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Rafale deal: French Govt, Dassault refute ex French Prez Hollande’s reported statement, he stands by it

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Rafale deal

The bombshell of former French President Francois Hollande’s reported statement about Indian government proposing Reliance as Dassault’s partner company for offset contract set off a spate of claims and denials.

While the French government and Dassault aviation sought to refute Hollande’s claim, the former President stood by his statement, reported NDTV.

France’s Ministry of Europe and Foreign Affairs said that the French government had no role to play in choosing partner companies in India for the purpose of offsets contracts in the Rafale deal.

The French government clarified that they were not involved in the choice of Indian partners. The French government said their role was just to ensure the delivery and quality of the aircraft. “The French government is in no manner involved in the choice of Indian industrial partners who have been, are being, or will be selected by French companies,” the French government said.

Dassault Aviation also reacted, issuing a statement to say, “This offsets contract is delivered in compliance with the Defence Procurement Procedure (DPP) 2016 regulations. In this framework, and in accordance with the policy of Make in India, Dassault Aviation has decided to make a partnership with India’s Reliance Group. This is Dassault Aviation’s choice…”

Francois Hollande’s reported statement

France’s former President Hollande had reportedly told French media that the Indian government proposed Reliance Defence as the partner for Dassault Aviation in the Rs 58,000 crore Rafale deal and France did not have a choice.

The former French President’s remarks contradict the Indian government’s claim that the deal between Dassault and Reliance was a commercial pact between two private parties and the government had nothing to do with it.

The deal for 36 Rafale aircraft in a government-to-government agreement was announced by Prime Minister Narendra Modi on April 10, 2015 during his visit to Paris, which led to the cancellation of the 126 aircraft deal being negotiated by the previous government. The deal was eventually signed on September 23, 2016 in Delhi between then Defence Minister Manohar Parrikar and his French counterpart.

The Congress has been accusing massive irregularities in the deal, alleging that the government was procuring each aircraft at a cost of over Rs.1,670 crore as against Rs.526 crore finalised by the UPA government when it was negotiating procurement of 126 Rafale jets.

According to Mediapart, a French language publication, Hollande said the original deal was to be 126 aircraft, “but with the change of government (in India in 2014), the Indians reformulated their proposal, which was less attractive for us, since it was 36 aircraft only. But the manufacture was planned in France, contrary to the previous proposal. So we lost on one side, but we won the other.”

Opposition parties, including the Congress, have also alleged that undue favours had been granted to Ambani’s firm in this deal, a company without any defence manufacturing experience.

The report in ‘Mediapart’ quoted Hollande as saying, “It was the Indian government that proposed this service group, and Dassault which negotiated with Ambani. We had no choice, we took the interlocutor who was given to us.”

Asked who selected Reliance as a partner and why, Hollande replied, “We had no say in this regard.” Dassault Aviation, the makers of Rafale, had chosen Reliance Defence as its partner to fulfill offset obligations of the deal.

Offset clause and Reliance

Under the offsets clause, France is to invest 50 per cent of the total order cost in local contracts in India, worth Rs 30,000 crore, as per an Indian Express report. The offset obligations of the deal are to be discharged from September 2019 to September 2023, as per the contract.

The Rafale offset was the first project of this magnitude won by Reliance Defence, which placed it at the centre of a major political row. The government has been maintaining it did not have any role in selection of the offset partner by Dassault.

In a statement, the Ministry of Defence had stated on February 7 that “no Indian Offset Partner for the 2016 deal for 36 Rafale Aircraft has been so far selected by the vendor (DA) because as per the applicable guidelines, DA is free to select the Indian Offset Partners and provide their details at the time of seeking offset credits, or one year prior to discharge of offset obligation.”

The opposition parties have also alleged that the Reliance Defence was formed just 12 days before the announcement of the Rafale deal by the prime minister on 10 April 2015. The Reliance group has rejected the charges.

Former HAL chief’s statement

In an oblique justification of the government not pressing for the offset contract being given to state-owned Hindustan Aeronautics Limited (HAL), Defence minister Nirmala Sitharaman had also raised questions about the public sector company to produce Rafale fighter jets. Howvere, T Suvarna Raju, who was heading HAL till three weeks ago, told HT on September 19 that the public sector undertaking could have built Rafale fighters in India had the government managed to close the original negotiations with French aerospace firm Dassault Aviation for 126 fighters and that there was a work-share agreement between the two companies. However, he admitted that it would have cost HAL more to make the aircraft. Former air chief AY Tipnis told HT that HAL may have found it challenging to build the Rafale.

Now, as allegations flew thick and fast after Hollande’s statement, a defence ministry spokesperson tweeted that the report “is being verified” and that “neither GoI (government of India) nor the French Government had any say in the commercial decision.”

Defence Minister Nirmala Sitharaman, who was in Cairo when Hollande’s bombshell came, called off  her visit to France for a meeting with her counterpart there this week, reported The Indian Express.

French government’s statement

As Hollande’s statement set off an intense verbal war in India, the French government came out with a statement refuting the former President.

“The intergovernmental agreement signed on 23rd September 2016 between the French and Indian governments for supplying India with 36 Rafale aircraft concerns the obligations of the French government solely with regard to ensuring the delivery and quality of this equipment,” it said.

Further stating that the French government is in no manner involved in the choice of Indian industrial partners who have been, are being, or will be selected by French companies, France said, “In accordance with India’s acquisition procedure, French companies have the full freedom to choose the Indian partner companies that they consider to be the most relevant, then present for the Indian government’s approval the offsets projects that they wish to execute in India with these local partners so as to fulfil their obligations in this regard.”

“As it happens, agreements have already been signed by French companies with many Indian firms, both public and private, under the framework of Indian laws.”

Dassault Aviation

In a statement, Dassault Aviation said it has decided to make a partnership with the Reliance Defence in accordance with the policy of ‘Make in India’.

Providing clarifications regarding the contract, Dassault Aviation said, “This contract is a government-to-government agreement, it provides for a separate contract in which Dassault Aviation commits to make compensation investments (offsets) in India worth 50 per cent of the value of the purchase.”

It added, “This offsets contract is delivered in compliance with the Defence Procurement Procedure (DPP) 2016 regulations. In this framework, and in accordance with the policy of Make in India, Dassault Aviation has decided to make a partnership with India’s Reliance Group. This is Dassault Aviation’s choice as CEO Eric Trappe=ier had explained in an interview published in MINT newspaper on April 17, 2018. This partnership has led to the creation of the Dassault Reliance Aerospace Ltd (DRAL) joint venture in February 2017.Dassault Aviation and Reliance have built a plant in Nagpur for manufacturing parts for Falcon and Rafale aircraft.”

Ten days after India sealed the government-to-government agreement on the Rafale deal, Reliance Defence and Dassault had announced a joint venture (JV) in the aerospace sector and a year later, the foundation stone of a manufacturing facility was laid in Mihan, Nagpur.

Dassault Aviation provides the following clarifications regarding the contract signed in 2016 for 36 Rafale aircraft to India:

  1. This contract is a government-to-government agreement. It provides for a separate contract in which Dassault Aviation commits to make compensation investments (offsets) in India worth 50% of the value of the purchase.
  2. This offsets contract is delivered in compliance with the Defence Procurement Procedure (DPP) 2016 regulations. In this framework, and in accordance with the policy of Make in India, Dassault Aviation has decided to make a partnership with India’s Reliance Group. This is Dassault Aviation’s choice, as CEO Eric Trappier had explained in an interview published in MINT newspaper on April 17, 2018. This partnership has led to the creation of the Dassault Reliance Aerospace Ltd (DRAL) joint-venture in February 2017. Dassault Aviation and Reliance have built a plant in Nagpur for manufacturing parts for Falcon and Rafale aircraft. The Nagpur site was chosen because of the availability of land with direct access to an airport runway, an essential condition of aeronautic activities.
  3. Other partnerships have been signed with other companies such as BTSL, DEFSYS, Kinetic, Mahindra, Maini, SAMTEL,… Other negotiations are ongoing with a hundred-odd other potential partners.
  4. Dassault Aviation is very proud that the Indian authorities have selected the Rafale fighter.

India News

PM Modi says decline in TB incidence outcome of India’s dedication, innovation efforts

He acknowledged the dedicated healthcare workers of the Health Ministry, recognising their crucial role and commitment in the ongoing battle against tuberculosis.

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Prime Minister Narendra Modi said on Sunday that the decrease in tuberculosis (TB) incidence is a result of India’s dedicated and innovative efforts, asserting that the nation will continue to strive for a TB-free India through collective action.

His comments followed a statement from Health Minister J.P. Nadda, who highlighted that the World Health Organization (WHO) has acknowledged India’s “remarkable” progress, noting a 17.7% reduction in TB cases from 2015 to 2023—more than double the global decrease of 8.3%.

In a post on X, Modi praised the achievements by stating, “Commendable progress! The decline in TB incidence is an outcome of India’s dedicated and innovative efforts.” He reiterated the commitment to pursuing a TB-free India with a united approach.

BJP president and Union Health Minister JP Nadda also mentioned on Saturday that, “Under the visionary leadership of Prime Minister Shri Narendra Modi ji, our government has expanded and strengthened the National TB Elimination Programme,” mentioning initiatives like the Ni-Kshay Poshan Yojana, which provides essential nutritional support to TB patients, as well as the introduction of the BPALM regimen, a new treatment for Multi-Drug Resistant Tuberculosis.

He acknowledged the dedicated healthcare workers of the Health Ministry, recognising their crucial role and commitment in the ongoing battle against tuberculosis.

“I also acknowledge the tireless efforts of the Health Ministry’s dedicated healthcare workers, whose unwavering commitment and hard work play a crucial role in this fight against tuberculosis,” Nadda said.

According to the World Health Organization (WHO), India has recorded a decline of 17.7 percent in TB incidence from 2015 to 2023. This rate is more than double the global decline of 8.3 per cent.

In a post on X on Saturday, Nadda emphasised that ṭhis acknowledgment reflects India’s transformative approach to TB care and control. He mentioned that the government has expanded and strengthened the National TB Elimination Programme by taking key initiatives such as the Ni-Kshay Poshan Yojana to provide essential nutritional support to TB patients.

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In Wayanad, Rahul Gandhi says protecting Constitution is India’s primary battle

He emphasised that such a mindset represents the kind of politics needed in India—not one of animosity but one of love and kindness.

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Leader of Opposition in the Lok Sabha and Congress leader Rahul Gandhi asserted on Sunday that the primary struggle in the country today is to safeguard and preserve the Constitution. He emphasised that the Constitution was crafted not from hatred but with humility and affection.

“The primary struggle taking place is for our Constitution. The greatness and protection we enjoy stem from it,” he stated during a corner meeting in Mananthavady, part of the campaign for his sister, Priyanka Gandhi Vadra, who is contesting the Wayanad Lok Sabha bypoll.

Rahul explained that the Constitution was not born from anger or animosity but enacted by those who battled colonial rule, endured suffering, and spent many years in prison. They created the Constitution with love and humility, he added.

The Leader of Opposition in the Lok Sabha emphasised that this struggle represents a fight between love and hatred. “It is a fight between confidence and insecurity. To prevail in this battle, we must eliminate anger and hatred from our hearts and replace them with love, humility, and compassion,” he added.

The former Congress president also reflected on his sister’s compassionate actions, sharing a poignant memory. “She is someone who embraced the girl implicated in my father’s assassination. When she returned from meeting Nalini, she expressed her sorrow for her,” he recalled.

He emphasised that such a mindset represents the kind of politics needed in India—not one of animosity but one of love and kindness.

During her campaign, Priyanka Gandhi took the opportunity to criticise the central government, claiming that Prime Minister Narendra Modi is solely serving the interests of large business magnates.

“The Modi government prioritises his wealthy friends. Its agenda does not focus on improving your quality of life, creating jobs for educated youth, or enhancing healthcare and education,” she contended.

Priyanka continued her campaign activities by engaging in public and corner meetings alongside Rahul in the hilly constituency.

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Jammu & Kashmir CM Omar Abdullah condemns grenade attack near Sunday market in Srinagar

According to reports, at least six people were injured when terrorists threw a grenade in a crowded flea market in the heart of the city.

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Jammu and Kashmir Chief Minister Omar Abdullah on November 3 condemned the grenade attack near a busy Sunday market in Srinagar and said there could be no justification for targeting innocent civilians.

According to reports, at least six people were injured when terrorists threw a grenade in a crowded flea market in the heart of the city. The injured have been shifted to Shri Maharaja Hari Singh Hospital (SMHS).

In a post on X, Abdullah said the last few days have been dominated by headlines of attacks and encounters in parts of the valley. “Today’s news of a grenade attack on innocent shoppers at the ‘Sunday market’ in Srinagar is deeply disturbing,” he added.

The security apparatus must do everything possible to end this spurt of attacks at the earliest so that people can go about their lives without any fear, the Jammu and Kashmir Chief Minister said.

The incident took place near the heavily guarded Tourist Reception Centre (TRC), occurring one day following the elimination of a top Pakistani commander of Lashkar-e-Taiba (LeT) by security forces in the Khanyar locality of downtown Srinagar.

Authorities have dispatched police and paramilitary forces to the scene to evacuate the injured and initiate a search operation for the terrorists. The explosion triggered panic in the area, causing shoppers to scramble for cover.

Meanwhile, Congress leader Ravinder Sharma said that this was a conspiracy to disturb the atmosphere in the valley. Such incidents have increased ever since elections have been held and the new government has been formed, he claimed. He prayed for the well-being of those injured in the attack.

Calling for strict actions, the Congress leader said such attacks prove that the militancy is still there in the valley, adding the central government has the entire law and order and security apparatus in its hand.

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