The long-anticipated procurement of 114 multi-role fighter aircraft has encountered a fresh obstacle, with the Ministry of Defence identifying the Indian Air Force’s Statement of Case as “incomplete.” 

Officials have indicated that further consultation with Dassault Aviation is necessary before advancing the process. Sources underline that the Ministry is keen on ensuring the deal aligns closely with India’s Atmanirbhar Bharat initiative rather than a mere purchase arrangement.

The Rafale, a twin-engine omni-role fighter from the French aerospace major, remains a leading contender after proving its operational value within the IAF’s existing 36-aircraft fleet. However, the Ministry has signalled concerns over insufficient detail in the IAF’s proposal, particularly regarding manufacturing scale, localisation levels, and industrial participation.

Dassault, which also supplies aircraft to the Indian Navy, will now need to expand its offer framework to include specific commitments on local production.

A central sticking point is India’s insistence that the majority of the 114 aircraft must be produced domestically, with only a limited number arriving in flyaway condition. Negotiators expect that the French manufacturer will have to establish a full-scale assembly line within India in collaboration with local partners.

The Defence Ministry has also stipulated that the indigenisation component must exceed token levels, ideally approaching 75 percent, to create significant industrial value for both public and private defence-sector firms.

Dassault has reportedly expressed willingness to set up a maintenance, repair, and overhaul (MRO) hub in Hyderabad, which could serve as a keystone for long-term logistical and servicing capabilities. Yet, officials remain cautious, wanting the final structure to secure knowledge transfer, job creation, and sustained ecosystem growth — outcomes viewed as essential to the Make in India effort.

The previous Rafale acquisition, comprising 36 jets procured under a government-to-government agreement, is treated as distinct from this new tender. This procurement is intended to be a competitive commercial contract, potentially offering a wider industrial footprint within India. Historical contention points — including liability for production delays under a local assembly model and cost uncertainties — have re-emerged in the current round of deliberations.

Operationally, the IAF continues to face pressure from a shrinking squadron strength, now hovering around 30 squadrons against a sanctioned requirement of 42. The retirement of legacy fleets such as the Jaguar and MiG-29 compounds the shortfall.

While Hindustan Aeronautics Limited is expected to deliver 180 TEJAS MK-1A aircraft over the next seven to eight years, the induction of a complementary medium-weight fleet remains critical for maintaining aerial readiness.

In the evolving scenario, the Rafale and the Eurofighter Typhoon remain the only shortlisted candidates following extensive trials. With geopolitical imperatives and industrial self-reliance converging, the Ministry appears determined to extract a far higher degree of domestic production than originally envisaged.

The coming months are expected to determine whether Dassault can recalibrate its proposal to satisfy India’s twin demands of capability enhancement and industrial participation.

Based On Times Now Report