Price Frozen, Dassault Expects to Freeze Indian MMRCA Rafale Architecture Next

Dassault Aviation is preparing to hold discussions with the Indian MOD's contract negotiations committee (CNC) in the coming weeks to freeze the Rafale aircraft architecture as the next step in its quest to sign the estimated $12 billion contract. A source from Dassault told Defenseworld.net that teams from Dasault and the CNC will decide on the aircraft's final architecture following which the terms of the transfer of technology(ToT) will be decided. "A third important step, that of deciding on offsets will have to be concluded before signing on the dotted line", said the source who did not wish to be named as he was not authorized to speak to the media. "If these three steps are fulfiled, then we can look forward to signing the contract early next year", he said adding that performance of the contract is likely to begin towards the end of 2013. Freezing the aircraft architecture is the next crucial step as it involves taking decisions on all the systems and sub-systems which will go into the aircraft and which vendor will provide what. "It means taking a call on the configuration in which the Indian Air Force wants the aircraft". Asked whether there would be scope for a change in price if the aircraft architecture was fine-tuned, the source said that the basic price was frozen and pricing of various systems will have to be within the purview of the financial bids submitted during the evaluation process where the Rafale was declared the lowest bidder. Regarding offsets agreement, he said that Dassault plans to "revisit" the Indian industry as the earlier offsets proposal had been submitted in 2007. "Once we are through with the aircraft architecture and the terms of the ToT we will be better placed to select our offsets partners", he said.