India Seals ₹62,370 Crore Deal with HAL for 97 Tejas Mk-1A Jets

In a landmark decision, the Indian government has signed a ₹62,370 crore (approximately US$7 billion) contract with Hindustan Aeronautics Limited (HAL) for the supply of 97 Tejas Mk-1A Light Combat Aircraft to the Indian Air Force (IAF). The deal, finalized under the Defence Ministry’s “Buy (India – Indigenously Designed, Developed and Manufactured)” category, represents one of the largest domestic defence procurements in the country’s history.

Deliveries of the new jets are scheduled to begin in 2027–28, with completion expected within six years. This contract includes both single-seat fighters and twin-seater trainer variants, along with associated support systems, strengthening India’s drive for self-reliance in the defence sector.

It is the second such contract awarded to the state-run aerospace behemoth. (File) | NDTV

Replacing the MiG-21s and Strengthening the Fleet

The timing of this agreement is significant. The IAF is preparing to retire its last MiG-21 squadron, an aircraft that has served India for more than six decades but has become outdated in modern combat scenarios. The phasing out of MiG-21s leaves a gap in squadron strength, with the IAF currently operating around 31 active squadrons, well short of its sanctioned requirement of 42.

The induction of the Tejas Mk-1A will not only fill this gap but also modernize the IAF’s fleet with a fighter designed and built in India. Air Chief Marshal A.P. Singh will lead the final sortie of the MiG-21s, symbolically closing a chapter in India’s aviation history as the country steps into a new era of indigenous air power.

Advancements in the Tejas Mk-1A

The Tejas Mk-1A is an upgraded version of the earlier Tejas models, incorporating over forty improvements in avionics, electronic warfare systems, and weapons integration. It features the AESA radar, modern electronic warfare capabilities, in-flight refuelling, and compatibility with India’s Astra beyond-visual-range missile.

Powered by the General Electric F404-GE-IN20 engine, the Tejas Mk-1A combines agility with advanced combat systems, making it a formidable replacement for the ageing MiG-21s. Although delays in engine deliveries previously slowed the program, HAL has now accelerated production. Its Nashik facility has also joined Bengaluru as a manufacturing hub, boosting production capacity.

Economic and Strategic Significance

This contract is not only about military modernisation; it also has wide economic implications. The deal is expected to generate thousands of direct and indirect jobs annually, strengthening India’s aerospace ecosystem. By ensuring that over 64 percent of components are sourced domestically, the agreement furthers the government’s “Make in India” and “Atmanirbhar Bharat” initiatives.

Strategically, the induction of the Tejas Mk-1A will boost India’s deterrence capability at a time of growing regional security challenges. It reduces dependency on foreign suppliers, giving India greater flexibility and autonomy in defence preparedness. The success of this program also builds a strong foundation for future projects like the Tejas Mk-2 and the ambitious Advanced Medium Combat Aircraft (AMCA).

Looking Ahead

Despite the optimism, challenges remain. HAL must adhere to delivery schedules and maintain quality to meet the expectations of the IAF. Ensuring timely engine supplies, expanding indigenous avionics, and sustaining production scale will be critical for the program’s long-term success.

Nonetheless, the Tejas Mk-1A program represents a turning point in India’s defence journey. It is not just the replacement of an aircraft but a statement of India’s ability to design, build, and deploy advanced fighter jets on its own. With this deal, India takes a decisive step toward closing its squadron gap, enhancing combat readiness, and emerging as a credible player in global defence aviation.

The MGMM Outlook

India’s defence sector has entered a new chapter with the ₹62,370 crore agreement between the Indian government and Hindustan Aeronautics Limited (HAL) for 97 Tejas Mk-1A Light Combat Aircraft. This landmark deal not only strengthens the Indian Air Force by replacing the ageing MiG-21 fleet but also highlights the success of the “Atmanirbhar Bharat” vision. With production spread across HAL facilities in Bengaluru and Nashik, the program brings a boost to India’s aerospace ecosystem while ensuring that more than 64 percent of components are sourced domestically. This makes the Tejas contract both a defence modernisation initiative and a strong economic driver, creating jobs and nurturing indigenous capability.

From a strategic perspective, the Tejas Mk-1A enhances India’s air combat strength with its advanced AESA radar, electronic warfare systems, and Astra missile compatibility, making it a formidable deterrent in the region. Beyond military significance, this project demonstrates India’s growing self-reliance in defence technology and its ability to compete globally in advanced aircraft design and production. The induction of these fighters represents more than just fleet modernisation—it reflects India’s determination to secure its skies through indigenous innovation and reduce dependence on foreign suppliers.

(Sources: Economic Times, NDTV, Hindustan Times)