India is all set to ink two major aircraft deals this year. Both the deals collectively worth over Rs 50,000 crore. The contracts which are for 83 indigenous Tejas fighters and 56 medium-transport aircraft through a Tata-Airbus joint venture will most expectedly be inked in the upcoming few months.
The order worth over Rs 37,000 crore for 83 Tejas Mark-A1 jets from PSU Hindustan Aeronautics Ltd is going to be the biggest deal ever in India's military aviation sector. The 83 Tejas Mark-A1 fighter jets will have 43 improvements as compared with the 40 Tejas Mark-1 that are already ordered by the Indian Air Force. The deliveries will begin after three years from the time the deal is inked.
With the deal, the Tata-Airbus project will be the first Indian private sector company that will enter the defence aerospace arena and is aspected to build 56 twin-turboprop C-295 aircraft that is going to replace old Avro-748 aircraft of IAF.
The Airbus will deliver the first 16 aircraft within two years after the deal is sealed and then the rest 40 would be built in India within 8 years. The project worth 11,929 crores.
The Cabinet Committee on Security (CCS) will give the final approval to both the projects. “The Tejas contract will be the first to be approved by the CCS. It is likely to be inked in early-February. The C-295 project, with the participation of Tata as the Indian production agency will follow subsequently,” an official told Times News Network.
