India Signs ₹62,370 Crore Contract for 97 Tejas Mk-1A Aircraft with HAL

In a significant move to enhance India’s air combat capabilities and promote self-reliance in defense manufacturing, the Ministry of Defence (MoD) has signed a historic...

MoD and HAL Sign Contract for Tejas

In a significant move to enhance India’s air combat capabilities and promote self-reliance in defense manufacturing, the Ministry of Defence (MoD) has signed a historic contract valued at over ₹62,370 crore with Hindustan Aeronautics Limited (HAL). This agreement is for the procurement of 97 Light Combat Aircraft (LCA) Tejas Mk-1A for the Indian Air Force (IAF).

The contract encompasses 68 single-seat fighters and 29 twin-seat variants, along with the necessary equipment. Deliveries are slated to commence in 2027-28 and are expected to wrap up within six years. This latest deal follows a previous contract signed in January 2021 worth ₹48,000 crore for the acquisition of 83 jets.

The Tejas Mk-1A is set to feature a remarkable 64% indigenous content, significantly enhancing the local component count with 67 new systems compared to the earlier variants. Among these advancements are the UTTAM AESA radar, the Swayam Raksha Kavach self-protection suite, and homegrown control surface actuators. This initiative aligns with the government’s ‘Buy (India-IDDM)’ policy under the Defence Acquisition Procedure 2020, showcasing a strong commitment to advancing self-sufficiency in defense manufacturing.

The contract is also expected to have a substantial impact on employment, projecting the creation of approximately 11,750 direct and indirect jobs annually over the next six years. This growth will be bolstered by a robust vendor network involving over 105 Indian companies supplying essential components. Officials from the defense sector assert that this program will greatly enhance the domestic aerospace and defense ecosystem, leading to long-term technological advancements and economic gains.

From a strategic standpoint, the Tejas Mk-1A is designed to mitigate the capability gap anticipated from the phased retirement of the MiG-21 fleet. Enhanced with indigenous avionics, superior survivability systems, and modern weapon integration, this new aircraft is poised to bolster the IAF’s squadron strength, providing agile and combat-ready fighter jets suited for contemporary warfare.

Analysts in the defense field have characterized this agreement as a pivotal development in India’s military modernization efforts. In addition to reinforcing the IAF, the contract is anticipated to pave the way for future indigenous initiatives, such as the Advanced Medium Combat Aircraft (AMCA). Officials emphasize that this deal not only reflects India’s advancing technological prowess but also underscores its ambition to become a global player in the aerospace manufacturing landscape.

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Adhidev Jasrotia

An expert in Indian defence affairs, military recruitment, and geopolitical strategy, brings a strong foundation in national security journalism. Recommended for the Indian Army with All India Rank 138.