Announcement on these two major defence deals was made public at the end of talks between visiting French President Francois Hollande and Prime Minister Manmohan Singh, who noted that the defence ties were poised to reach a "qualitatively" new level.
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Expressing satisfaction with the progress in defence cooperation, Singh said, "Discussions on the MMRCA (Rafale) contract are progressing well. We have also concluded negotiations on the Short Range Surface to Air Missile, which,
once approved by the Government, will be co-developed and co-produced in India."
Addressing a press conference later, Hollande assured that the trade will be done by the "rules of the trade and based on competitiveness and fairness, the choice will be made."
"I here take the commitment that nothing contrary to our principles that we share that the trade must be based on the rules of the trade, based on the competitiveness and fairness, that the choice will be made. In the field of corruption, we are vigilant as India is because it is an essential principle," he said and noted that it is because of excellence and efficiency of Rafale and there was no "other argument" in the deal.
He was asked whether he can assure India that there will not be any bribe or middleman involved in one of the biggest defence deals -Rafale- in the backdrop of the scam in supply of Agusta Westland's VVIP helicopters.
After comprehensive talks, the leaders said views were exchanged on a number of bilateral, regional and multilateral issues of common interest including defence ties, civil nuclear cooperation, counter-terrorism and situation in Mali.
"President Hollande and I exchanged views on a number of bilateral, regional and multilateral issues of common interest. We reviewed progress on the Jaitapur Nuclear Power Project and reiterated our commitment to its early implementation as soon as the commercial and technical negotiations, which have made good progress, are completed,"
Singh said at a joint press event after the talks. The Rs 30,000 crore worth of SR-SAM project is a co-development joint venture between India and France and would be developed by MBDA of France and DRDO from the Indian side. The project often termed as Maitri has been in the making for several years now with the two sides taking a lot of time to agree on the pricing and work share issues.
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