Mate, I guess you have misunderstood several things here.
You are missing very important point if you have Laser guidance kits , you can convert your bomb size to your requirements.
And these kits are very cheap when compared to stand-off A2S weapons which are Satellite guided .
First of all standoff weapons are weapons that can be used from greater ranges to the target and often have their own propulsion, or wings to change course. Mainly these are missiles like JSOW, or Slam-ER like I mentioned in an earlier post, but they don't have to be satellite guided and can use different guidance systems.
What I was talking about was satellite guided bombs like the JDAM (GPS), or the Russian KAB bombs (GLONASS).
And this leads us to the next point, because not only laser guided bombs can use kits for different weight classes, JDAM, AASM or KAB bombs (which are GPS, IR, even TV guided) are kits too.
Paveway 4:
JDAM:
KAB 500L (laser guided):
KAB 500 S-E (sat guided):
The cost difference comes mainly throught the numbers of kits beeing produced, or how advanced the guidance kits are. The Israeli Spice bomb kits are said to be very accurate and advanced, because of the electro optical and GPS guidance system, but these are also very costly and used only by a few countries. Paveway laser guided bombs instead, are now used by nearly every western nation, which means in huge numbers.
Remember Kargil story - Stand-off weapons were not available from France bcoz of sanctions ,
but we had kits and converted vintage SPANISH 70's era Bomb into LGB which were fired from MIRAGE with ATLIS pod
This is not correct, because France didn't posed sanctions against India, the problem was, that in that time IAF had only a few fighters able to carry PGMs especially not our Russian fighters. Also the few Paveway 2 bombs, like the source said:
...had been supplied with an incorrect part. Because of the nuclear test performed by India, they were on the embargo list and were unable to get the correct parts sent as replacements. Consequently IAF technicians had to remanufacture this part in order to make the Paveway serviceable for use on the Mirage.
So the correct parts of the Paveway bombs were embargoed by the US not France.
Also:
The Mirage 2000 aircraft itself had always been regarded as an air defence fighter with a limited ground attack capability. Consequently it lacked certain resources such as bombs, hardpoint pylons, tooling, testers and ground crew experience in such matters.
And that's why other bombs had to be found in the IAF Inventory which was able to be used on Mirage 2000.
Finally for illumination issues what Indian Air force has done is arm
1 Jaguar for LGB's
Another Jaguar with Laser pod and guidance .
Mainly Mirage 2000 was used in that time:
A typical bombing mission would involve 4 Mirages from 7 Squadron loaded with dumb bombs leaving a base in Punjab together with a two seat Mirage loaded with a LGB and Laser Designating pod...
...Only 9 LGBs were dropped during the whole war, 8 by the Mirage fleet and one by a Jaguar.
Today things are pretty different, especially the MKI is very capable to deliver heavy PGMs and I am pretty sure that we will get another good alternative through MMRCA with western PGMs, which will make IAF clearly more capable then in the past.