If France and India have signed an agreement intergouvernemantal to purchase 36 Rafale, the two countries have yet to agree on the financial terms. This will require patience.
It was believed the eminently signed contract, it is not. On Sunday, President Hollande had dampened hopes of an early signing of the sales contract of 36 Rafale combat aircraft to India, early in his State visit of three days in this country, with which it wishes to give a new impetus to trade.
For the second State visit of Francois Hollande in India, where it is now the guest of honor of the military parade of the “Republic Day”, the France hoped to finalize the Rafale sale agreement, including the prime minister Narendra Modi had ordered during a visit to Paris in April 2015. “We will take another step in the direction that goes, we all hope, of India’s acquisition of 36 Rafale, “said the French president on his arrival at Chandigarh (north), however, explaining that the signing of the commercial contract could not be made until” an intergovernmental agreement. “
Issue price …
Negotiations on this contract estimated at over 5 billion euros stalled over price, a source close to the case.
These complex discussions have experienced many upheavals, India in 2012 having opened exclusive negotiations with Dassault Aviation for a much larger order but ultimately did not succeed. Besides the price, one of the sticking points discussed regularly is the willingness of India to obtain Dassault he invests a large part – at least 30%. – Contract on Indian soil
But if he will have to wait for the sale of Rafale, the voyage of the head of state is far from useless. Several agreements were signed in the fields of sustainable urban development, renewable energy or energy storage. These are sectors in which major French companies have shown their ability to export and hoping to find outlets thanks to the reforms initiated by the Modi government. Francois Hollande for his part, set a target for French investments in the country: “A billion dollars per year of additional investments in India from French companies
Space Cooperation
The National Centre for Space Studies (CNES) and the Indian Space Agency (ISRO) will develop climate monitoring satellite able to map the heat exchanges at the surface of the Earth. With this satellite, open new perspectives in the field of agriculture, forest monitoring, pollution of soil and groundwater, and the volcanology. It is the realization of reinforced signed at the Elysee cooperation program in April 2015 between the two countries.
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