France to set up Mirage shop in India

By K. K. Katyal

NEW DELHI, MAY 24. France has offered to establish a part of the manufacturing facility for the latest generation of its prestigious aircraft, Mirage, in India in a package for cooperation in the defence-related field. Envisaging labour- sharing, the French proposal is intended to bring down the cost and to make the aircraft attractive price-wise.

The proposal was made by the French Defence Minister, Mr. Alain Richard, in his talks with the Indian side during his visit here last week. During last month's trip of the President, Mr. K.R. Narayanan, to France, there was a general discussion on the supply of aircraft, both civilian and military, to India.

Mr. Narayanan visited Toulouse, described as a major hub of the aviation industry in the world, and went round the manufacturing complex of aerospace and airbus industries. The specifics of the defence supply proposals, it was stated then, would be taken up during the French Defence Minister's visit to India.

In discussions both here and in Paris, Indian officials drew the attention of the French authorities to the high price of their aircraft. This, the French said, was because of the high quality of their products. As for the aircraft, they cited its superior performance and lower incidence of accidents. Also, they related the price to various elements of the cost of manufacture, such as high wages for the workforce.

The labour-sharing arrangement with India, it was explained, could bring down the cost. The purchase of the aircraft could also be helpful because of the economy of scales, according to the French view.

Mr. Richard's talks here were not confined to the offer of defence items, but focussed on broader politico- strategic issues as well. The shared view of political and strategic matters was considered essential for a stable defence supplies arrangement.

In a way, this was an ongoing exercise, with the two sides briefing each other on the developments in their respective regions. Unlike in the past, the French supply of Mirage aircraft to Pakistan does not cause any problem with India. That, it is realised, was part of the contractual obligations of the past.

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