The Defence Ministry has received a major proposal from the Indian Air Force to acquire 114 Rafale fighter jets under a manufacturing plan that would involve French company Dassault Aviation working alongside Indian aerospace firms. Valued at more than Rs 2 lakh crore, with over 60 per cent indigenous content, the project is expected to be the largest defence contract in India’s history once cleared.
According to defence officials, the proposal or Statement of Case (SoC) has been submitted to the ministry and is currently under review by multiple departments, including Defence Finance. It will then move to the Defence Procurement Board chaired by the Defence Secretary before being taken up by the Defence Acquisition Council for final approval.
The new jets to be manufactured in India are expected to feature upgraded long-range air-to-ground missile systems, improving on the already battle-proven Scalp missiles. The project will also see Dassault establish a Maintenance, Repair and Overhaul (MRO) facility in Hyderabad for Rafale’s M-88 engines, while Indian firms like Tata are set to play a key role in production.
This procurement is seen as vital to strengthening India’s air combat capabilities amid rising regional threats. The future structure of the Indian Air Force will rely heavily on a mix of Su-30 MKIs, Rafales, and upcoming indigenous fighter programs. India has already committed to 180 LCA Mark1A jets and is preparing to introduce its own fifth-generation fighter aircraft after 2035, marking a significant leap in defence self-reliance.