Following the report that the contract negotiations for the ₹50,000 crore deal between the governments of India and France, involving 26 Rafale Marine fighter jets, are set to commence on May 30 with the arrival of a high-level French delegation, investors in the market are likely to continue to be focused on Hindustan Aeronautics Limited (HAL), a defense and aerospace company, on Wednesday.
HAL’s share price dropped 2.53% to ₹5,012 at the end of Tuesday’s trading session. According to defense industry officials, the French team will meet with their counterparts from the Indian Defence Ministry to begin formal negotiations for the Indian Navy to acquire these aircraft, which will be operated from both of the Navy’s aircraft carriers.
Indo-French Negotiations Accelerate for Rafale Marine Aircraft Acquisition
Members of the French team will come from the country’s industry and ministry of defense, including officials from original equipment makers Thales and Dassault Aviation.
On the Indian side, participants in the negotiations would include members of the Indian Navy and the Defence Acquisition Wing. According to government sources, efforts will be made to sign the agreement and wrap up the negotiations by the end of the fiscal year.
Also Read: India and France to sign ₹50,000 crore deal for Rafale Marine fighter jets
India had issued a tender in December for 26 Rafale Marine aircraft to be used as aircraft carriers for the INS Vikrant and INS Vikramaditya, and France had responded. France delivered its answer to India’s acceptance letter in New Delhi.
The commercial offer and other contract specifics, together with the French bid, have been examined by Indian officials. The talks will take place as a contract between governments, with Indian and French representatives hoping to have in-depth conversations.
To ensure that the aircraft are finalized and incorporated into the fleet as soon as possible, the Navy Chief has given his team the order to accelerate the project’s timeframe.
