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SOURCE: AFI

In a significant move to bolster India’s defense manufacturing capabilities, the Indian Air Force (IAF) has recommended to the Ministry of Defence (MoD) that a private sector company be entrusted with manufacturing the fighter jet selected through the Multi-Role Fighter Aircraft (MRFA) tender. The tender, which aims to procure 110 advanced fighter jets, is expected to be floated later in 2025. This recommendation comes as part of a broader set of suggestions recently submitted by a high-level MoD panel tasked with addressing the IAF’s critical capability gaps.

The MRFA program is a cornerstone of the IAF’s modernization strategy, intended to bridge the gap between its indigenous Light Combat Aircraft (LCA) Tejas variants and the in-service Sukhoi Su-30 MKI fleet, while addressing the phasing out of aging aircraft like the MiG-21. With the IAF’s squadron strength currently at 31 against a sanctioned level of 42, the need for rapid induction of new jets is urgent. The MRFA tender, under the “Buy Global – Make in India” framework, mandates significant local production and technology transfer, aligning with the government’s push for self-reliance in defense.

The IAF’s proposal to involve the private sector stems from the recognition that Hindustan Aeronautics Limited (HAL), the state-owned aerospace giant, is already stretched thin. HAL is committed to delivering 83 Tejas Mk1A jets, with an additional order for 97 more under consideration, alongside developing the Tejas Mk2, supporting the Advanced Medium Combat Aircraft (AMCA) program, and producing trainer aircraft like the HTT-40. This extensive workload has prompted the IAF to advocate for private industry participation to ensure timely production of the MRFA jets.

A senior IAF official, speaking on the sidelines of recent discussions, emphasized the need for a collaborative approach. “With HAL’s production lines fully occupied, involving a private player will not only expedite the MRFA program but also enhance India’s defense industrial base,” the official noted. The MoD panel’s suggestions, submitted in early 2025, reportedly echo this sentiment, proposing that a private firm partner with the selected foreign Original Equipment Manufacturer (OEM) to establish a dedicated manufacturing line in India.

The MRFA tender is expected to attract bids from global aerospace giants such as Dassault Aviation (Rafale), Boeing (F/A-18 Super Hornet), Lockheed Martin (F-21), Eurofighter GmbH (Typhoon), and Saab (Gripen E), among others. The winning bidder will be required to collaborate with an Indian partner, and the IAF’s recommendation signals a preference for a private entity over HAL for this role. This shift could open doors for companies like Tata Advanced Systems, Larsen & Toubro, or Reliance Defence to play a pivotal role in fighter jet production, marking a transformative step for India’s private defense sector.

The panel’s report, expected to shape the tender’s framework, also aligns with IAF Chief Air Chief Marshal A.P. Singh’s earlier statements highlighting the need to produce 35-40 fighter jets annually to maintain operational readiness. By integrating private sector capabilities, the IAF aims to supplement HAL’s efforts and accelerate the induction of modern fighters. The move is seen as a pragmatic response to the delays in indigenous programs like the Tejas Mk2 and AMCA, which, while promising, cannot fully address the IAF’s immediate requirements.

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