India clears Rs 3.25 lakh cr deal for 114 Rafale in its biggest military buy

New Delhi: In one of the biggest defence acquisitions in the country’s history, India has approved a proposal worth Rs 3.25 lakh crore to procure 114 Rafale fighter jets for the Indian Air Force (IAF).

The clearance was granted by the Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, which accorded Acceptance of Necessity (AoN) to the programme. The decision comes ahead of French President Emmanuel Macron’s forthcoming official visit to New Delhi.

The Defence Acquisition Council (DAC), led by Defence Minister Rajnath Singh, on Thursday approved the procurement of 114 Rafale fighter jets, the DAC accorded Acceptance of Necessity (AoN) to the programme. The decision comes days ahead of French President Emmanuel Macron’s visit to India. Following the Defence Ministry’s approval, the acquisition will require final clearance from the Cabinet Committee on Security, chaired by Prime Minister Narendra Modi.

The announcement came as the IAF is facing an acute squadron shortfall, operating around 29 fighter squadrons against a sanctioned strength of 42 amid rising threat perceptions along India’s western and northern borders.

Under the plan, 18 jets will be procured in fly-away condition off-the-shelf from French defence manufacturer Dassault Aviation, while the remaining 96 will be assembled in India. Around 80 per cent of the fleet is projected to be manufactured domestically, with indigenous content potentially reaching 60 per cent under the Make in India initiative, according to sources.

The IAF will induct 88 single-seat and 26 twin-seat variants, sources said. Dassault Aviation is likely to partner with Indian private sector companies for local manufacturing, assembly, and support, strengthening India’s domestic defence production ecosystem.

The Air Force received its first five Rafale jets at Air Force Station Ambala in July 2020, later formally inducting them. Currently, India operates two Rafale squadrons: No. 17 “Golden Arrows” in Ambala, Haryana, and No. 101 ‘Falcons’ in West Bengal’s Hasimara, with the latter officially commissioned in July 2021.

Separately, India has ordered 26 Rafale ‘M’ variant aircraft for the Indian Navy in a deal valued at Rs 63,000 crore. These naval aircraft will operate from the aircraft carriers INS Vikrant and INS Vikramaditya. Following the Defence Ministry’s approval, the acquisition will require final clearance from the Cabinet Committee on Security, chaired by Prime Minister Narendra Modi.

For the Army, AoN was granted for the procurement of Anti-Tank Mines (Vibhav) and for the overhaul of vehicle platforms of Armoured Recovery Vehicles (ARVs), T-72 tanks and Infantry Combat Vehicles (BMP-II).

The Vibhav anti-tank mines are intended to be laid as part of an anti-tank obstacle system to delay the advance of enemy mechanised forces. The overhaul of ARVs, T-72 tanks and BMP-II vehicles is expected to extend the service life of these platforms.

For the Navy, the DAC cleared AoN for a 04 MW Marine Gas Turbine-based Electric Power Generator and for additional P-8I Long Range Maritime Reconnaissance Aircraft.

The acquisition of additional P-8I aircraft will enhance the Navy’s long-range anti-submarine warfare capability, maritime surveillance, and maritime strike functions.

For the Indian Coast Guard (ICG), AoN was accorded for the procurement of Electro-Optical/Infra-Red systems for Dornier aircraft.