2 Rafale Per Month: Dassault Seeks Full Control of India Facility, Promises Speedier Production

2 Rafale Per Month: Dassault Seeks Full Control of India Facility, Promises Speedier Production


Dassault Aviation, the French company behind the powerful Rafale fighter jet, has its eyes on a bigger piece of India's growing aerospace industry. They've made a bold move, offering to start building Rafales right in India – but there's a catch. Dassault wants full control of its existing Indian partnership, Dassault Reliance Aerospace Ltd (DRAL).

The Promise: Faster Jets for India​

Why does Dassault think this is a good deal for India? They claim that with full ownership, they could ramp up production and build two Rafale jets every month at their Indian facility. That's huge! If they keep that pace, India could get all 114 jets it wants for its upcoming fighter jet competition in just five years.

A Reality Check​

Hold on a second, says a defense analyst. He points out that Dassault's factory in France only managed to produce 13 Rafales in 2023, even though they aimed for 15. Could they really do so much better in India? Analyst also thinks that Dassault might be able to build even more jets (around 25 per year) in other countries.

Politics and Timing​

There's also the matter of India's upcoming elections. The official request for companies to compete for that big fighter jet contract probably won't happen until after the elections. This adds another layer of "wait-and-see" to the whole situation.

The Bottom Line​

Dassault wants to bring more investment to India's defense industry. But, there are questions! Can they really build jets as fast as they say? And, when will India even officially start that big jet fighter competition? India's government and air force will have a lot to think about as they weigh Dassault's offer against other options.
 
It's not a conspiracy but a corporate move based on existing laws. GoI recently allowed 100% FDI in defense. Even Saab is said to be considering this route. So this is very much allowed by GoI itself. GoI must close off this loophole.
But what is the point of getting more rafales if TOT is not there for key tech? Either India should make Rafales with Kaveri engine in which case, why would India want French company to make the planes at all?
 
Well Dassault did a great job of ToT and offsets in the Rafale deal. Same for Scorpene. So the history is rather inspiring.
Unless critical parts & data is given, it is not really useful. Half TOT for simple tech is practically useless when India can do it by itself. Either give the critical tech or get lost.
 
Observing the history of Dassault it is hard to believe their intentions in making Bharat self reliant. At least,there is no such evidence except to exploit defence marker of Bharat. Equally, Indian side is also faulty in not absorbing ToT . Su-30 mki , HDW and scorpenes submarines deals are glaring examples . Bharat can accept a delay of few years in indigenous platforms but can't rely on foreign suppliers for its critical defence needs . Do you really expect that our notorious defence acquisitions process will deliver MRFA within 10 years?
France refused to give basic helicopter engines for ALH despite 40 years of JV for helicopters. Why would you expect them to give Mirage engines or radars or other electronics to India?
Even if MRFA is delivered, without TOT for key tech, it will only create eternal dependency. As we saw in Iraq war of 1991, Iraq had 5th largest army in the world (after USA, Russia, China, India) but was crushed quickly as USSR had collapsed and it could not get spare parts supply for its equipments
 
You can lie , but next year they will make nothing and the next too. Rafale order is in future not present.
What was the lie i uttered ? UTTAM RADAR is planned to be integrated from 41st TEJAS MK1 A according to MD of HAL. ASTRA MK2 and MK 3 are work in progress. METEOR is a reality. THALES RBE 2 AESA RADAR is a reality. Did i say anything negative either about ASTRA or UTTAM RADAR. If UTTAM RADAR and ASTRA variants are operational , I will be one among the million happy Indian citizen.
But at the same time I would go with what is available currently not with what can come tomorrow or the day after. Wars are won on superior weapons and strategies not on hopes.
 
I do not think any ToT payment will be involved if these planes are made in India by a company that is a 100% owned by Dassault.
All tech is transferred to DRDO if made in India. So, yes, there will be payment. But if it is only useless tech like landing lights, exhaust ports etc, then it is not needed
 
If India decides to do Rafales for MRFA (I have reservations) then Dassault must guarantee (with severe penalties) full TOT, F4 version and future upgrades, Indian weapons and sensor integration, domestic production (with indigenous suppliers) of at least 12 (1st year, rising to 18 and then 24 by year 3) within 3 years of contract signing and all planes in 5 years thereafter, on a fixed upfront price...I would suggest against 100% Dassault control, and require a JV say with TATAS of 49%, so we can have a long term player along with HAL...Of course Dassault will promise everything but we must be careful how we structure the contract and ensure not only commercial, but also technical, speed, cost guarantees including by the French Government (with TOT and Export Controls)....In the past we have done a poor job with Mirage 2000, Su-30 MKIs and we did not have a spine, hopefully now we do and must drive a good deal with national interest in mind.
Long term French are worse then Russians. At least we know how to upgrade Russian aircraft, but French re special breed of white elephants that makes them OEM dependent.
 
Buy one or two more Rafale squadrons and that is it. Let us speed up on AMCA and Tejas-2 instead. Of course, Rafael can buy out Anil Ambani share to be 100% owner of DRDL and export its products from here. That is welcome.
 
We should go for Rafales only when few critical conditions are met as it is a costly project atleast above 15 billions dollars even when that cost would be spent across a decade.
  1. We must link this project with Safran support for engine tech. We can negotiate the cost for it separately.
  2. Most important point is there must be a Indian local player from private industry as majority holder with Tot.
  3. If this deal materialize then Dassault must have capacity to deliver atleast a dozen plane starting from 2029-30. Otherwise it would clash with our indigenous project timelines. I know both of our project are under development and there are high chances of delay but we must take that gamble.
If none of the above points are met just simply go with 36 off shelf purchase and double down on homegrown project.
 
Carl Gustaf was already produced by OFB with some royalty fees to SAAB. So, there was no real TOT, just royalty replaced with direct profits
OFB was making older model of Karl Gustaf from 1980s. Saab facility is for Mark-4 that was introduced in 2017. If OFB was already producing it in India, then why someone will spend money to build a duplicate production line ?
 
All tech is transferred to DRDO if made in India. So, yes, there will be payment. But if it is only useless tech like landing lights, exhaust ports etc, then it is not needed
No. I have not heard of any provision of payment on ground of ToT. Neither have I heard of any clause that mandates that Technologies will be transferred to DRDO. However, GOI will have right/ privilege to come in and take over the factory, assets and intellectual property in national interest if GOI decides so at any time. This is a clause that has to be agreed by foreign company under current model.
 
What would be the benefit if 100% subsidiary of Dassault sets up shop here?. We will have to shell out higher money for regular maintenance and astronomical figures for mid- life upgrade. If at all we are going to produce Rafael's in India(which we should not, given Tejas MK2 and AMCA being developed). Better to have desi company absorb the tech, allow it 1 additional year for tech absorption in addition to the 3 years for the delivery of first jet. Do get the rights to upgrade the platform like we have for Su30 MKIs.
It would be economical for India to go for 2-3 squadrons for IAF and 26 nos for IN. Rafael's must come with desi upgrade rights.
 
Waste of money. Astra 3 and Uttam radar makes Rafale yesterday's technology.
Stealer Alert 🚨🚨🚨 you can easily tell from the fact that why they wanted 100% Stake on DRAL, this way they don’t need to give any TOT and also can safeguard any kind of knowledge going to Indian entities, that is very cunning, we should not be capitulated to this offer, unless we demand what we needed in the form of TOT ,if it is ‘0 TOT’ , then the jets should be priced at the exact price that French Airforce is paying.
 
If India decides to do Rafales for MRFA (I have reservations) then Dassault must guarantee (with severe penalties) full TOT, F4 version and future upgrades, Indian weapons and sensor integration, domestic production (with indigenous suppliers) of at least 12 (1st year, rising to 18 and then 24 by year 3) within 3 years of contract signing and all planes in 5 years thereafter, on a fixed upfront price...I would suggest against 100% Dassault control, and require a JV say with TATAS of 49%, so we can have a long term player along with HAL...Of course Dassault will promise everything but we must be careful how we structure the contract and ensure not only commercial, but also technical, speed, cost guarantees including by the French Government (with TOT and Export Controls)....In the past we have done a poor job with Mirage 2000, Su-30 MKIs and we did not have a spine, hopefully now we do and must drive a good deal with national interest in mind.
Didn’t you read the article properly, Dassault wanted to buy 100% stake of DRAL, this is the main condition, which means we will be buying from 100% Dassault, as no Indian entity is involved then it would be 0 TOT.0️⃣0️⃣0️⃣🚨🚨🚨 this would be 🚩🚩🚩.
 
No. I have not heard of any provision of payment on ground of ToT. Neither have I heard of any clause that mandates that Technologies will be transferred to DRDO. However, GOI will have right/ privilege to come in and take over the factory, assets and intellectual property in national interest if GOI decides so at any time. This is a clause that has to be agreed by foreign company under current model.
Every company must obey Indian govt when it comes to defence technology like tech transfer, equipment sales etc which indirectly require the technology to known by Indian government. Since you don't expect IAS officers or politicians to know tech, it is DRDO which will get it
 
India must concentrate on Integrated Air and Missile Defense architecture until enough fighters comes on stream.
With AkashNG, MRSAM, LRSAM, and S-400 interceptors in deployment, two enemies will be extra careful to attack India.
Again a fine idea, except surface to air missile bases air defense systems critically lack one key aspect or aerial engagement: "Identification Friemd or Foe". As such without IFF integrated a air defense system the ADA has no way of differentiating friendly's from foes and will blow out anything that flies including friendly fighters. Thus the cost of casualties caused due to friendly fire are too immense to bear.

This is not a pospective scenario anymore as the same thing actually happened during Balakot when Spyder ADS shot down a Dhruv helicopter.
 
OFB was making older model of Karl Gustaf from 1980s. Saab facility is for Mark-4 that was introduced in 2017. If OFB was already producing it in India, then why someone will spend money to build a duplicate production line ?
Older or newer model hardly has much difference. Both are simple RPG types with only minor improvements in weight and length. Also, paying no royalty & improving private defence industry could be the reason for allowing SAAB to set up factory. Defence industry has huge spare capacity which is not used but still has to be maintained for war contingency
 
Let me setup a separate r&d center in India, instead.
In fact ask them to reduce the ownership to less than 50%.
 
Astra Mk2 has completed development trials. So, it is pretty close, Astra Mk2 can do most of the job. Only difference will be Astra3 will have slightly longer range due to RAMJET but that is not critical since Astra 2 has 160km range anyways
Astra mk2 hasn’t even been test fired from a plane till date.
 
Unless critical parts & data is given, it is not really useful. Half TOT for simple tech is practically useless when India can do it by itself. Either give the critical tech or get lost.
Tell that to HAL then which is still importing half of the parts, including the most important stuff like engines and ejection seats, for Tejas. Get lost.
 
What was the lie i uttered ? UTTAM RADAR is planned to be integrated from 41st TEJAS MK1 A according to MD of HAL. ASTRA MK2 and MK 3 are work in progress. METEOR is a reality. THALES RBE 2 AESA RADAR is a reality. Did i say anything negative either about ASTRA or UTTAM RADAR. If UTTAM RADAR and ASTRA variants are operational , I will be one among the million happy Indian citizen.
But at the same time I would go with what is available currently not with what can come tomorrow or the day after. Wars are won on superior weapons and strategies not on hopes.
Look the logic is not correct that you make it sound that Rafale is like car dealership having no backlog and can buy as many you want.. Just ordering the things will take years, and further supplying them more time. Uttam is tested, and production variant is being made as already tested, Astra mk3 is in flight test as ground test have been done. Both products are awaited. Uttam should be by 2025 production variant, by 2026/27 the Astra mk3. So in no way rafale is available today, or next year, or the next making you statement incorrect, nor has any order for airforce variant placed that would legitimize that possibility. Your statement is speculative.
 
Every company must obey Indian govt when it comes to defence technology like tech transfer, equipment sales etc which indirectly require the technology to known by Indian government. Since you don't expect IAS officers or politicians to know tech, it is DRDO which will get it
Sorry I have not made myself clear. The current policy or proposal related to this specific case does not include any ToT to DRDO or to anybody so far as local manufacturing of Rafale is concerned. However, a clause is inserted saying that Govt can step in and acquire the facility, factory, intellectual property lock, stock and barrel in national interest. Such a step is considered to be an extreme one and is likely to be exercised in case of a war where France supports India's adversary, or in case Dassault fails to deliver the planes within the agreed time frame or with acceptable quality and capability etc. If it comes to that, Govt is not required to pay any compensation either. However, these are still in proposal/ discussion stage. We will wait and see what happens.
 
Sorry I have not made myself clear. The current policy or proposal related to this specific case does not include any ToT to DRDO or to anybody so far as local manufacturing of Rafale is concerned. However, a clause is inserted saying that Govt can step in and acquire the facility, factory, intellectual property lock, stock and barrel in national interest. Such a step is considered to be an extreme one and is likely to be exercised in case of a war where France supports India's adversary, or in case Dassault fails to deliver the planes within the agreed time frame or with acceptable quality and capability etc. If it comes to that, Govt is not required to pay any compensation either. However, these are still in proposal/ discussion stage. We will wait and see what happens.
How can the factory make Rafale without giving TOT to DRDO? Are you saying that it will assemble Rafales, not manufacture it? In that case, it is not useful
 
Tell that to HAL then which is still importing half of the parts, including the most important stuff like engines and ejection seats, for Tejas. Get lost.
That is called development, not foreign contract. India is trying a phased substitution. But buying directly from Dassault controlled factory means India won't have control on the phased indigenisation by replacing it part by part. That is the difference. If you can't understand this, you need to take a break
 

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