RAFALE OR RA-FAIL?

In the year 2000, the Indian Air Force for the first time asked the then ruling NDA government to provide them with Rafale aircrafts as the force was left with only 34 squadrons whereas the requirement was of 42 aircrafts. Watching the need, in 2007 the new UPA government at the centre started the process for the production of 126 Multi-Role Fighter Jets. In march 2008, tenders were released where six companies participated worldwide. Dassault Aviations, a French based company took the auctions with the least bid. Dassault ’s aircrafts had previously impressed India with their performance at the Kargil war and other minor battles.

In December 2012 tender formalities were completed where it was finalised that out of 126 aircrafts ordered, 18 would be purchased in a fly-away condition whereas 108 would be largely manufactured by Dassault in India with the cooperation of state-owned HAL (Hindustan Aeronautics Limited). But soon by the year 2014 the deal was called off due to various reasons of which transfer of technology was the foremost issue. Also, the manufacturing company, Dassault aviation was nowhere ready to take the responsibility of the aircrafts it was supposed to manufacture In India.

With the arrival of Modi government at the centre and the first prime ministerial visit to France in April 2015, the deal was reformed. According to the new deal, France was now supposed to provide India with 36 Rafale Aircrafts, all in fly-away conditions. This completely bypassed the prior acquisition process. In September 2016, the contract was signed between the French and the Indian Defence Ministry, where India was now ready to pay a big amount of 59000 crores to the French Government.

As soon as the deal was signed, many questions were now raised by the opposition and the people. Here are the five biggest questions raised by the opposition, how the government responded to them and the reality they carry around.

ACTUAL PRICE OF THE AIRCRAFTS

Allegation: Why is the government not revealing the actual price of the aircrafts? Where people and various officials have already filed an RTI against it.

Government: Defence minister Nirmala Sitharaman stated that the deal is confidential in nature, public revelations would have direct bearings on the security and strategic interest of the country.

Reality: French Airforce, French Navy and Egyptian Airforce are the primary users of Dassault aircrafts. These ministries have already revealed the actual price to their respected citizens. Also, the French has already agreed upon sharing the price details, then why the Government of India is not willing to do so?

HIGH PRICES OF THE AIRCRAFTS

Allegation: According to the previous tender of 126 aircrafts, price of single fighter jet was around 526 crores, whereas according to the new deal, the government is now paying approx 1670 crores per aircraft thus making a difference of three times greater than the previous deal.

Government: The new deal is featuring several add-ons and Indian specific enhancements, whereas training and maintenance are other effective parts of the deal too. The government counters the opposition with the statement that the previous deal was not signed therefore the assumption of rates was completely wrong.

Reality: As per the tender passed in the previous deal, the deal would have got signed on the amount nearest to the assumed one.  Also the assumed amount showcased in the present deal doesn’t fit the services signed.

PARTERNERSHIP WITH RELIANCE

Allegation: Previously, all the defence aircrafts were being manufactured with the cooperation of state owned HAL. At the final phase of the deal, why HAL is being replaced by the Reliance Defence?

Government: It was Dassault Aviations who took the decision of making Reliance its offset partner. Indian government has played no role in it.

Reality:  French Government as well as the manufacturing Dassault Aviation have already denied with this statement of GOI. It was Indian Government which asked the French officials to make Reliance their offset partners.

TRANSFER OF TECHNOLOGY

Allegation: NDA is purchasing all the aircrafts in the flyaway condition. Where is the transfer of technology here?

Government: Transfer of technology was never part of the deal. Signatures were made only on the licence of manufacturing technology. Since the number of aircrafts are low in number there can be no transfer of technology.  

Reality: If the aircrafts were made in India, they would have benefited the country in many ways -

1.      India has slipped the amazing opportunity of learning the technique of making its own Defence Aircrafts.

2.      It would have provided the youth with better employment opportunities.

3.      Where is Modis’ Make In India?

He has also built the tallest statue of Patel with the import of Chinese goods and technique, this raises the question on his own policies.

SOVEREIGN GURANTEE FROM FRANCE

Allegation: French Government has not given any sort of sovereign guarantee to India. If Dassault walks out of the deal, French Government wont be accountable for that. Therefore how it is an inter governmental deal?

Government: French Government has issued ‘letter of comfort’ to India which can be taken as sovereign guarantee.

Reality:  Government has failed to answer the question of inter governmental deal. As per the experts, If their was a sovereign guarantee, French Government could have pressurised the Aviation company incase of any issue. Also, letter of comfort is not as influential as sovereign guarantee.

Is Reliance Reliable?

Anil Ambani owned Reliance Defence is one of the offset partners in the deal. According to the defence policy of India, like any other company, Dassault is now required to reinvest half of the value of its deal in India. As per the stats, Anil Ambani has a combined debt of One Lakh Crore Rupees. Reliance has no history in the defence sector. From having nothing to do with aerospace before, Ambanis’ corporation was suddenly guaranteed aerospace business worth thousands of crores of rupees. Is India gambling its interest on reliance group?

The most controversial part is, Reliance was given the licence of an offset partner 12 days prior to the modis’ announcement regarding the deal. Does this means the government is supporting private corporations over the government owned?