India has finalised a Letter of Request (LoR) for the acquisition of 114 Dassault Rafale multi-role fighter jets for the Indian Air Force (IAF), marking a major step forward in what is expected to become the country’s largest-ever defence procurement deal.

📻 Breaking It Down

The proposed agreement, estimated at about ₹3.25 lakh crore (approximately $38 billion), would also represent the single largest Rafale order globally if concluded.

According to defence reports, India is expected to formally send the LoR to France within the coming weeks under the Intergovernmental Agreement (IGA) framework used for government-to-government military purchases.

The LoR outlines India’s requirements, including aircraft numbers, operational capabilities and technical specifications. It is considered a preliminary procurement step before the formal Request for Proposal (RFP) stage, when Dassault Aviation will be invited to submit detailed technical and commercial bids.

📌 What You Need to Know

Of the 114 fighter jets, nearly 90 are expected to be manufactured in India through a partnership between Dassault Aviation and an Indian defence company, while the remaining aircraft will be delivered directly from France in fly-away condition.

The arrangement would establish the first Rafale production line outside France, in line with India’s “Atmanirbhar Bharat” self-reliance strategy and proposed Defence Acquisition Procedure 2026, which prioritises technology transfer and local industrial participation.

Although the Indian production partner has not been officially named, discussions are reportedly centred around existing Dassault-linked facilities in Nagpur and Hyderabad.

India’s Defence Acquisition Council cleared the proposal three months ago following the IAF’s preference for Rafale aircraft over rival American, Russian and European platforms.

The decision was strongly influenced by the IAF’s operational experience with the 36 Rafale fighter jets purchased under a 2016 deal, currently stationed at Ambala and Hasimara air bases.

India is targeting contract signing by the end of 2026, with deliveries expected to begin around 2030 if negotiations proceed on schedule.

📰 Source: Capital FM Kenya