The Indian Air Force is undertaking a sweeping modernization drive to phase out its aging cargo airframes and reinforce its strategic airlift capability. As a core element of this effort, the Ministry of Defence has formally released a major procurement tender valued at approximately ₹1 lakh crore for 60 new Multirole Transport Aircraft. Beyond scaling up airlift and logistical capacities, the mega initiative is designed to deliver a substantial push to India's domestic defense and aerospace manufacturing ecosystem.
Major Indian Defense Players and Global Partnerships
Domestic defense leaders have been placed at the center of this multi-billion-dollar program. The procurement tender has been issued to top Indian defense entities, including Hindustan Aeronautics Limited, Tata, and Mahindra Defense. To execute the contract, these domestic firms are forging strategic alliances with leading global Original Equipment Manufacturers. Mahindra Defense has partnered with Brazil-based Embraer to offer the C-390 transport platform. Simultaneously, the Tata Group has tied up with US defense giant Lockheed Martin to pitch the C-130 aircraft, a model already deployed by the Indian Air Force for specialized missions and tactical operations.
'Make in India' Norms and 60 Percent Indigenous Content Requirement
The acquisition guidelines mandate strict adherence to 'Make in India' parameters and local value addition. Out of the total order of 60 platforms, approximately 20 percent will be imported directly in fly-away condition. The remaining 80 percent of the aircraft will be constructed locally within India. Every unit manufactured domestically must feature over 60 percent indigenous components. The production will be managed through Joint Ventures formed between Indian companies and global Original Equipment Manufacturers, alongside active participation from Hindustan Aeronautics Limited.
Multi-Role Flexibility and In-Flight Refueling Capabilities
The incoming Multirole Transport Aircraft are designed to serve versatile operational demands well beyond routine troop movements and equipment transport. When required, the Indian Air Force can reconfigure these platforms to function as aerial refueling tankers to service combat aircraft mid-air. This multi-role versatility ensures high operational readiness, rapid troop deployment, and dependable logistical lines during tactical engagements and disaster response missions.
Broader Modernization Fleet Push, Rafale Jets, and Trainer Aircraft
The Indian Air Force currently operates a fleet of 12 C-130J Super Hercules transport aircraft. It is also executing the C-295 transport aircraft program in partnership with Airbus, under which 70 C-295 units are scheduled for induction across the Indian Armed Forces, with the majority being built locally. This fleet overhaul extends across multiple wings of the air force. A separate procurement tender for 114 Rafale fighter aircraft has already been initiated to shore up squadron strength. Furthermore, plans are underway to procure over 100 new trainer aircraft to succeed the older Hawk jet trainers, ensuring robust training capacity as expanding fighter squadrons increase the demand for combat-ready pilots.



















