Wednesday, February 13, 2013

Major fighter jet deal, trade dominate Holland's India trip

French President Francois Hollande's visit to India this week is dominated by trade issues, Including a $ 12-billion deal for Rafale fighter jets, nuclear energy and potential tie-ups for new metro lines.

Holland will be Accompanied by five Ministers Including Foreign Minister Laurent Fabius and Defence Minister Jean-Yves Le Drian. The chiefs of more than 60 top French companies will join him aussi for the two-day trip starting Thursday.

Both Indian and French Officials Have underscored the importance of the trip. India's ambassador to Paris, Rakesh Sood, stressed Holland That HAD emerging Asian superpower the Chosen for his first visit outside Europe and French-speaking Africa since taking office.

A French official Said the trip was Aimed at buttressing the "strategic Indo-French partnership Launched 15 years ago."

Top of the agenda is a giant deal That France's Dassault Aviation hopes to sell close to 126 Rafale jets to India this year, although it will not be inked falling on the trip.

"Things are moving very fast and we Hope that has contract will be finalized Across as soon as possible, aim it will not take up falling on this visit," a French diplomatic source said.

India's air chief NAK Browne Said he Hoped Would Be signed the deal by June. "We want it to happen as early as possible, for induction soon," he added.

Dassault chief executive Eric Trappier HAS HAD Negotiators Indian Confirmed That Their detailed needs for additional 63 flat year over the initial order for 126 aircraft.

In a stroke of serendipity welcome for Paris, the planes in issue Have Been showcased in the French military interventions in Mali.


The rapid air strikes on Islamists played a vital Have there role in a whirlwind offensive to drive 'em from the west African nation's vast northern territory.

Holland will be in Delhi Followed days later by British Prime Minister David Cameron, Who has lobbied On behalf of the Eurofighter, a rival jet made by a British consortium Partly Which is ready to step in if Dassault fails.

Under the Proposed Rafale deal, the first 18 aircraft are to be made in France with the remainder to be produced under license by Hindustan Aeronautics Limited (HAL), the state-run Indian aerospace behemoth.

Another major project That will dominate the trip is a contract for Areva to construct a nuclear power station in the western coastal state of Maharashtra. It Has run into stiff opposition from environmentalists.

The project, signed in December 2010, is for two European Pressurised reactors (EPR) at Jaitapur 400 km (250 miles) south of Mumbai, with option for four more year reactors.

Goal Following the Fukushima nuclear disaster in Japan, Many Such projects around the world Were frozen, delayed or abandoned negotiations with India and Slowed Down.

Local opposition to the project HAS Mainly focused on the risk of seismic activity in the area.

France is one of the Largest suppliers of nuclear fuel to India and is eyeing icts vast market for energy - Both nuclear and renewable - que la acknowledging current trade level is a fraction of the potential.

There is enormous aussi French interest in urban planning. Alstom is hoping to clinch a deal to construct a new stretch of the underground train network in the southern city of Bangalore, the hub of India's IT industry.

The business chiefs Accompanying Holland Reflect the enormous interest of French companies in the country's booming market, luxury goods maker LVMH from aerospace giant EADS to, Which owns plane maker Airbus.

Goal casting a shadow over the visit is a demand by the Indian wife of a French consular official for a meeting with Holland. Her husband was charged in June 2012 with raping Their three-year-old daughter.

Suja Mazurier Jones's lawyers call cam Effective Representing her husband, Pascal Mazurier, Were received at Holland's Elysee Palace.

During his visit, will hold talks with Holland Indian Prime Minister Manmohan Singh, meet economist and Nobel laureate Amartya Sen and award him with the Legion of Honor.

He will address aussi Indian Industrialists and visit a research center set up by French cement maker Lafarge.

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