France pushes for Rafale deal, but talks still stuck
Rajat Pandit,TNN | Dec 2, 2014, 12.47 AM IST
NEW DELHI: India and France have decided to step-up bilateral cooperation in counter-terrorism and maritime security as well as hold a major aero-naval exercise in the Indian Ocean early next year, signaling their intent to further bolster their "strategic partnership".
The French jet had then gone ahead to beat the Eurofighter — backed by the UK, Germany, Spain and Italy — in January 2012 both on direct acquisition costs as well as
“life-cycle costs'' of operating the fighters over a 40-year timeframe.
But what could be the biggest project between the two, the almost $20 billion MMRCA (medium multi-role combat aircraft) project for 126 Rafale fighters, remains stuck in the final stretch of negotiations. The two sides, however, resolved to sort out the 'differences' in a 'fast-track' manner, sources said on Monday.
Visiting French defence minister Jean-Yves Le Drian held talks with his Indian counterpart Manohar Parrikar on Monday evening on a wide spectrum of issues, ranging from France's military operations and development strategies in Mali, Sahel and Iraq to the
Hollande government's keen interest in PM Narendra Modi's 'Make in India' policy.
But all eyes were firmly on the MMRCA project, with Le Drian pushing for an early inking of the gigantic fighter project. The complex MMRCA negotiations have been deadlocked for the last several months due to French major Dassault Aviation's refusal to take "full responsibility" for the 108 fighters to be manufactured in India by Hindustan Aeronautics (HAL), as was earlier reported by TOI.
Defence sources on Monday said the "status quo" persisted in the talks. "Dassault so far is unwilling to give the commitment for the 108 fighters as far as liquidity damages and timelines are concerned," said a source.
"Dassault, after talking to HAL, has to agree to it since it was specified in the original tender or RFP (request for proposal). It has to be fully compliant with the RFP. There is no getting away from this," he added.
The Rafale and Eurofighter Typhoon had thrashed the American F/A-18 'Super Hornet' and F-16 'Super Viper', Swedish Gripen and Russian MiG-35 in the extensive field trials held by the IAF after the RFP was floated in August 2007.
The French jet had then gone ahead to beat the Eurofighter — backed by the UK, Germany, Spain and Italy — in January 2012 both on direct acquisition costs as well as "life-cycle costs'' of operating the fighters over a 40-year timeframe.
But the project, under which the first 18 jets are to be imported and the rest manufactured in India with technology transfer, is yet to be sealed. Incidentally, e
ven though the Eurofighter is eager to fly back into contention, Indian defence procurement rules do not allow any comebacks in such a project.
India, of course, remains steadfast about its strategic partnership with France, the only major western power which did not impose sanctions after the 1998 Pokhran-2 nuclear tests. Apart from supporting India's bid for permanent membership of the UN Security Council, France is one of the biggest arms suppliers to this country.
The armed forces from the two countries also conduct regular military exercises -- the naval 'Varuna', the air 'Garuda' and the land 'Shakti' wargames. India and France will now hold a major aero-naval exercise under the Varuna series off the coast of Goa in April 2015, which is likely to see the participation of the French nuclear-powered aircraft carrier Charles de Gaulle.
Link
France pushes for Rafale deal, but talks still stuck - The Times of India