samlove
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The defence ministry’s top acquisition body — the Defence Acquisition Council (DAC) — gave a go ahead to the negotiation committee on purchasing Rafale jets for the Indian Air Force, signalling an end to the deadlock in talks over the purchase of the 36 fighter jets.
DAC’s approval means the government-to-government agreement between India and France is likely to be signed soon, paving way for the final contract.On purchasing Rafale combat jets, a ministry official said after the negotiation committee briefed the DAC about the progress so far, it gave its approval to go ahead.
India announced it will buy 36 Rafale jets from France during PM Narendra Modi’s visit in April. The deal could be worth Euro 8 billion. A possible climb down by the French side over a key sticking point in talks — an offset clause that requires France to invest 50% of the value of the contract in India — could help both sides clinch the deal, sources familiar with the talks had said.
The sources said France had signaled a softening of its stand on the tricky issue following intervention at the highest levels of both governments.
Meanwhile, French defence minister Jean-Yves Le Drian who was expected to arrive on Tuesday, has deferred his trip to India and will now come at a later date when both negotiation team agree on final purchase agreements