India does sell off older surplus weapons, look at the flood of Enfields marked ERI, GRI, and RFI on the side of the socket.
I've got two Ishapore Enfields in .308 and one in .303. The Enfields being sold by Springfield sporters that I've seen in their showroom were FTR'd at Ishapore. The telltale is a flathead wood screw in the stock under the chamber area screwed in from left to right, and slightly countersunk.
Also, since they have some time ago adopted a Galil knock-off as their MBR, some demilled Indian FAL clones have found their way here in the form of parts kits. I would avoid them, myself because of the lack of direct interchangeability. They probably still have lots of the FALs in use in reserve and non-front-line units.
BRS