New Delhi: The Ministry of Defence has signed a landmark contract worth ₹62,370 crore with Hindustan Aeronautics Limited (HAL) for the purchase of 97 Tejas Mk-1A light combat aircraft, marking one of the biggest defence procurement deals in recent years.
The agreement, finalised more than a month after receiving approval from the Cabinet Committee on Security chaired by Prime Minister Narendra Modi, includes 68 fighter variants and 29 twin-seater jets, along with associated equipment for the Indian Air Force (IAF). Deliveries are scheduled to begin in 2027-28 and will continue over six years.
This is the second major Tejas Mk-1A order for HAL. In February 2021, the government had cleared a deal worth ₹48,000 crore for 83 of the jets. The new contract incorporates 67 additional upgrades over the earlier version, including advanced indigenous technologies such as the Uttam Active Electronically Scanned Array (AESA) radar, the ‘Swayam Raksha Kavach’ self-protection system, and improved control surface actuators.
According to officials, the Tejas Mk-1A will replace the ageing MiG-21 fleet, which the IAF is set to phase out shortly. The aircraft, a single-engine multi-role fighter, is capable of air defence, maritime reconnaissance, and strike operations in high-threat environments.
“The LCA Mk-1A is the most advanced variant of the indigenously designed and manufactured fighter aircraft and will serve as a potent platform to meet the operational requirements of the IAF,” the Defence Ministry said in a statement.
The deal is expected to give a significant push to the government’s ‘Aatmanirbharta’ (self-reliance) initiative in defence manufacturing. Each jet will feature over 64% indigenous content, supported by a vendor base of nearly 105 Indian companies. The project is estimated to generate close to 11,750 direct and indirect jobs annually for six years, strengthening India’s aerospace ecosystem.
The procurement comes as the IAF’s fighter squadron strength has dipped to 31, well below the sanctioned 42. The addition of the Tejas Mk-1A fleet is expected to help bridge this gap while bolstering India’s air combat capabilities.