France has submitted a technical and commercial proposal to supply India with 114 Rafale fighter jets in a deal valued at ₹3.25 trillion, approximately $34 billion, ANI reported on Thursday.
India’s Defence Ministry and Air Force are evaluating the government-to-government proposal, which responds to a formal request sent to France in May. No final contract has been signed.
Under the proposed arrangement, 94 aircraft would be manufactured in India through local industry partnerships. Dassault Aviation, MBDA, Safran and Thales would participate in the production programme, potentially creating business worth ₹1.6 trillion for Indian companies, including Tata and Larsen & Toubro. Moneycontrol
Indian officials will also assess the integration of locally developed weapons, including variants of the Astra air-to-air missile, and the level of indigenous content offered under the deal.
India currently operates 36 Rafale fighters acquired under a 2016 agreement and signed a separate contract in April 2025 for 26 carrier-based Rafale Marine aircraft. The proposed acquisition would help address the Air Force’s fighter-squadron shortage as older Russian-origin jets are gradually retired. Associated Press
The proposal marks a significant step in the procurement process, but technical reviews, price negotiations and final government approval remain necessary before the agreement can proceed.
