India Clears €6.6 Billion Rafale-Marine Deal with France for Naval Fleet Modernization

New Delhi – In a significant step toward enhancing the Indian Navy’s combat capabilities, the Union government has approved a nearly ₹64,000 crore (€6.6 billion) deal with France for the procurement of 26 Rafale-Marine fighter aircraft. The Prime Minister-led Cabinet Committee on Security (CCS) has cleared the acquisition, paving the way for the formal signing of the intergovernmental agreement in the coming days.

The contract covers the direct purchase of 22 single-seat Rafale-M jets and four twin-seat trainer variants, along with associated weapon systems, flight simulators, crew training modules, and a comprehensive five-year performance-based logistics support package. The advanced maritime fighters are specifically tailored to operate from the deck of India’s indigenous aircraft carrier, INS Vikrant.

According to sources, the agreement also includes additional upgrades, spares, and equipment support for the 36 Rafale fighters previously acquired by the Indian Air Force (IAF) under a ₹59,000 crore contract signed in September 2016.

The Rafale-M jets, which come with "specific enhancements" for naval deployment, will be delivered within a window of 37 to 65 months from the signing of the contract. All aircraft are expected to be inducted into the Navy by 2030–31. “The structure and terms of this agreement closely mirror the IAF’s previous Rafale deal,” a senior official confirmed.

In September last year, the Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, approved four key amendments to the deal. These included the decision to exclude the integration of the DRDO-developed AESA (Active Electronically Scanned Array) radar with the Rafale platform, citing prohibitive costs and timelines.

The Indian Navy currently operates 40 of the originally inducted 45 MiG-29K fighters procured from Russia since 2009 for approximately $2 billion. These jets serve on both INS Vikrant and the Russian-origin INS Vikramaditya. However, the MiG-29K fleet has faced persistent challenges, including low serviceability and operational limitations.

With the indigenous Twin-Engine Deck-Based Fighter (TEDBF) still in the development phase and unlikely to enter service before the next decade, the Rafale-M acquisition is viewed as a crucial interim solution to maintain carrier-based air power.

In parallel, the Ministry of Defence is also finalizing another high-value deal with France—this time for the construction of three additional Scorpene-class submarines. Valued at ₹33,500 crore, the submarines will be built at Mumbai’s Mazagon Dock Shipbuilders Limited (MDL) in collaboration with French partner Naval Group.

These new diesel-electric submarines will feature upgraded designs and capabilities compared to the earlier six Kalvari-class submarines, built under Project-75 for over ₹23,000 crore. The first of the new Scorpenes is expected to roll out within six years of contract signing, with the remaining two following at one-year intervals.

Notably, the current cost estimate does not include the integration of DRDO’s fuel cell-based Air-Independent Propulsion (AIP) system, which will significantly extend the submarines' underwater endurance. Negotiations regarding AIP installation are expected to continue separately.

These strategic acquisitions reflect India’s ongoing efforts to modernize its maritime defense infrastructure and reduce reliance on aging platforms, amid growing security challenges in the Indo-Pacific region.