I have a Stg58 built on a DSA Type 2 receiver. My parts are NOS Austrian. I know the builder of my rifle. On my first break-in trip to the range, with Black Hills Match 168 grain hp's I averaged 2 to 3 inch groups at 100 yards, open sights. Since then I've found it does marginally better with Australian surplus, surprisingly. It could be it likes the lighter grain bullet.
Granted, that was with a (new to me) rifle while adjusting the gas regulation, most of the shots fired were single loaded in the magazine.
I feel like it might tighten up a bit as I gain more familiarity with the rifle. I am considering scoping it with a quality scope which will bring them closer together. From all I've read and seen/heard from first-hand DSA owners the DSA built rifles are of exceptional quality and if you do your part, the FAL will do its' job. I see no reason why a good FAL will not be capable of the same accuracy in capable hands as an M1A.
Flame away. I know some will think I'm a heretic. Give me 6 months at the range with my FAL and we'll see.
Regards,
Rabbit.