HYDERABAD (PTI): Indian aerospace industry is likely to purchase equipment worth USD 35 billion over the next ten years including aircraft, a top official has said.
Vivek Rae, Director General (Acquisitions) under the Defence Ministry said Indian companies will get at least USD 10 billion worth of defence contracts under 'offset clause' that mandates any foreign company which secures Indian defence contract should outsource 30 per cent of the contract to Indian firms.
"Indian aerospace industry will be making purchases worth USD 35 billion over the next ten years. Medium Multi-Role Combat Aircraft purchase itself will be about USD 15 billion," Rae told PTI on the sidelines of a seminar at Indian School of Business.
The Defence Ministry short-listed France's Dassault Aviation SA's Rafale and EADS' Eurofighter Typhoon for supply of MMRCA in April.
Commercial bids from the two short-listed vendors were opened on November 4, marking the culmination of almost decade-long hunt for India's new mainline fighter.
He said the Government had already signed Rs 18,000 crore ((USD 3.6 billion) worth of defence contracts and the Aerospace contracts will be worth around Rs 14,000 crore.
These contracts are expected to be executed in the next 6-7 years, Ray said.