Govt inks deal with HAL for procurement of 97 Tejas Mark-1A jets worth Rs 62,370 crore for IAF

The Ministry of Defence has formalised a mega contract with Hindustan Aeronautics Limited (HAL) to supply 97 Tejas Mark-1A light combat aircraft to the Indian Air Force (IAF) at a cost of Rs 62,370 crore. The deal was confirmed on Thursday, marking the largest order for an indigenous fighter aircraft platform to date.

The agreement follows the Cabinet Committee on Security's approval in August and comes just ahead of the scheduled retirement of the IAF's remaining MiG-21 squadrons. The Tejas Mk-1A is designed to replace ageing aircraft and address the reduction in fighter squadron strength, which currently stands at 31 against a sanctioned 42. The contract is expected to bolster the IAF's operational capabilities in air defence, maritime reconnaissance, and strike roles.

The deal encompasses 68 single-seat fighters and 29 twin-seat trainers along with associated equipment for the IAF. The deliveries of the aircraft will begin in 2027-28 and continue over six years.

"A contract was signed with the HAL for 97 Tejas Light Combat Aircraft- Mk1A with associated equipment for the IAF at a cost of Rs 62,370 crore (excluding taxes),” the ministry said. The new agreement builds on a previous 2021 contract for 83 Tejas Mk-1A jets valued at Rs 48,000 crore, which has seen delays in execution. With the latest procurement, India aims to accelerate its fleet modernisation and reduce dependence on foreign aircraft systems.

Production of the Tejas Mk-1A involves over 105 Indian suppliers and is set to generate around 11,750 direct and indirect jobs each year throughout the contract's lifespan. The advanced jets will incorporate key indigenous content, with upgrades including new control actuators, the Swayam Raksha Kavach electronic warfare suite, and the UTTAM AESA radar.

"The advanced jet will feature Swayam Raksha Kavach and control actuators, with over 64 per cent indigenous content and 67 new indigenous items,” the ministry said.

The replacement of MiG-21s with Tejas Mk-1A is intended to address the reduction in IAF fighter strength and support India's strategic objective of self-reliance in defence production.