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Reliance, Dassault Aviation ink deal to set up joint venture

Reliance, Dassault Aviation ink deal to set up joint venture
04 October 2016 Current Affairs: Anil Ambani led Reliance Group and French aerospace giant Dassault Aviation have signed deal to set up a joint venture called Dassault Reliance Aerospace. 

The Dassault Reliance Aerospace will execute offsets for the recently concluded India-France deal for 36 Rafale fighter jets. It will be the largest offset contract to be executed by any defence company in India. The contract value is estimated up to Rs. 30,000 crore.

The proposed strategic partnership between Dassault and Reliance will also focus on promoting research and development (R&D) projects under the IDDM program. IDDM stands for Indigenously Designed, Developed and Manufactured. 

It is programme on the lines with the new provision introduced in Defence Procurement Procedure (DPP) 2016. The JV will focus on aero structures, engines and electronics and intends to infrastructure and supply chain in India for the aerospace sector.

In September 2016, India and France had signed an Inter-Governmental Agreement (IGA) for 36 Rafale multi-role jets in fly-away condition worth €7.87 billion (about Rs. 59,000 crore). 

The deal has a 50% offset clause to be executed by Dassault Aviation and its partners in India. Through the offsets, government seeks to bring in much needed expertise to build the domestic defence and aerospace industry.


December 2016 Current affairs
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November 2016 Current affairs
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October 2016 Current affairs
31 OCT
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27 OCT
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26 OCT
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25 OCT
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24 OCT
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22 OCT
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September 2016 Current affairs
30 SEP
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29 SEP
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27 SEP
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26 SEP
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August 2016 Current affairs
31 AUG
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30 AUG
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