🗞️ Why in News The Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, approved the procurement of 114 Rafale fighter jets from France at a cost of Rs 3.25 lakh crore (~USD 40 billion) — the largest single defence procurement deal in India’s history, involving both direct delivery jets and a significant Make in India manufacturing component.

The Deal — Key Parameters

Parameter Detail
Aircraft Rafale (multi-role 4.5-generation fighter)
Quantity 114 jets
Value Rs 3.25 lakh crore (~USD 40 billion)
Fly-away (direct delivery) 18 jets
Made in India 96 jets (HAL–Dassault Aviation partnership)
Procurement route Inter-Governmental Agreement (IGA) with France
Approving body Defence Acquisition Council (DAC), chaired by Rajnath Singh

India’s Total Rafale Fleet — After This Deal

Batch Service Quantity Status
2016 deal Indian Air Force 36 Inducted (2020–21)
Rafale-Marine (Navy) Indian Navy (INS Vikrant) 26 Approved
This deal (Feb 2026) Indian Air Force 114 DAC approved
Total 176

Why India Needs More Fighter Jets

India’s Air Force has a sanctioned strength of 42 squadrons — the minimum considered necessary for a two-front war scenario (China + Pakistan simultaneously). As of early 2026, the IAF operates approximately 31 squadrons, below the critical minimum:

  • Ageing fleet: MiG-21 phaseout (originally 1970s Soviet aircraft, upgraded multiple times) is accelerating the squadron deficit. The last MiG-21 squadrons were being retired by 2025–26.
  • Limited induction: Light Combat Aircraft (LCA Tejas) Mk1A production has been slow; the Mk2 and AMCA (Advanced Medium Combat Aircraft) remain in development.
  • China factor: The PLA Air Force has inducted J-20 stealth fighters, H-6K strategic bombers, and advanced air defence systems (HQ-9) in Tibet — increasing pressure on IAF’s northern front.

About the Rafale

The Dassault Rafale is a French twin-engine, canard delta wing, multi-role combat aircraft manufactured by Dassault Aviation. Classified as a 4.5-generation fighter (near-peer to F-35), it features:

  • SPECTRA electronic warfare suite (active jamming, missile warning, decoy ejection)
  • RBE2-AA Active Electronically Scanned Array (AESA) radar
  • METEOR beyond-visual-range air-to-air missile (Ramjet-powered, 100+ km range — among the best in class)
  • SCALP/Storm Shadow air-to-ground cruise missile (300+ km range)
  • HAMMER precision-guided munition
  • Combat radius: ~1,800 km; Max speed: Mach 1.8

India-Specific Enhancements (India Specific Enhancements — ISE): The IAF’s Rafales carry 13 India-specific modifications including:

  • Cold start capability (for high-altitude Himalayan bases)
  • Israeli helmet-mounted display sight
  • Enhanced radar altimeter for mountain flying
  • Towed Decoy System (DRDO-developed)

Make in India — HAL Partnership

The 96 Make in India jets will be manufactured by Hindustan Aeronautics Limited (HAL) in partnership with Dassault Aviation. This is the most ambitious foreign OEM transfer-of-technology (ToT) agreement India has pursued:

  • Technology transfer: Dassault commits to transferring manufacturing, maintenance, and overhaul technology
  • HAL facility: Likely Nasik (Aircraft Division) and Bengaluru (for AESA radar components and avionics)
  • Offset requirements: Under the Defence Acquisition Procedure (DAP) 2020, offset obligations for deals above Rs 2,000 crore require investment back into India’s defence or aerospace sector (minimum 30%)
  • DRDO integration: Some weapons and sensors (ASTRA Mk2, DRDO-developed decoys) will be integrated into India-built variants

Procurement Route — IGA vs Open Tender

The Inter-Governmental Agreement (IGA) route was chosen — the same route used for the 2016 deal:

Route Process Used when
Open global tender International competitive bidding For standardised equipment
IGA (Government-to-Government) Direct government deal Strategic partnerships, unique capability
Single vendor Direct procurement from one vendor Emergency/critical needs

Why IGA: The Rafale is not available through open-market competitive bidding for India’s specific combination of IGA pricing, ToT, and strategic partnership terms. The France–India Special Global Strategic Partnership provides a framework for IGA defence procurements.

UPSC Relevance

Prelims: Rafale (manufacturer Dassault Aviation, France), DAC (composition: Defence Minister chairs; includes Service Chiefs, Defence Secretary, R&D head), IGA route, METEOR missile, IAF squadron strength (42 sanctioned), HAL (Nasik Aircraft Division), Defence Acquisition Procedure (DAP) 2020, India-France Special Global Strategic Partnership. Mains GS-3: Defence indigenisation vs. strategic imports; Make in India in defence; India-France bilateral relations and defence cooperation; IAF modernisation challenge.

📌 Facts Corner — Knowledgepedia

Rafale 114 Jets Deal:

  • Value: Rs 3.25 lakh crore (~USD 40 billion) — India’s largest ever defence deal
  • Composition: 18 fly-away + 96 Made in India (HAL–Dassault)
  • Route: IGA (Inter-Governmental Agreement) with France
  • DAC chaired by: Rajnath Singh (Defence Minister)
  • Total Rafale fleet post-deal: 176 jets (36 IAF + 26 Navy + 114 new)

IAF Strength:

  • Sanctioned strength: 42 squadrons
  • Current: ~31 squadrons
  • Deficit: ~11 squadrons (being addressed by Rafale, Tejas Mk1A, eventual AMCA)

Rafale — Technical:

  • Generation: 4.5-generation multi-role fighter
  • Manufacturer: Dassault Aviation, France
  • Radar: RBE2-AA (AESA)
  • EW Suite: SPECTRA
  • Key missile: METEOR (BVR, ramjet, 100+ km range)
  • Air-to-ground: SCALP/Storm Shadow (300+ km cruise missile)
  • Max speed: Mach 1.8

India-France Strategic Partnership:

  • Established: 1998 (Strategic Partnership)
  • Upgraded: Special Global Strategic Partnership (2023)
  • Defence cooperation: Rafale jets (2016 deal + 2026 deal), Scorpene submarines (Mazagon Dock), Safran engines (HAL), DRDO cooperation

Other Relevant Facts:

  • 2016 Rafale deal: 36 jets, Rs 59,000 crore, fly-away only; first inducted 2020 at Ambala Air Base
  • MiG-21 retirement: India’s last MiG-21 squadron being retired ~2025–26; aircraft originally inducted 1963
  • LCA Tejas Mk1A: 83 aircraft ordered from HAL; delivery behind schedule
  • AMCA (Advanced Medium Combat Aircraft): 5th-generation indigenous; under development by ADA (Aeronautical Development Agency); expected entry ~2035
  • HAL (Hindustan Aeronautics Limited): Founded 1940; HQ Bengaluru; India’s largest defence PSU

Sources: Drishti IAS, AffairsCloud