However, the company made it clear the proposal is "conditional" to IAF choosing the world's largest-sold fighter aircraft for its fleet.
"The offer we have given to the Indian government is unmatched and from our side unprecedented," Randall L Howard, F16 Business Development head at Lockheed Martin, said here.
Interacting with mediapersons here, Howard said the company wants to make F 16-Block 70 "for India, from India and export to the world".
Asked if the offer to move the production line from Fort Worth to India is conditional to IAF picking up the aircraft for its fleet, Abhay Paranjape, National Executive, India said, "Yes".
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Defence Minister Manohar Parrikar has said India will choose at least one more aircraft, besides the indigenous Tejas, for the IAF through the 'Make in India' route.
All the companies have offered to set up a production facility here.
"But we are offering not only moving the lone production line to India but also meeting the global requirement through the same unit here," Howard said, adding it is a "win-win situation".
Arguing the F 16-Block 70 will be the best fighter aircraft in the Indian region, he said, "It is critical for you to pick up a partner who will deliver on his promise".
He added Lockheed believes the production in India will also bring down the cost of the aircraft which in turn will increase its global demand.