Euro firms submit offset bids for aircraft deal
In the M-MRCA competition, companies have to invest 50 per cent of the worth of the deal into the Indian defence sector only.
New Delhi: Two months after being
shortlisted, French firm Dassault and consortium of European
companies Eurofighter have submitted their revised offset bids
for the multi-billion dollar 126 combat aircraft deal, the
process for which is expected to be completed by the year end.
On April 27, India has shortlisted the two European
companies for procuring 126 Medium-Multirole Combat Aircraft
(M-MRCA) deal for the Indian Air Force (IAF) in which six
companies were participating.
"The offsets offer, which were completed until April
14 this year, have been asked to be revised until June 17 that
is today," German Ambassador Thomas Mattusek told reporters
Officials in Dassault also said they have already
submitted the revised bids with the ministry.
Under the offsets clause in the Defence Procurement
Procedure (DPP), foreign vendors bagging deals worth over Rs
300 crore have to reinvest at least 30 per cent of the
contract amount into Indian defence, civilian aerospace
or the homeland security sectors.
In the M-MRCA competition, companies have to invest 50
per cent of the worth of the deal into the Indian defence
"The shortlist and commercial biddings are expected to
be opened in the next few weeks so that the whole project is
expected to be finalised by the end of this year," the German
Germany along with United Kingdom, Spain and Italy is
one of the four partner nations in the Eurofighter consortium
and is the lead country for the Indian campaign.