"We are going to take another step on the road which we hope will lead us to India's acquisition of the 36 Rafale jets," Hollande told reporters on arrival in the city, designed by Franco-Swiss architect Le Corbusier. "India needs them and France has shown that it has the world's best aircraft. The commercial contract can only come after the inter-governmental accord ... which will be discussed during my visit."
The contract is believed to be worth about 8.3 billion euros.
The negotiations have dragged out under two successive governments with a key sticking point being Delhi's insistence that at least 30 per cent of the construction be done on Indian soil.
In an interview with the Press Trust of India ahead of his visit Hollande said that sealing the deal would "pave the way for an unprecedented industrial and technological cooperation" for the next four decades but conceded that "agreeing on the technicalities of this arrangement obviously takes time".
In a Tweet, Modi said he was "honoured & delighted" to host Hollande and pledged to "build on the ground covered during our previous interactions".
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