France and India are advancing negotiations on a major defence agreement for the procurement and local production of 114 Dassault Rafale fighter jets for the Indian Air Force under a broad ‘Make in India’ framework.
Under discussions, a significant portion of the aircraft, potentially up to around 55–60% indigenisation initially and aspirations of up to 80% localisation is expected to be manufactured in India through partnerships with Indian firms such as Dassault Reliance Aerospace Limited (DRAL) in Nagpur and Tata Advanced Systems Limited (TASL) in Hyderabad.
These production plans include establishing final assembly, fuselage manufacturing and Maintenance, Repair & Overhaul (MRO) facilities on Indian soil, beginning with local fuselage fabrication and eventual full assembly, expected to start rolling out by the late 2020s.
While the formal contract is still being finalised, France’s willingness to transfer significant aircraft production capabilities to India represents a notable shift toward deep industrial cooperation in aerospace.
Officials expect the deal, possibly discussed during high-level visits, to strengthen India’s defence industrial base, create skilled jobs and enhance the country’s strategic autonomy in fighter jet manufacturing.
Analysts note that while localisation raises India’s technological participation, Dassault retains key control over core systems and software, meaning India will integrate local weapons and avionics but not complete independent control over all aircraft systems.
The Rafale programme is a cornerstone of India’s efforts to expand its air combat capabilities and domestic aerospace ecosystem, aligning defence procurement with long-term industrial growth.
