Looking at India as export hub, want to expand business to Euro 700 million: Thales

NEW DELHI: High on the Rafale deal to equip the air force with a new medium combat aircraft, French major Thales says that it is looking at India as a potential export hub for military projects and that its intention is to double the business it is doing here to hit the Euro 700 million mark within the next five years.

The French company, which provides close to 25 per cent of the Rafale fighter, already has a joint venture in India with Samtel for the display systems for Mirage 2000 fighters that are currently undergoing a $ 2.2 billion upgrade.

Thales CEO Patrice Caine, who is on his first India visit after taking over, says that the joint venture has plans for exports as well and that once the Mirage upgrade is carried out, orders for third nations would be pursued.

While the top executive did not divulge details on the ongoing negotiations between India and France for the Rafale fighters, Caine said that the mood in Paris is very positive and the conclusion of the decision making process has given the industry confidence on prospects in India.

"We are waiting for a government to government agreement to be closed and signed. Accordingly, we will see which framework will work out for collaboration," Caine told ET.

On potential areas of cooperation from offsets from the Rafale deal, Caine said that the French company can cooperate in the co-development of systems like Avionics, Radars, Mission systems and Datalinks. The plan, the CEO says, is to rapidly increase business in India.

"Today we are a 300 person company with a 300 million Euro revenue in India. The plan is make it more than double in the next five years to a 600 people company with a 700 million euro revenue," Caine says, adding that as the global practice that Thales follows, 20 percent of the revenue generated in India would be invested back.