Indian MRCA competition

The Medium Multi-Role Combat Aircraft (MMRCA) competition, also known as the MRCA tender, was a competition to supply 126 multi-role combat aircraft to the Indian Air Force (IAF). The Defence Ministry has allocated ₹55,000 crore (US$8.2 billion) for the purchase of these aircraft, making it India's single largest defence deal. The MRCA tender was floated with the idea of filling the gap between its future Light Combat Aircraft and its in-service Sukhoi Su-30MKI air superiority fighter.

The contest featured six fighter aircraft: Boeing F/A-18E/F Super Hornet, Dassault Rafale, Eurofighter Typhoon, Lockheed Martin F-16 Fighting Falcon, Mikoyan MiG-35, and Saab JAS 39 Gripen. On 27 April 2011, after an intensive and detailed technical evaluation by the IAF, it reduced the bidders to two fighters — Eurofighter Typhoon and Dassault Rafale. On 31 January 2012 it was announced that Dassault Rafale won the competition due to its lower life-cycle cost. The deal has been reported to cost US$28–30 billion in 2014.

However, the deal stalled due to disagreements over production in India. Dassault refused to take responsibility for the 108 HAL-manufactured Rafales, as it had reservations about the ability of HAL to accommodate the complex manufacturing and technology transfers of the aircraft. Instead, Dassault said it would have to negotiate two separate production contracts by both companies. The Indian Defence Ministry instead wanted Dassault to be solely responsible for the sale and delivery of all 126 aircraft. In May 2013, The Times of India reported that negotiations were "back on track", with plans for the first 18 Rafales to be delivered in 2017. Another point of contention is a provision where Dassault was to reinvest 50 percent of the deal's earnings into India's defence sectors, either through purchases or technological expertise. In March 2014, the two sides were reported to have agreed that the first 18 aircraft would be delivered to India in flying condition and that the remaining 108 would be 70 percent built by HAL. In December 2014^[update], it was reported that India and France expect to sign a contract by March 2015. On 13 April 2015, the defence minister Manohar Parrikar made an announcement that the M-MRCA tender is "effectively dead". India officially withdrew the 126-aircraft MMRCA tender on 30 July 2015.

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Wikipedia