17 November 2015 dnaindia.com
 

The multi-billion dollar deal for purchase of 36 Rafale combat aircraft is in "final stages" of price negotiations, Defence Minister Manohar Parrikar has said.

A new roadmap for the upgradation of the inventory in the Indian Air Force is being prepared with focus on 'Make in India' initiative, and any future acquisition will be based on it, he told PTI. The minister said that issues that came up in talks with the French on the Rafale fighter planes, like 50 per cent offset clause, have "almost been sorted out". Refusing to put a timeline on when the final contract will be signed, Parrikar said, "It is in the final stages of price negotiations."

Prime Minister Narendra Modi had announced in April this year during his visit to France that India will acquire 36 Rafale planes in fly-away condition under a government-to- government contract. "As of now we are talking about 36 (planes). I am not saying that it means we are thinking of buying more. For our upgradation of the air force, we are preparing a roadmap. Once that roadmap is finalised and approved by the government, then we will go ahead as per the roadmap," he said when asked if India will be going in more Rafale aircraft.

Parrikar said that the roadmap will take into account the 'Make in India' initiative. "One option is the Light Combat Aircraft (Tejas). In principle we have agreed to buy 20 LCAs in present form and another 100 with some improvements," he said. On the offers made by global fighter jet plane makers to set up manufacturing bases in India, Parrikar said a decision would be taken as per the new policy. 

The Defence Ministry is expected to come out with a new Defence Procurement Procedure soon that will be in tune with the government's initiative of 'Make in India'. However, Parrikar made it clear that companies wanting to set up bases in the country will have to follow India's export control policy.

"Export also comes into play only once our order is finished. That will take 10-12 years. Even the best in the world can't make more than 16-20 per year unless they have multiple plants. Production for our own orders will take 8-10 years," he said.

From Swedish firm Saab to US' Lockheed Martin and France's Dassault Aviation, most of the global aircraft manufacturers have offered their planes in line with the government's push for 'Make in India'. Indian Air Force had last month said it would need at least six squadrons comprising 108 Rafale or similar planes to shore up its capabilities.

Après le "contrat du siècle" annulé par l'Inde, l'autre projet de livraison de 36 Rafale par Dassault semble à son tour compromis.

12/08/2015 Par latribune.fr

Le contrat portant sur la vente de 36 Rafale entre Dassault Aviation et l'Inde achoppe sur des divergences liées au prix unitaire de l'appareil et sur la volonté de Delhi d'obtenir pour ce contrat des "offsets" (investissements sur place de la valeur d'une partie du contrat).

La vente de Rafale en Inde a de nouveau du plomb dans l'aile. Après l'annonce du gouvernement indien de casser l'appel d'offres qui devait offrir à Dassault le "contrat du siècle" (126 Rafale dont 108 construits en Inde), le pays est désormais en désaccord avec l'industriel français sur le projet de vente de 36 avions de combat de Dassault Aviation. Pourtant, en avril dernier, le Premier ministre indien, Narendra Modi, avait annoncé que ce contrat devait être réalisé "sur étagère", c'est-à-dire que les avions seraient construits en France, pour être livrés le plus rapidement possible.

Des négociations qui devaient être bouclées en "un mois ou deux"...

Mais, selon deux sources (des responsables du secteur indien de la défense) citées par Reuters, les deux parties sont désormais en désaccord sur le prix unitaire des avions et sur la volonté de l'Inde d'obtenir pour ce contrat-là aussi (cf. celui des 126 Rafale, aujourd'hui caduc), des "offsets" (une partie de la valeur du contrat devra être transformée en investissements et emplois sur place, en Inde).

Le 16 mai, le ministre indien de la Défense, Manohar Parrikar, avait déclaré que les négociations sur le prix du contrat seraient bouclées en "un mois ou deux". Mais les discussions ont achoppé sur l'insistance de l'Inde à obtenir ses Rafale à un prix inférieur aux quelque 200 millions de dollars (180 millions d'euros) l'unité, prix qui avait servi de base aux négociations antérieures avec Dassault Aviation, ont déclaré les deux responsables militaires.

"Puisqu'il n'y a pas de transferts de technologies, le prix qui était sur la table pendant les négociations commerciales n'a plus lieu d'être", a déclaré l'un des responsables, tenu au courant des nouvelles négociations.

En effet, contrairement au précédent contrat, celui des 126 Rafale, issu d'un appel d'offres très disputé et remporté par Dassault Aviation -avant qu'il ne soit cassé-, cette commande de 36 aéronefs ne prévoit pas de production en Inde, pour ne pas retarder la livraison.

Débat sur les "offsets"

Les deux responsables indiens ont également indiqué que les discussions achoppaient aussi sur la condition posée par New Delhi en vertu de laquelle les fabricants d'armes doivent investir sur place une partie de la valeur de tout contrat supérieur à 50 millions de dollars (45 millions d'euros), une forme de transfert compensatoire désigné couramment par le terme "offset".

Ces pratiques d'offsets sont monnaie courante dans les contrats d'armement avec les pays émergents, où, pour décrocher des commandes, les groupes de défense occidentaux doivent investir en technologies et en emplois.

Dans ce cas précis, ont précisé les deux responsables, l'Inde veut que Dassault Aviation investisse au moins 30% de la valeur du contrat par le biais notamment de l'achat de composants pour sa production en France, mais aussi par l'installation d'usines en Inde et par de la formation aux emplois de haute technologie.

   | A lire : Défense, le quitte ou double des transferts de technologies

La France s'est dite prête à satisfaire les demandes d'offsets mais a souligné qu'il lui faudrait du temps pour mettre en place un réseau de distribution en Inde pour ses composants, par exemple, renchérissant le coût du contrat, a déclaré l'un des responsables.

L'Inde, confrontée à la montée en puissance militaire de la Chine et du Pakistan, accuse 19 années de retard dans son programme national de construction d'avions de combat légers, la certification finale du premier avion n'étant prévue que pour mars 2016.

Car, en dépit de sa volonté de fabriquer localement, l'Inde peine à développer ses propres programmes.

   | Lire : "Make in India" : quand New Delhi ne joue pas vraiment le jeu (fév. 2015)

02/06/2015 Michel Cabirol – LaTribune.fr

Le PDG de Dassault Aviation vise un quatrième contrat Rafale d'ici à la fin de l'année. Eric Trappier assure que l'Inde pourrait commander de nouveaux Rafale après la signature du premier contrat (36 appareils).

"On ne va pas s'arrêter à deux ou trois contrats Rafale. Les astres étant plutôt bien alignés maintenant, on va essayer de pousser l'avantage pour avoir un quatrième contrat (...) avant la fin de l'année", a lancé ce mardi le PDG de Dassault Aviation, Eric Trappier. Après ceux décrochés en Égypte et au Qatar pour un total de 48 avions de combat, un quatrième contrat qui pourrait être signé au Moyen Orient, vraisemblablement aux Émirats Arabes Unis (EAU). "D'autres pays ont manifesté leur intérêt pour le Rafale. Nous y travaillons. Signer d'autres contrats en 2015? Oui, c'est possible", avait-il déjà déclaré début mai au "Figaro" dans une interview.

L'Inde ne va pas s'arrêter à 36 Rafale, selon le PDG de Dassault

Déjà faudrait-il qu'il signe un contrat avec New Delhi d'ici à la fin de l'année... En Inde (36 Rafale), la commande pourrait être signée à la fin de l'été. Il resterait deux à trois mois de négociations mais certains observateurs misent plus surement pour début 2016. En tout état de cause, les négociations sur l'achat par l'Inde de 36 avions de combat Rafale seront probablement suivies de discussions sur un deuxième contrat, a assuré Eric Trappier. "On verra la deuxième étape quand ces 36 seront signés, comment on abordera la suite des événements", a-t-il expliqué en marge de la présentation du nouvel avion d'affaires Falcon 5X aux clients et prospects, à Mérignac (Gironde).

« Je ne suis pas déçu de passer de 126 à 36, mais plutôt content de passer de 18 à 36 fabriqués en France », a-t-il assuré.

"Les besoins de l'armée de l'air indienne, on le sait, dépassent, et de loin, le nombre des 36", a expliqué le PDG de Dassault Aviation, répondant à des propos prêtés au ministre indien de la Défense, selon lesquels New Delhi n'a pas l'intention d'acheter plus que 36 Rafale en raison du coût jugé élevé de ces appareils. Le ministre indien, Manohar Parrikar, est "en pleines négociations", a commenté Eric Trappier. Il a précisé que la suite des discussions, qu'il espère voir déboucher rapidement, devrait comprendre une fabrication en partie en Inde, cette fois avec un choix des sous-traitants par Dassault.

Des besoins immenses

Dassault discute avec l'Inde depuis début avril d'un contrat portant sur 36 Rafale construits en France, qui remplace une commande de 126 Rafale, qui était en négociations depuis janvier 2012 et qui a achoppé sur des divergences concernant les garanties des appareils (108) qui devaient être construits en Inde. Un contrat qui illustrait parfaitement la stratégie de New Delhi d'indianiser son industrie de défense avec le slogan "Make In India" le thème majeur" de la dernière édition du salon Aero India, qui s'est tenue en février.

New Delhi doit remplacer une partie de sa flotte d'avions de combat, aujourd'hui obsolète, notamment ses vieux Mig 21, un avion à la fois rudimentaire et performant mais qui date de la guerre froide (le plus produit au monde 11.000). Les premiers MiG-21 sont entrés en service dans l'armée de l'air indienne en mars 1963. Puis, ils ont été fabriqués en Inde sous licence entre 1977 et 1984 et 125 d'entre eux ont été modernisés en 2000. Entre 2003 et 2013, l'armée de l'air indienne (Indian Air Force), quatrième puissance aérienne mondiale, a perdu 38 MiG-21. C'est en grande partie pour cela que l'Inde a lancé en 2009 un appel d'offre baptisé MMRCA (126 avions de combat + une tranche optionnelle de 64 à 74 avions) pour renouveler une partie de sa flotte de combat.

Pour protéger ce pays immense, New Delhi doit donc renforcer ses systèmes de défense face à son vieil ennemi de toujours, le Pakistan, et surtout face à la montée en puissance militaire de la Chine, considérée comme une menace à moyen-long terme (notamment à la frontière nord où les Chinois les avait déjà attaqués en 1960).

01 juin 2015 Par Julien Bonnet - Usinenouvelle.com

Le ministre indien de la Défense a indiqué ce dimanche 31 mai que l'Inde n'achètera pas de Rafale supplémentaires, l'avion de Dassault Aviation étant "beaucoup trop cher". Des déclarations qui éloignent l'hypothèse d'une acquistion par l'armée indienne d'un total de 126 Rafale évoquée depuis 2012.

Après l'achat de 36 Rafale signé lors de la visite du premier ministre indien Narendra Modi mi-avri en France, un contrat estimé à plus de 5 milliards d'euros, l'Inde ne devrait finalement pas "craquer" pour de nouveaux exemplaires de l'avion de chasse de Dasault Aviation.

"Nous n'en achèterons pas d'autres, (...) seulement les 36", a indiqué ce dimanche 31 mai le ministre indien de la Défense, Manohar Parrikar, à l'agence de presse indienne PRI, jugeant l'avion de chasse français "beaucoup trop cher". Les précédents projets gouvernementaux indiens d'acquérir 126 Rafale de la firme Dassault se sont révélés "économiquement non viables, et pas nécessaires" pour ce pays, a-t-il ajouté.

Pour illustrer son propos, le ministre joue la carte de la métaphore automobile : "j'aimerais moi aussi avoir une BMW et une Mercedes, mais je ne les ai pas. Premièrement je ne peux pas me le permettre, et deuxièmement je n'en ai pas besoin", a-t-il déclaré. Concernant l'achat des 36 Rafale, Manohar Parrikar a indiqué qu'un comité franco-indien chargé de définir les détails de ce contrat devrait achever son travail d'ici deux ou trois mois.

10 avril 2015 Romandie.com (AFP)

Vallon-Pont-d'Arc (France) - Le président François Hollande a dit vendredi espérer avancer sur une vente de l'avion de combat français Rafale à l'Inde, lors de sa rencontre dans l'après-midi à Paris avec le Premier ministre Narendra Modi, même s'il y aura d'autres rencontres.

Je souhaite, mais il n'y a pas non plus de date limite, que nous puissions avancer au cours de la visite du Premier ministre Modi, mais il y aura d'autres rencontres et nous verrons bien comment nous pouvons finaliser ce possible contrat, a déclaré le président français, interrogé par l'AFP lors d'un déplacement dans le sud de la France.

Selon lui, beaucoup de discussions ont été engagées depuis déjà plusieurs semaines alors que Français et Indiens réfléchissent depuis longtemps à ce qu'(ils peuvent) faire ensemble pour l'avion Rafale.

Je pense que sur ces affaires-là, il vaut mieux dire la chose quand elle est conclue plutôt que de faire des annonces qui pourraient être contraires à l'intérêt de notre pays et en tout cas, contraires à l'intérêt de l'Inde, a souligné M. Hollande.

Le gouvernement indien est en négociations exclusives avec Dassault depuis janvier 2012 pour l'achat de 126 Rafale, dont 108 fabriqués en Inde, pour un montant alors estimé à 20 milliards de dollars.

Mais le gouvernement de Narendra Modi, arrivé au pouvoir en mai, a soufflé le chaud et le froid sur l'avancée de ces discussions complexes.

Dassault a décroché en février son premier contrat pour le Rafale, pourtant entré en service en 2004 dans les forces armées françaises, avec la vente de 24 avions de combat à l'Egypte.

March 23, 2015 by Shiv Aroor - Livefist
 

Intensifying since the turn of the new year, you couldn't possibly have missed the roar of AL-31s in all talk of India's turbulent final dash for a Rafale jet deal. It's unmissable. The fact that the Su-30 MKI was pushed into the M-MRCA conversation by none other than India's defence minister ensured the notion strengthened quickly, unscathed by intrigue and rumours. And then, it exploded.
 

On the evening of December 30, when Manohar Parrikar suggested to reporters that 'additional Su-30s' could save the IAF in the event that 'complications'-ridden negotiations with Dassault Aviation for 126 Rafale fighters didn't end in a purchase contract. That the seed of the idea came from the proverbial horse's mouth, and not South Block hearsay, gave it furious immediacy.

The suggestion caught the Indian Air Force completely off guard, flying as it did in the face of an unusually defiant stance the IAF leadership had decided on in 2012 about there being 'no Plan-B' in the event that the Rafale failed. But this time, the IAF resisted an immediate rebuttal. This was, after all, the Defence Minister who had weighed in. But what truly unnerved the IAF -- and several planners within the MoD -- was that Parrikar had gone out on a limb less than two months after being handpicked as Defence Minister. His specific comments on the negotiations revealed three things: One, that he'd hit the ground running and was fully abreast of the negotiations and where they were stuck. Two, that he was fully willing to question for the first time the presupposition both within the MoD (and especially the IAF) that there would was likely to be extended turbulence, but a deal would finally be signed. Finally, and perhaps most importantly, it showed that Parrikar has been empowered by the PM to lead decision-making on a deal that's so large that it has everything to do with the political leadership, and little to do with the act of hardware procurement.

But there was blood in the water that couldn't be ignored. If Parrikar's pre-New Year comment sparked a fire, he pretty much flung a barrel of gasoline at it two weeks later when in an interview to Karan Thapar on Headlines Today, he said in response to a question on the possibility of the Rafale deal not working out, "Sukhoi-30 choice is always there. What I mean to say is: upgrade the Sukhoi-30, make it more capable."

The latch-on was instantaneous. Hours after Parrikar's comments were broadcast, Russian think-tank the Center for Analysis of World Arms Trade declared on Jan 13 that India's potential choice of more Russian Su-30 MKIs instead of Rafales would "advantageous to the country’s air force in terms of cost, tactical and technical characteristics of the plane and a series of other reasons". For good measure, the Russians stoked France's controversial hold-back of Mistral-class amphibious intended for Russia. The example had been broached before, but Moscow really ground it in this time.

A month later, Livefist learns, a concerted effort was made by Russia's mission & trade office in New Delhi to pull India's External Affairs Ministry into the conversation. The specifics of what was on the table isn't fully known. A curious Russian media report quotes junior minister in the MEA, former Army chief, Gen (Retd.) Vijay Kumar Singh as having said that the Su-30 was cheaper than the Rafale and more reliable.

In February, with the Su-30 vs. Rafale debate stewing for nearly two months to the consternation of Dassault, IAF chief Arup Raha was fairly buttonholed into saying, "There's M-MRCA and there's Sukhoi-30. The requirements are slightly different. And they have their own capabilities. They compliment each other but do not replace each other." A statement, it was immediately clear, that practically subverted what the Defence Minister had suggested.

At Aero India 2015, where the IAF chief made that comment, the spotlight also shined on friction between Sukhoi and the IAF over the unexplained seat ejection that caused the type's fifth accident last year. The Russians weren't happy. "When we are wrong, we will say so. When the Indian pilot is wrong, the IAF should not be shy to admit that," an irritated UAC officer told me at the time.

Dassault Aviation and the French government were always prepared for rumblings of power-play and suggestive pressure from the Indian MoD, but the speed at which the conversation heated up caught all involved by surprise. For Dassault, it would now be fighting on two fronts -- one with a confident new government that promised quick action either way. And two, with the Russians, India's largest supplier of military hardware, practically invited into the tense last lap of the M-MRCA fight by the Indian MoD. The French Defence Minister, who visited Delhi last month for the second time in less than two months, didn't bring up the Su-30 MKI. The French didn't have a direct play, political or otherwise. It was felt that things were too delicate at the negotiations table to poke at something that was, Paris understood, a direct message that India wasn't going to budge on final sticking points. Informed that it needed to work on a joint liability matrix with HAL for the license build programme, Dassault decided to bide its time.

Of course, by this time, plenty of journalism in India, Russia and France -- and the furious online military aviation subculture -- had gotten the Rafale and Su-30 to dogfight on paper. It wasn't until March that France's patience cashed out. It was a veritable neutron bomb on the Su-30's two month supercruise through arms & diplomatic circles, and even the French couldn't have expected such a break: a statement by Defence Minister Parrikar himself that the Su-30 fleet had serious problems.

For Dassault and the French government, the new conversation was 

Here's the latest state of play:

1. Russia smells real blood. Through their Trade Office and the Embassy, an existing conversation about additional numbers of the Su-30 & upgrades of earlier units has been re-energised with the additional sweetener of a markedly higher degree of local content and sourcing on any additional Su-30s India may choose to license build in Nashik.
2. Livefist can confirm that Russia has also offered India the Su-35 'Super Flanker', but kept the details open. The type is officially on the table now with Russia inviting India to help configure a Su-35 'MKI'.
3. Russia is attempting to contain the twin damage of (a) information about engine trouble and fleet availability. Rosoboronexport has begun discussions with the IAF and HAL. And (b) the issue of the mysterious seat ejections. Both sides have decided to sort out the issue cordially and in private. It doesn't want to lose the momentum it received from the initial suggestion that more Su-30s could cushion the potential collapse of the M-MRCA.
4. Dassault and HAL are currently working at a furious pace to have something to show to the MoD in the next one week, though it remains unlikely that there will be anything for Prime Minister Modi & President Hollande to announce next week in Paris.
5. On March 18, Defence Minister Parrikar said, "They have to tell us whether they can do it or not. Can’t keep waiting."

March 9, 2015 Defense News

Now that Paris has shelved plans to deliver two helicopter assault ships to Russia, Moscow is working overtime to convince India to dump plans to buy French fighters and instead buy a new Sukhoi jet.

In 2012, New Delhi tapped Dassault's Rafale as its next fighter, with plans to acquire 126 of the twin-engine jets for $12 billion. At the time, Indian officials said the French jet would help them reduce their reliance on Russian equipment (India also flies French Mirage 2000 jets as part of a longstanding policy to avoid exclusive dependence on Moscow for military hardware).

By choosing Rafale, India also gains access to cutting-edge technology to advance its aerospace and defense industries.

But talks have stalled over price and who would bear responsibility for Rafales license-produced in India by Hindustan Aeronautics Ltd.

Russia is irked that its once-close ally has invested tens of billions of dollars on American transports, helicopters and maritime patrol planes and now is about to buy French jets.

At the recent IDEX trade show in Abu Dhabi, Rostec CEO Sergey Chemezov announced that Russia and India had inked a deal to co-develop a new version of Sukhoi's Su-35. Indian officials, however, say Russia has pitched the jet, but have not yet agreed to move forward on the project.

The Su-35 is a formidable aircraft and an improvement over India's Su-30s, but the Rafale is superior as a system, with greater mission capability and reliability. And its technology is more likely to serve as a foundation for a more competitive Indian defense and aerospace industry.

The entire rationale behind the Rafale deal wasn't to get the least expensive fighter to meet India's needs, but the aircraft that would best satisfy the nation's long-range military needs as well as its industrial interests.

February 25, 2015 by Shiv Aroor - Livefist

The Indian government is understood to have made it clear that it is no longer a question of whether Dassault Aviation will underwrite the 108 Rafales that HAL proposes to license-build in Bengaluru (a top MoD official indicated to Livefist that the RFP was explicit about this), but a question of how it will do so. Yesterday's hour-long deliberations at the MoD involved discussions on possible options. In very limited conversations with all sides, the following threads become apparent:

• Dassault and HAL will need to hammer down licensee/licensor modalities that will pave the way for a possibly complex matrix of agreements on the central issue of liability. It's clear now. It is this set of agreements that will provide a solution to the guarantee issue. The question is how long it would take to do this.
• Second, the extent of inspection and post-manufacture testing of equipment at HAL that would be the minimum required for Dassault to underwrite HAL-built jets.
• Whether there are any financial implications to additional understandings between HAL and Dassault for the process of underwriting jets produced on the former's production line in Bengaluru. Also, financial implications of the transfer of liability as a result of any additional agreements between HAL and Dassault.
• Both sides appear committed to finding a solution before Prime Minister Modi's visit to Paris in April, but is that a realistic time-frame? Sources suggest HAL and Dassault have already held extensive discussions on the liability issue and should be in a position to move quickly.

Les négociations restent délicates entre le groupe français Dassault et le gouvernement indien (photo Dassault Aviation)

25 février 2015 45eNord.ca (AFP)

Le ministre français de la Défense, Jean-Yves Le Drian, a rencontré mardi à New Delhi son homologue indien pour tenter de relancer les négociations sur le méga-contrat de vente de 126 Rafale à l’Inde.

M. Le Drian a rencontré Manohar Parrikar à l’occasion d’une brève visite en Inde survenue deux mois avant le voyage du Premier ministre Narendra Modi en France.

Les deux délégations se sont rencontrées aujourd’hui pendant 45 minutes. La rencontre s’est bien passée, a déclaré le porte-parole du ministère indien de la Défense, Sitanshu Kar. Il n’a pas donné d’autres informations.

La France essaye de convaincre New Delhi de conclure des négociations entamées il y a trois ans mais qui semblent marquer le pas.

Les discussions devaient porter sur la situation internationale et des questions d’ordre industriel, avait dit avant la rencontre le ministère français de la Défense.

Le gouvernement de Narendra Modi, arrivé au pouvoir en mai, souffle le chaud et le froid sur l’avancée de ces discussions complexes portant sur l’achat de 18 appareils fabriqués en France et 108 autres en Inde sous la conduite du groupe public HAL.

Le ministre indien de la Défense, qui assurait en décembre vouloir résoudre de manière accélérée les points de blocage, a évoqué pour la première fois fin 2014 l’éventualité d’un échec en assurant que le recours aux avions de chasse russe Sukhoi était une option.

M. Parrikar a en outre repoussé la perspective d’une conclusion rapide des discussions en déclarant vouloir attendre un nouveau rapport sur les coûts du Rafale.

Ce rapport du Contract Negotiations Committee (CNC) est attendu d’ici à début mars et doit permettre de prendre une décision sur l’acquisition du Rafale. Le CNC est en train de revoir les coûts à long terme de l’avion de combat, a dit le ministre mercredi lors du salon aéronautique et de défense de Bangalore (sud).

Le quotidien économique indien Business Standard a récemment affirmé que ce comité avait conclu que le Rafale était en fait plus cher que son concurrent européen malheureux, le Typhoon de l’Eurofighter. Selon le journal le contrat est effectivement mort.

La semaine dernière, la France a signé avec l’Égypte le premier contrat d’exportation de l’avion de combat de Dassault, portant sur 24 exemplaires.

Arrivé en Inde lundi soir, le ministre français devait en repartir mardi après-midi.

February 24, 2015 idrw.org Source Asian Age

India and France are hoping for a major breakthrough on Tuesday on the proposed multi-billion dollar 126 medium multi-role combat aircraft (MMRCA) deal when visiting French defence minister Jean Yves Le Drian will hold a 90-minute crucial meeting with defence minister Manohar Parrikar.

Talks are stuck on contract-negotiation with French firm Dassault — manufacturer of the Rafale aircraft — after certain problems allegedly cropped up regarding acceptance of complete responsibility by the French firm for the 108 aircraft (out of 126) that will be manufactured in India by the lead integrator—stae-run HAL.

Sources said France could agree to firmly adhere to standard operating procedures (SOPs) regarding the manufacture of the 108 aircraft in India but French sources said it is up to HAL to stick to deadlines.

In the proposed deal, 18 aircraft will be supplied in “fly-away” condition by Dassault. Work had already begun earlier on the draft for the proposed deal amid speculation that the deal could be to the tune of about $20 billion when it is inked. Dassault was earlier selected as the “L-1” (lowest financial bidder) among the two firms selected after the completion of the technical trials.

The IAF is eagerly looking forward to clinching the deal to bolster the number of its fighter squadrons. It remains to be seen whether the French Government provides any guarantees to India to clinch the deal during the talks on Tuesday which is being seen as a make-or-break attempt to reach an agreement on the deal. If talks are successful, the proposed draft of the deal is expected to be placed before the Cabinet Committee on Security (CCS) for clearance before the deal is formally inked with Dassault. The Modi Government is going all-out to ensure that crucial defence acquisitions are not delayed.

February 17, 2015 Rediff.com (Business Standard)

Air force brass is ignoring a project to develop a fifth-generation fighter for fear it will take attention away from buying the Rafale. Ajai Shukla reports

The priceless Indo-Russian project to co-develop the eponymous Fifth Generation Fighter Aircraft is dying of neglect. With the Indian Air Force brass focused single-mindedly on procuring 126 Rafale fighters, the air marshals fear that an FGFA on the horizon would undermine their argument that the Rafale is essential. With the costly Rafale procurement imploding in slow motion, the FGFA is becoming collateral damage.

In October 2012, then IAF boss, Air Chief Marshal N A K Browne, announced the IAF would buy only 144 FGFAs instead of the 214 that were originally planned. Having cut down the numbers, the IAF is now undermining the FGFA project itself.

After the apex Indo-Russian Inter-Governmental Commission for Military Technical Cooperation met on January 22 to discuss military cooperation, IAF officers whispered to a gullible media that the FGFA was dead. It was reported that Defence Minister Manohar Parrikar had told his Russian counterpart that joint research and development was a waste of time. This was factually incorrect. What is true is that the IAF -- for reasons that can only be guessed at -- is scuttling a project to develop a fighter that would rank alongside the world's best.

Why is the FGFA important, more so than the Rafale? It is a fifth-generation fighter, which makes it operationally more capable than contemporary fourth-generation fighters like the Rafale and the Eurofighter Typhoon. Gen-5 fighters are designed to be stealthy, which means enemy radar cannot detect them until it is too late. They "supercruise", i.e. fly at supersonic speeds without lighting engine afterburners (the Rafale can do this too); and Gen-5 aircraft have futuristic avionics and missiles. In a war with China, stealthy Gen-5 aircraft would be ideal for missions deep into Tibet, evading China's radar network, to destroy the Qinghai-Tibet railway and roads leading to the Indian border -- to prevent China from quickly switching troops around on its superior border infrastructure.

So vital was the FGFA considered to India's aerospace capabilities that, in October 2007, New Delhi and Moscow signed an Inter-Governmental Agreement to co-develop the fighter, which placed the project above defence ministry procurement rules. The IGA states that Hindustan Aeronautics Ltd would partner Rosoboronexport, Russia's defence exports agency, in co-developing the fighter. Furthermore, Indian engineers say the expertise gained from the FGFA would be valuable in building the planned indigenous Gen-5 fighter, designated the Advanced Medium Combat Aircraft.

Following the IGA, New Delhi and Moscow signed a General Contract in December 2008, stipulating general principles of cooperation such as the share of work and cost, and the sale of the FGFA to third countries. In December 2010, a preliminary design contract was signed in which both sides contributed $295 million towards finalising the fighter's basic configuration, systems and equipment. With that completed in June 2013, the central R&D Contract is now being negotiated. This will govern the bulk of the work - the actual design and development of the FGFA.

Even as the IAF stonewalls the R&D contract negotiations, the need for India to come on board grows ever more pressing. Russia has already designed, built and flown the first prototypes of a Gen-5 fighter they call the PAK-FA (Perspektivny Aviatsionny Kompleks Frontovoy Aviatsii, or "Prospective Airborne Complex of Frontline Aviation"). The PAK-FA, built to Russian Air Force specifications, has already completed 650 test-flights. India's work share will lie in adapting this fighter to the IAF's requirements -- which include advanced capabilities like all-round radar that can detect threats in a 360-degree envelope, and voice recognition software that allows the pilot to call out commands. In all, the IAF has specified some 40-45 improvements that they want over the PAK-FA. Indian designers, who will have to integrate these improved capabilities with the existing PAK-FA, are losing out by not participating in the on-going design and test flying in Russia.

Gen-5 fighters are designed to be stealthy, which means enemy radar cannot detect them until it is too late.

The IAF's objections to the FGFA are (a) The Russians are reluctant to share critical design information; (b) The fighter's current AL-41F1 engines are inadequate, being mere upgrades of the Sukhoi-30MKI's AL-31 engines; and (c) It is so expensive that "a large percentage of IAF's capital budget will be locked up." It is ironical that an air force that is eager to spend an estimated $20 billion on the entirely foreign, Gen-4 Rafale is baulking at spending a fraction of that on co-developing and indigenously manufacturing a Gen-5 fighter, which can be maintained and upgraded cheaply for decades to come.

An entire mythology has come up around the cost with even senior air marshals incorrectly stating that India will spend $11 billion on the FGFA. Even this inflated figure would be modest compared to the $40 billion that America spent in the 1980s and 1990s to develop the Gen-5 F-22 Raptor. Yet, in fact, this $11 billion figure was a defence ministry estimation in 2010, which included numerous items that have nothing to do with R&D. Firstly, the amount included both Russian and Indian expenditure; second, it included several options that India may not require, e.g. $1.5 billion for developing a twin-seat FGFA (which the IAF now says it does not want), and $1.5 billion for a new engine. Third, this included the cost of infrastructure that India must establish to manufacture the aircraft in large numbers for the IAF.

Since India urgently needs to start participating in the flight-test programme, of which the PAK-FA has already completed some 20 per cent, Sukhoi would have to build another prototype for India. That cost too is included in the estimation, along with the ground support equipment and training needed for a full-fledged Indian flight-test programme. With all of this factored in, officials closely involved in the negotiations say that India's share in the project could be about $3.5 to 4 billion.

Both sides have already talked around the R&D contract in such detail that it can be concluded in one sitting, provided Indian negotiators are given the green light from a clear-minded political leadership. The FGFA perfectly fits the "Make in India" idea; the strategy of being ready for a two-front conflict; and the IAF force structure of the future. From the standpoint of negotiation strategy, the timing is perfect. The rouble has plummeted more than 60 per cent against the dollar and the rupee in the last five months after the Ukraine crisis. The Russians will agree to the lower dollar rate that New Delhi has been proposing. The time to strike is now.

Armement - Le Premier ministre indien Narendra Modi va-t-il faire entrer l'Inde dans une ère moderne en matière d'acquisition d'armes?

09/02/2015 Michel Cabirol – LaTribune.fr

Contrats cassés, négociations qui traînent, appels d'offre annulés, exigences extravagantes... L'Inde ne ne comporte vraiment pas en pays responsable en matière d'achats d'armements.