Frontline fourth-generation modern fighter Rafale, manufactured by the French major Dassault Aviation, was chosen as the winner in the global tender for 126 MMRCA for the Indian Air Force before the Modi government took over in 2014. The deal was shelved and subsequently replaced by the announcement of a new contract for the direct purchase of 36 Rafale at a cost of about INR 60,000 crore, the process for which has already been underway since 2015 and the contract signed in September 2016.

The decision to buy 36 Rafale fighters exposes the complexinstitutional mechanisms in defence procurement.