Terming the UPA government’s $20-billion deal for the purchase of 126 Rafale fighter planes as “economically unviable”, Defence Minister Manohar Parrikar on Sunday said that the NDA government will buy only 36 of the French aircraft.
“We are not buying the rest. We are only buying the direct 36 fighter jets. The deal for 126 Rafales, done by the UPA government, was too expensive and it would have hampered other moderanisation plans of the Indian military,” Parrikar said. He added that the deal would have required around Rs 1.3 lakh crore over a period of 10-11 years.
Talking about India’s plan to buy 36 ready-to-fly Rafale jets from France’s Dassault Aviation, announced last week by Prime Minster Narendra Modi, Parrikar raised questions on the tendering process that was initiated by his predecessor AK Antony, adding that he had hammered the tender in such a way that the Rafale deal would have never seen the light of the day.
As the apex body of the Defence Ministry takes the call on military projects, Parrikar said: “The deal is yet to be inked.” He expressed confidence that the committee, that has been set up to work out the contract, would complete the task in the next 2-3 months. Last month, during a visit to France, the PM had announced the decision to buy 36 fighter jets in flyaway condition under government-to-government contract.”
The Modi government has scrapped the over $20-billion deal for 126 Rafales more than three years after Dassault was declared the lowest bidder under the UPA’s tenure.
The Minister said India had fast-tracked the purchase of 36 Rafale fighters - two squadrons - as the Indian Air Force desperately needed additional jets to plug out critical gaps. The original agreement in 2012 to buy 126 jets, only 18 of them in flyaway condition, was stalled for three years over cost and a dispute over the assembly of the other 108 aircraft in India.
Parrikar indicated that the cost per jet would now be cheaper.
“Buying 126 (fighters) would cost India about Rs 1 lakh crore. Can we spend so much money on a high-end fighter?” Parrikar asked, adding, “You don’t agree to a Rs 1 lakh crore deal” without working out how and from where the money will come.”
He added: “A Defence Minister needs to monitor, but that was hardly the case. The Narendra Modi government would now review acquisitions worth Rs 5,40,000 crore cleared by the previous government. We will first acquire only equipment and weapon systems that are critical for the three forces. We are in the process of weeding out the rest,” he said.