New Delhi, Aug. 7 -- France has responded to a letter of request (LOR) sent by the defence ministry with a techno-commercial offer for 114 Rafale fighter jets to sharpen the Indian Air Force's combat edge, marking the next step in a deal expected to be worth Rs.3.25 lakh crore, officials aware of the matter said on Thursday. The French government submitted its proposal to the defence ministry on July 29, paving the way for negotiations on the government-to-government deal to begin, the officials said. India sent the LOR in May, as HT previously reported. In February, the Defence Acquisition Council (DAC) - India's apex military procurement body - cleared the purchase of military hardware worth Rs.3.6 lakh crore, including 114 Rafale jets under the MRFA (multi-role fighter aircraft) programme. The council's acceptance of the necessity for new fighters was the first step in the procurement process. Under the MRFA model being considered, the Rafales will be made in India by French plane maker Dassault Aviation and a local partner. France is expected to supply 20 Rafale jets in fly-away condition while the remaining will be made in India. Discussions have been held with France regarding the localisation of the Rafales to be manufactured in India, the integration of local weapons and other India-specific requirements. Quicker induction of fighter jets, mid-air refuelers, and airborne early warning and control (AEW&C) systems topped the recommendations an empowered committee made last year for enhancing the IAF's capability. The air force has around 30 fighter squadrons compared to an authorised strength of 42.5. The IAF already operates 36 Rafale fighter jets bought from France at a cost of Rs.59,000 crore. Some of the air force's Rafales were among the fighter jets used during Operation Sindoor in early May 2025 - India's strikes on terror and military installations in Pakistan and Pakistan-occupied Kashmir following the Pahalgam terror attack that killed 26 people. Also, India ordered 26 Rafale Marine fighter jets from France in April 2025. The first deliveries of the Rafale Ms under the Rs.63,000-crore contract will take place in 2029 and be completed by 2031....