₹1 Lakh Crore Tender Issued for 60 Air Force Multirole Transport Aircraft; Tata and Mahindra in the Race

The Ministry of Defence has issued a major tender for the Indian Air Force (IAF). According to government information, the Ministry has floated a tender worth approximately ₹1 lakh crore for the procurement of 60 multirole transport aircraft. This project emphasizes not only the acquisition of the aircraft but also the promotion of their manufacturing within the country.

Under the government proposal, about 20% of the total aircraft will be imported directly, while the remaining units will be manufactured in India. The aim is for the India-made aircraft to contain over 60% indigenous content. This initiative is expected to boost aerospace manufacturing and the defence supply chain within the country.

Which companies are involved?

Domestic companies will manufacture these aircraft in collaboration with Hindustan Aeronautics Limited (HAL). Several Indian companies are considered potential contenders for this major defence project; the Tata Group and Mahindra Group are also in the race.

This tender is viewed as significant in the context of the government’s ‘Make in India’ initiative and the goal of achieving self-reliance in defence production. Manufacturing a large number of aircraft in India could provide domestic companies with the opportunity to enhance their capabilities in the aerospace sector and develop new technologies.