Rs 3.25 lakh cr deal for 114 Rafales: Defence Ministry to discuss biggest fighter jet acquisition this week

The Defence Ministry is set to take up a proposal for acquiring 114 Rafale fighter jets from France in what would be the country's largest-ever defence deal, estimated at around Rs 3.25 lakh crore, news agency ANI reported on Tuesday.

The proposal will be discussed at a high-level Defence Ministry meeting scheduled over the next two to three days. Under the plan, the bulk of the aircraft would be manufactured in India, with an indigenous content of around 30 per cent. About 12 to 18 Rafale jets would be procured in fly-away condition for early induction into the Indian Air Force (IAF).

India is seeking the integration of Indian weapons and indigenous systems on the Rafale platform under the government-to-government agreement with France, the report said. However, source codes will remain with the French side.

If approved, the deal would significantly expand India's Rafale fleet to 176 aircraft, taking into account the 36 Rafales already inducted by the IAF and the 26 Rafale-M jets ordered by the Indian Navy last year.

The United States and Russia have offered their fifth-generation fighter aircraft - the F-35 and the Su-57, respectively - to the IAF. Despite these offers, New Delhi appears to be proceeding with the Rafale proposal.

Sources told the news agency that the decision to move the proposal came after the performance of the Rafale during Operation Sindoor, where the aircraft is said to have successfully countered Chinese PL-15 air-to-air missiles using its Spectra electronic warfare suite.

The French side is also planning to establish a maintenance, repair and overhaul (MRO) facility for the M-88 engines used by Rafale jets in Hyderabad. Dassault has already set up an entity in India to support the maintenance of French-origin fighter aircraft, and Indian aerospace companies, including Tata, are expected to play a role in manufacturing and support.

India has already placed orders for 180 LCA Tejas Mk-1A jets and plans to induct an indigenous fifth-generation fighter aircraft in large numbers beyond 2035.