Overview of Indian Navy’s Negotiations for Rafale Marine Jets
In December 2023, France responded to India’s tender to purchase 26 Rafale Marine jets for the Indian Navy’s aircraft carriers, INS Vikrant and INS Vikramaditya.
Cost Discrepancy Concerns
Amid negotiations between the Indian Navy and Dassault Aviation for Rafale Marine Fighter Jets, reports suggest that the French defence major may be selling the aircraft at a significantly higher price compared to the Indian Air Force’s purchase. The reported cost of $6 billion for 26 aircraft is nearly double the base price paid by the IAF for 36 jets in 2016.
Status of Negotiations
Negotiations between India and France are set to commence, with the French side scheduled to meet Indian defence ministry officials to initiate official discussions on the fighter jet deal for the Indian Navy. The plan is for the aircraft to be operated from India’s aircraft carriers.
Indian government sources aim to finalize negotiations with France and sign the agreement by the end of the current financial year.
Potential Cost Savings for India
Experts suggest that by considering a 25% increase in ancillary costs, the total value per Rafale Jet should not exceed Rs. 29,000 crore. India could potentially save on various ancillary costs by adopting a model similar to France, where both the navy and air force operate Rafale fighters.
With the IAF already operating 36 jets and having established maintenance and training facilities, including simulators, India could benefit from common maintenance and storage practices, leading to a reduction in the overall contract cost.
The IAF’s existing Rafale squadrons have their own stores and simulators, indicating that the necessary infrastructure for training and maintenance is already in place.
