Even if the full MMRCA package goes forward, India’s negotiating position has been weakened and they will not get the same kind of deal they could’ve previously (see the cost of Mirage 2000 upgrade for what happens when Dassault has maximum leverage and India has none).
And of course, Dassault knew this all along — that they could simply wait out negotiations while pressure intensified on the Indian side to conclude a deal.
Not necessarily. For all we know this off the shelf purchase could be a deal between Dassault and India to make Dassault soften it’s position on some MMRCA parameters.
Also the 63 birds order means that suddenly a steady flow of new AC will be delivered to the IAF, and suddenly the IAF is in less of a hurry to introduce a new plane. So they can drag their feet on MMRCA.
Dassault products are not cheap, but India has been trading with Dassault for many decades, dating back as recently as the Mirage 2000 upgrade. I don’t think Dassault would be making use of the signing as a way to blackmail India. It would be utterly foolish.
If everything goes well India will probably be the single bigger Rafale customer, even before France. India alone would make the Rafale a huge success.
Nic
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