Proglio refused to accept the chairmanship.

Trappier said there were no plans to revert to the previous proposal of splitting the two roles, which had been designed to reconcile differences between core shareholders Dassault and the French government over who should run Thales.

Trappier also said Dassault intends to remain a shareholder in Thales for the long term, but does not seek a majority stake, something that would require a new shareholder pact.

"The less we talk to the government, the better things go as far as that subject is concerned," he said.

Dassault owns 25.3 percent of Europe's largest defence electronics group and has a shareholder pact with the French government, which owns 26.4 percent.

Planemaker Dassault to double Rafale output in 2-3 years if India buys| Reuters

 

[sancho]

Dassault Aviation will double production of its Rafale combat jet within two to three years once it has completed a forthcoming contract to sell the planes to India, its chief executive said on Monday.

So much for the dreams of getting 2 squads in 2 years and even worse, more fighters from their lines means higher chance for the final death of MMRCA.

 

[PARIKRAMA]

Well i remember reading somewhere that negotiations would be completed within 90 days from the day of PM Modi expressing interest to buy 36 jets from France in fly away condition..
Now looking at so called so many meetings and empowered group setup etc, i am not sure about 90 days roadmap.. (90 days are to be over in mid of June 2015).
The whole deal with Dassault and so called offsets at 50% all looks very odd. No clarity if a made in India component is there too. Going by the way of simple logic, 50% offset is possible if and only if GOI had already committed another 36 or more follow on order under off the shelf purchases. Unless French government pushes the Dassault to adhere to these terms with just 36 ..
Interestingly, what would be the difference in fine terms between offset 50% under MMRCA and offset 50% under off the shelf purchase? Will the critical tech sharing pact is same in both? Logic says cant be as price would shoot up but then again if its there then it would be a nice surprise..

Wish DM MP could give more clarity but i guess he is now himself meddled in a vortex called Rafale deal irrespective of MMRCA or Off the shelf....

 

[I M Sikander]

Considering 11jets each year and orders from malaysia, egypt and qatar.
It clearly means that completion time of Indian jets will be some thing around 2019 to 2020.

 

[Agent_47]

Separately, Parrikar stated clearly for the first time that the 36 Rafale fighters that Prime Minister Narendra Modi requested the French government for during his visit to Paris last month would not be followed by more Rafales. Instead, the money saved by curtailing the Rafale contract would be used to buy large numbers of the indigenous Tejas Light Combat Aircraft (LCA).

“By buying 36 Rafale fighters at a price less than (what was quoted in response to) the earlier tender for 126 aircraft, I have saved the cost of 90 Rafales. We will use that money to buy Tejas LCAs”, said Parrikar.

This will address the concerns of aerospace experts, who had questioned the plan to buy 126 Rafales (six squadrons) to take the place of MiG-21 squadrons retiring from service this decade. It has been argued that the Rafale is too heavy, expensive and capable to replace a cheap, light, utility fighter like the MiG-21.

“The Rafale is not meant to replace the MiG-21”, said Parrikar, stating that he would instead buy large numbers of Tejas fighters, which he said would come cheap at a price of around Rs 150 crore each.

 

[PARIKRAMA]

@sancho @Abingdonboy
our big mouthed DM MP finally said a statement - Rafale 36 only-- and that also under negotiations (god knows for how long again)
No logic anywhere for such a small number but then again ...
it sgood money saved is used in LCA program but is the goal of putting money from one pocket to another sensible.. We need LCAs surely.. but with just 36 rafale whats the point.. better we could have invested that also in LCA program and perhaps a second line of production for LCA only ...

 

[Stephen Cohen]

@sancho @Abingdonboy
our big mouthed DM MP finally said a statement - Rafale 36 only-- and that also under negotiations (god knows for how long again)
No logic anywhere for such a small number but then again ...
it sgood money saved is used in LCA program but is the goal of putting money from one pocket to another sensible.. We need LCAs surely.. but with just 36 rafale whats the point.. better we could have invested that also in LCA program and perhaps a second line of production for LCA only ...

India will definitely buy more

The defence minister is just talking for the sake showing committment to Tejas and Make in India

IAF has never wasted resources for the sake of buying just 36 planes

Once an investment is made ; it lasts for several decades

Most likely we will go for additional off the shelf purchases

 

[Agent_47]

India will definitely buy more

The defence minister is just talking for the sake showing committment to Tejas and Make in India

IAF has never wasted resources for the sake of buying just 36 planes

Once an investment is made ; it lasts for several decades

Most likely we will go for additional off the shelf purchases

That was my thinking too, otherwise it doesn't make sense. maintenance cost,training,logistics cost all will be higher.

 

[saurav]

Nice... 2 Squads for specific missions. More money to develop workhorse Tejas.. Good plan..