The Cabinet Committee on Security () has authorized the purchase of new military transport planes to be manufactured in India by a Tata-Airbus combine. This is the first military aviation contract of its kind with the Indian private sector and is expected to generate more than 6,600 jobs in the coming years, in addition to introducing advanced technology.

Estimated at over 15,000 crore, the deal for 56 C295MW transport planes has been ongoing since 2012, finally reaching CCS in February, as ET reported. While 16 planes will be imported from Airbus Defense in Spain, the rest will be manufactured in India at a Tata factory over 10 years.

Orders are expected to increase further, as demand for this type of transport aircraft is also expected from the Coast Guard, as well as other agencies. Sources said the India-made C295MW has export potential as it could be a profitable project.

“This is the first project of its kind in which a military aircraft will be manufactured in India by a private company. The 56 planes will be installed with the native electronic warfare suite, ”the Defense Ministry said.

Planes to replace Avro; Export plans

The plan to acquire 56 planes to replace the aging Avro fleet has been the subject of a competitive process and has been reserved for the private sector to create alternative capacities to public enterprises.

Industry sources said plans are also in place to offer the aircraft for export to the region and in various specialized configurations to Indian forces as well. “This is a very in-depth Make in India project, where at one end aluminum blocks will literally be imported and at the other end a flying plane will come off the final assembly line,” said one of the people.

In addition to the Tata group, at least three dozen subcontractors are expected to receive large orders. They were roped up to make a range of airplane parts. It will also be vital for the maintenance and sustenance of the fleet, which is expected to be in service for at least three decades.

Defense ministry officials said the project would be a big boost for Aatmanirbhar Bharat Abhiyan and reduce dependence on imports, in addition to generating local jobs. “The program will act as a catalyst in job creation in the country’s aerospace ecosystem and is expected to directly generate 600 highly skilled jobs, more than 3,000 indirect jobs and 3,000 additional medium-technical job opportunities, with more than 42.5 lakh man-hours. work in the aerospace and defense sector, ”an official said.

The project will involve the development of specialized infrastructure such as hangars, buildings, aprons and taxiways, in addition to a large ancillary industry to support the fleet in the decades to come.


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