India-France Defence Partnership Shifts Toward Co-Development Model Ahead of Bilateral Summit
French diplomatic sources signalled that future defence cooperation with India will be anchored in the 'Make in India' initiative and structured as an "equal partnership" — a departure from the buyer-seller model of earlier procurement.
A new Rafale deal framework is being discussed: 18 aircraft to be supplied by Dassault Aviation in fly-away condition, with the remainder to be manufactured in India with approximately 50% indigenous content.
France expressed optimism about deepening civil nuclear cooperation with India, citing recent Indian legislative reforms permitting private sector participation in nuclear power.
The bilateral engagement coincides with a visit by the Prime Minister to France for the G7 Summit outreach sessions, where a bilateral meeting with the French President is scheduled.
As many as 12 new bilateral initiatives are expected to be announced during the visit.
French sources described India as a "top priority" partner within their foreign policy framework.
India-France Strategic Partnership: History and Horizon 2047
India and France established a Strategic Partnership on 26 January 1998 — India's first formal strategic partnership with a Western nation and France's first outside the European Union. The partnership has since been elevated to a Special Global Strategic Partnership. In July 2023, both countries adopted the "Horizon 2047" roadmap — a long-term bilateral framework aligned with the centenary of India's independence (2047), 100 years of diplomatic ties, and 50 years of the strategic partnership.
The new "Make in India" co-development model for the Rafale deal is a direct expression of the Horizon 2047 framework, which commits both sides to transitioning from procurement to joint production and technology transfer.
Rafale Fighter Aircraft: Procurement History and Current Deal
The Rafale is a twin-engine multirole fighter manufactured by Dassault Aviation of France. India's first Rafale procurement was formalised under an Inter-Governmental Agreement (IGA) signed in September 2016 for 36 fly-away aircraft at a cost of approximately €7.8 billion. The aircraft entered Indian service from September 2019, and are now based at Ambala (IAF, 17 Squadron "Golden Arrows") and Hasimara (IAF, 101 Squadron "Falcons").
Key Details
- 2016 IGA: 36 fly-away Rafales, €7.8 billion (~₹59,000 crore at 2016 rates); offset obligation of 50% of contract value to be reinvested in India's defence sector.
- First delivery to IAF: September 2019; fully delivered by 2022.
- In April 2024, India signed a separate IGA for 26 Rafale-Marine aircraft for the Indian Navy (for INS Vikrant and future carrier operations).
- Proposed new deal (2026): 18 fly-away + remainder manufactured in India with ~50% indigenous content — a "Make in India" co-production model distinct from both the 2016 purchase and the 2024 Navy deal.
- Defence procurement category under Defence Acquisition Procedure (DAP) 2020: the new model would likely qualify under "Buy & Make (Indian)" or a special IGA variant.
- Rafale specifications: Mach 1.8 top speed, omnidirectional AESA radar (RBE2-AA), Meteor BVR missile, SCALP cruise missile.
The shift to a co-production model with 50% indigenous content represents an evolution from the 2016 fly-away deal, aligning the Rafale acquisition with India's push to build a domestic defence manufacturing ecosystem.
Make in India in Defence: Policy Framework and Defence Acquisition Procedure
The "Make in India" initiative in defence is operationalised through the Defence Acquisition Procedure (DAP, latest version 2020) and the Defence Production and Export Promotion Policy (DPEPP) 2020. The policy categorises procurements by indigenisation level: Buy (Indian-IDDM), Buy (Indian), Buy & Make (Indian), Buy & Make, and Buy (Global). The objective is to achieve ₹1.75 lakh crore in defence production and ₹35,000 crore in exports by 2025.
The proposed Rafale co-production arrangement with ~50% indigenous content maps directly onto India's IDDM categorisation — an upgrade from the 2016 offset model to genuine technology transfer and local manufacturing.
India-France Civil Nuclear Cooperation: Jaitapur and Legislative Reforms
Civil nuclear cooperation is one of the most substantive pillars of India-France ties. The Jaitapur Nuclear Power Plant in Maharashtra — proposed to host six EPR (European Pressurised Reactor) units by EDF (Électricité de France) — has been under negotiation for over a decade. In 2025, India enacted legislative amendments permitting private sector participation in nuclear power, which France has welcomed as opening new avenues.
France's optimism about nuclear cooperation is anchored in India's recent legislative opening of the nuclear sector to private participation, which removes a structural barrier that had stalled the Jaitapur project and other bilateral nuclear ventures for years.
- India-France Strategic Partnership established: 26 January 1998.
- Elevated to Special Global Strategic Partnership: July 2023.
- Horizon 2047 roadmap adopted: July 2023.
- 2016 Rafale IGA: 36 fly-away aircraft, ~€7.8 billion, first delivered September 2019.
- 2024 Navy Rafale-Marine IGA: 26 aircraft for Indian Navy carrier operations.
- Proposed 2026 deal: 18 fly-away + balance manufactured in India (~50% indigenous content).
- India's defence production target: ₹1.75 lakh crore output, ₹35,000 crore exports by 2025 (DPEPP 2020).
- Jaitapur NPP: 6 EPR units × 1,650 MWe = ~9,900 MWe; site in Maharashtra; negotiations ongoing since 2009.
- India's nuclear target: 100 GW by 2047.
- Joint military exercises: SHAKTI (Army), VARUNA (Navy), GARUDA (Air Force).
- Bilateral initiatives expected during 2026 visit: ~12 new announcements.