India is to bolster its navy with the purchase of six Franco-Spanish submarines in a deal worth $1.8bn (£985m, 1.4bn euros).Info on Scorpene class boats here
The announcement came as India's Prime Minister Manmohan Singh met France's President Jacques Chirac in Paris.
India plans to build six diesel-powered Scorpene SSK-class submarines at a naval dockyard in Mumbai (Bombay).
The deal is the latest in a series of military purchases by Delhi aimed at modernising India's armed forces.
In a joint declaration, the sides also said they would "work towards the conclusion of an agreement on bilateral co-operation in the nuclear field".
No further details were given, but India is known to want to reduce its dependency on oil.
India is currently the developing world's leading buyer of military equipment, according to a report for the US Congress.