The Rafale deal between the two countries was controversial in the early days. In 2016, the Indian government signed an agreement with France to purchase 36 Rafale fighter jets for a total price of $8.8 billion, causing widespread controversy. Critics have pointed out the high price of the deal and accused France of exploiting India. Proponents, however, insist that the advanced fighters will greatly enhance the combat capabilities of the Indian Air Force and are vital to national security.
Over time, 36 Rafale fighters have been delivered to India, showing excellent performance and technology. These aircraft provide the Indian Air Force with a more powerful combat force, showing remarkable performance in conflicts and exercises. They have become a formidable piece of equipment for the Indian Air Force and have strengthened the foundation of the country's defence capabilities.
However, after the deal was completed, France began to question the rationality of the pricing. The originally high price seemed to pay off reasonably after delivery, and the performance of the Rafale fighter also pleased India. India's satisfaction with the deal has led France to re-examine its deal pricing policy. They began to wonder if the Rafale was overvalued and sold at a loss in the deal.
The deal had important implications for both India and France. India's introduction of Rafale fighters has enhanced its air force and improved the country's military status. In the case of France, the results have made them re-examine their pricing policies and become more wary of deals with other countries. There are some valuable lessons we can draw from this transaction. Pricing plays a crucial role in international transactions, and over- or under-valuation on both sides can lead to unsatisfactory results. In addition, both parties should be transparent and honest in their dealings to avoid misunderstandings and conflicts. It is important for the buyer to fully understand the performance and value of the purchased equipment before the transaction to ensure the reasonableness of the transaction.
The Rafale deal between India and France, despite its controversial history, turned out to be a high-profile military collaboration. The result of this deal has not only boosted India's defense capabilities, but also triggered a deep reflection on the part of France. Transparency, reasonable pricing and full understanding will continue to play a key role in international arms trade transactions to ensure that the interests of all parties are balanced and safeguarded.