India has 200 MKIs at present? Not bad. M2K are too few in number, only 55 while the Migs can act as good enough air defence the bisons are an embarrassment. Jags are strike aircraft and won't play much of a role in A2A combat.
Why I pulled up the question is when India fields its full strength of 270 MKIs (thats the limit), 55 M2K and 80 at max (or 36 as you say) Rafales then aircraft like FC-1 Thunder will be only cannon fodder.
The class difference in a primitive 4th gen aircraft like Tejas or Thunder is too much to compete against aircraft which will be inducted post 2020, and that is irrespective of the upgrades they undergo. Unless LCA MK2 is a completely new design then Mk2 Mk3 etc wont make any changes. Upgrades are good but the key to understnding an aircraft performance is its basic design.
F-35 is undergoing massive upgrades but the flaw as critics pointed out is in her design. Upgrades can only push you so much.