India Floats ₹1 Lakh Crore Tender for Medium Transport Aircraft
India's Defence Ministry has initiated a tender worth approximately ₹1 lakh crore to procure up to 60 medium transport aircraft. This move aims to enhance the Indian Air Force's airlift capabilities and aligns with the 'Make in India' initiative.
Key takeaways
- India's Defence Ministry issued a tender worth approximately ₹1 lakh crore for up to 60 medium transport aircraft.
- The procurement aims to enhance the Indian Air Force's airlift capabilities.
- The tender was sent to five Indian companies, including TASL, Mahindra Group, Adani Defence & Aerospace, HAL, and Reliance Defence.
- The initiative aligns with the 'Make in India' program to boost domestic defense manufacturing.
- The IAF requires aircraft with an 18 to 30-tonne cargo carrying capacity.

The Indian Defence Ministry has launched a tender valued at around ₹1 lakh crore to acquire as many as 60 medium transport aircraft (MTA). This procurement is intended to bolster the airlift capacity of the Indian Air Force (IAF), according to officials familiar with the development. The tender was issued to five Indian companies: Tata Advanced Systems Limited (TASL), Mahindra Group, Adani Defence & Aerospace, Hindustan Aeronautics Limited, and Reliance Defence.
The IAF, which is the fourth-largest air force globally, requires new transport aircraft capable of carrying between 18 and 30 tonnes of cargo to address its expanding operational needs. TASL has partnered with U.S. firm Lockheed Martin, proposing the C-130J Super Hercules. Mahindra Group has teamed up with Brazilian manufacturer Embraer, offering the KC-390 Millennium.
This contest for medium transport aircraft supports the government’s 'Make in India' policy, focusing on increasing self-reliance in defense manufacturing, with the winning bidder expected to establish an aircraft production line within India.
The report also noted potential future defense contracts, including deals for airborne early warning and control systems and 114 Rafale fighter jets, which are anticipated in the financial year 2026-27. France has already submitted a techno-commercial offer for the 114 Rafale jets, a deal estimated at ₹3.25 lakh crore. The Defence Acquisition Council had previously cleared the purchase of military hardware worth ₹3.6 lakh crore, including these Rafale jets, which are planned for manufacture in India by Dassault Aviation and a local partner. India already operates 36 Rafale jets and has ordered 26 Rafale Marine jets for its navy.
Sources reviewed
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