Indian Airforce has inducted Rafale since July 31st, and opposition still asking same question about Rafale, was Rafale Deal a Scam?
Rafale aircraft primarily used by French forces, later Egypt and Qatar made deal for 24 Rafale aircrafts. We will compare India's Rafale deal with Qatar and Egypt's Rafale deal with Euro as currency unit.
Rafale Deal to Egypt, Qatar and India
- France-Egypt signed €5.2 billion for 24 Rafale in 2015, Unit cost of Rafale's €216 million.
- France-Qatar signed €6.3 billion for 24 Rafale in 2015 unit cost of Rafale's €262 million.
- France-India signed €7.87 billion for 36 Rafale in 2016, unit cost of Rafale's €216 millon.
- Later France-Qatar signed €1.1 Billion for additional 12 Rafale in 2017 unit cost of Rafale is €91 million. Isn't it surprising?
Note: you may click the sentences written in green line to visit the newspaper articles for proof.
Finally you will get your answer that India's Rafale deal was very similar with Qatar and Egypt's Rafale deal and seems like opposition allegations is not logical. ( We'll discuss later about additional Rafale deal unit cost around €91 million).
If Indian government did scam then Qatar and Egyptian government also did scam because they also get Rafales with similar cost. Opposition's said they signed 2-3 times cheaper deal with Rafale. If it was possible than it will clearly visible with Egypt's and Qatar's deal.
But the fact is Congress Government never finalized Rafale deal with France. It was always on negotiating Table. So it doesn't make sense. We'll discuss this in below.
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Why addictional Rafale cost is just €91 million:
Now you will have a question why Qatar paid for just €91 million for each additional unit of Rafale in 2017 ?
If India inducts more additional Rafale in future, then India will also pay similar amounts like Qatar's Rafale deal. Without accesories.
Why this cost reduced for Additional Rafale: When a Country finalize a deal, there are many assets which is one time payable.
- IAF will get 28 single seat fighters (appr. €91.07 Million apiece) and 8 twin seat fighters (appr. €94 Million apiece). It's €3.3 billion.
- Indian specific enhancement cost €1.7 billion.
- IAF will pay €1.8 billion for spare parts and engines.
- €700 million for weaponry.
- €350 million for performance based logistics to ensure 75% availablity of Aircraft for operation
- India just paid €3.3 billion only for Rafale, rest €4.55 billions for another accessories as above mentioned.
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126 Rafales Unit Cost could be much lesser than 36 if deal was signed:
Following main allegations on the government by opposition:
- Why 36 Rafales instead of 126 ?
- The government paid three times the cost ?
- No Transfer of Technology (ToT) benefitting Indian Aviation Industry.
- HAL’s Exit and Reliance’ entry
- Violation of the Defence Procurement Procedure (DPP).
- Was India's Rafale was costlier then Qatar's and Egypt's Rafale?
- Why India didn't get transfer of technology in Rafale's deal.
- Why India ordered 36 Rafale instead of 126?
- India paid 3 times cost of Rafale ?
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